TCS stock gains attention as AI revenue tops USD 3 billion in Q2

Published on 11/02/2026 at 00:18 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

TCS stock draws investor attention after broad international growth and major AI-led transformation deals. The company also declared a fiscal 2027 interim dividend.

AI growth and strategic wins

TCS reported broad-based international and industry growth in its September quarter.
The company announced partnerships with Porsche, Best Buy, Honeywell, Aareal Bank and Vodafone Business.
TCS declared a second interim dividend for fiscal 2027, payable on October 30, 2026.

TCS, INE467B01029, Illustration mit AI erstellt.

Tata Consultancy Services reported broad-based international growth and strategic deal wins for the quarter ended September 30, 2026. In its October 8 press release, the Indian IT services company said revenue rose 0.5 percent quarter over quarter in constant currency, while international revenue increased 1.2 percent.

Annualized artificial intelligence revenue reached USD 3.1 billion and exceeded 10 percent of revenue. TCS reported a 24.0 percent operating margin, USD 9.6 billion in total contract value and a workforce of 598,056 at the end of September. IT services attrition over the trailing twelve months stood at 13.3 percent.

Partnerships strengthen AI positioning

TCS announced a five-year strategic partnership with Porsche and plans for its subsidiary to acquire MHP, Porsche's German management and IT consulting business, subject to regulatory approvals. It also agreed to transition Best Buy's global capability center in India into an AI capability center.

Additional agreements cover SAP transformation services for Honeywell Technologies, infrastructure services for Aareal Bank and technology modernization with Vodafone Business. TCS also launched new AI and engineering facilities in India and expanded its Gemini Experience Center network with Google Cloud.

Dividend adds shareholder focus

The board declared a second interim dividend of INR 12 per share for fiscal 2027. The record date was October 14, 2026, and payment was scheduled for October 30, 2026.

As an international technology services provider, TCS delivers consulting, cloud computing, cybersecurity, artificial intelligence, analytics, engineering and enterprise application services. Its main industry segments include banking and financial services, manufacturing, retail, communications, healthcare and energy. Headquartered in Mumbai, India, the company serves customers through operations across 56 countries and 194 service delivery centers.