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Copyright © 2020 Tata Consultancy Services Limited
Investor Presentation
January 2022
Forward Looking Statements
Certain statements in this release concerning our future prospects are forward-looking
statements. Forward-looking statements by their nature involve a number of risks and
uncertainties that could cause actual results to differ materially from market expectations.
These risks and uncertainties include, but are not limited to our ability to, manage growth,
intense competition among global IT services companies, various factors which may affectour
profitability, such as wage increases or an appreciating Rupee, our ability to attractand retain
highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts,
client concentration, restrictions on cross-border movement of skilled personnel, our ability to
manage our international operations, reduced demand for technology in our key focus areas,
disruptions in telecommunication networks, our ability to successfully complete and integrate
potential acquisitions, liability for damages on our service contracts, the success of the
companies in which TCS has made strategic investments, withdrawal of governmental fiscal
incentives, political instability, legal restrictions on raising capital or acquiring companies outside
India, unauthorized use of our intellectual property, pandemics, natural disasters and general
economic conditions affecting our industry. TCS may, from time to time, make additional written
and oral forward-looking statements, including our reports to shareholders. These forward-
looking statements represent only the Company’s current intentions, beliefs or expectations, and
any forward-looking statement speaks only as of the date on which it was made.
The Company assumes no obligation to revise or update any forward-looking statements.
2
We Are…
A global IT services, consulting and
business solutions leader partnering with the world’s leading
businesses in their transformational journeys
15.3%
Lowest attrition in IT Services
in the industry –Dec 31, 2021
$22.0 BN
Revenue FY 21
25.9%
Operating Margin FY21
Among the Top 10
GlobalIT Service Providers
556,000+
Employees
200,000+
Women employees
183 Solution Centers
in 21 countries
$186 BN
Market cap –Dec 31, 2021
Tata Consultancy Services
49.7%
15.6%
16.3%
2.1%
5.1%
9.6%
1.6% Revenue breakup by Geo
North America
UK
ContinentalEurope
Asia Pacific
India
MEA
Latin America
FY21
14.4%
9.6%
8.7%
9.8%
6.6%
19.1%
Revenue breakup by Industry
BFSI
31.8%
Retail & CPG
Manufacturing
Technology & Services
Life Sciences & Healthcare
Communication & Media
Regional Mkts, Others
FY21
3
The Fastest Growing Brand In IT Services
Ranked Global
Top Employer by the
Top Employers’ Institute
Ranked #1 in Customer Given the Best of Best Named Outstanding
Satisfaction in Europe in award by the Association Company in IT Services
Whitelane Research’s of Talent Development in India in Asiamoney’s
poll of large enterprises. for L&D Program 2020 Investor Poll
Ranked amongst the Top3 brands in IT Services
globally by brand value and the fastest growing brand
of the decade
4
The Journey So Far
FY05
FY06
FY07
FY08
FY09
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
FY21
Rev
in
USD
Mn
Industry-leading topline growth …
FY05
FY06
FY07
FY08
FY09
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17
FY18
FY19
FY20
FY21
EPS
in
₹
… with superior profitability
71%
15%
12%
Judicious usage of cash …
2%
Shareholderpayout
Invested Funds
Capex
Acquisitions
FY05 to
FY21
Mar-05
Mar-06
Mar-07
Mar-08
Mar-09
Mar-10
Mar-11
Mar-12
Mar-13
Mar-14
Mar-15
Mar-16
Mar-17
Mar-18
Mar-19
Mar-20
Mar-21
… and higher-than-benchmark share performance
TCS
BSE IT
2473%
1222%
5
Leading Technology Change
Pandemic-Induced Acceleration of Core Transformation
Accelerated Shift to the Cloud
Shift to Digital Channels
Need for Operations Resilience
+ =
All Time High Deal Wins in FY 2021
$31.6 Bn 17.1%
TCV of Order Book Growth YoY
Mix of Growth & Transformation Deals as well as Large Outsourcing Deals
7
Customers Embarking on Multi-Horizon Transformation Journeys
• Application, Data &
Infrastructure Modernization
• Business and IT Operations
Transformation
8
BUILD DIGITAL CORE
INNOVATE BUSINESS MODELS
• New Systems of Engagement
• New Systems of Differentiation
• Collaboration with Adjacent
Enterprises
• Create New Offerings that
Address the Customer’s Purpose
PURPOSE LED ECOSYSTEM INNOVATION
Lead in the New Normal with Business 4.0™
E M B R A C E R I S K
9
L E V E R A G E
E C O S Y S T E M S
M A S S P E R S O N A L I Z E
I N T E L L I G E N T
A G I L E
A U T O M AT E D
C R E AT E
E X P O N E N T I A L VA L U E
C L O U D
PURPOSE - DRIVEN. RESILIENT
. ADAPTABLE.
Promising Beach Head in the Growth & Transformation Opportunity
10
Strategic Investments
Creating a diverse, inclusive and vibrant workplace
Annual Attrition: TCS vs Peers
26k
Contextual
Masters
138k
Elevate – Merit based
skill development
TCS NQT
Best Talent from across India
Industry-FirstInnovations
Talent Clouds
Reimagining Service Delivery
Vision 25x25
Defining the Future of Work
10.5% 11.0% 11.3% 12.1%
7.2%
14.8%
16.7% 17.7% 17.1%
14.4%
FY17 FY18 FY19 FY20 FY21
TCS Peers Composite
Talent Development
Industry
Leading Talent
Retention
12
Doubling Down on Organic Talent Development
43 Mn
Learning Hours
417K
Trained in New
Technologies
Access
Anytime, Anyplace, Any device
Content
Rich & Expanding
Delivery
Domain-infused, Culture focused, Gamified
Infrastructure
Cloud based, Immersive and Virtual
Skilling at Scale 496K
Trained in Agile
13
Enterprise agility for unmatched speed-to-market
With our thought-leading framework
that helps customers adopt agile at scale and
gain concrete business benefits:
TCS Location Independent AgileTM
#TCSLivingAgileTechnique
Born AgileTM
AgilityDebtTM
Service Delivery Maturity Framework
Open Agile Collaborative Workspaces
496,000+
Agile-trained
employees
12,000+
Active agile
engagements
1,000+
Agile delivery
centers
30% to 50%
Increase in
speed-to-market
>90%
End user
satisfaction
50% to 70%
Improvement in
quality
“Agile makes you future-proof and for any kind of
organization it is easier said than done….. But the way it
has been approached in TCS in a very disciplined way,
making sure that you make it step-by-step, moving
forward, is really an absolute joy to see.”
Arie Van Bennekum,
Co-author of the Agile Manifesto
14
Our Investments: Research, Innovation and Ecosystem
6,000+
Researchers,
inventors and
innovators
67
Academic
Partners
240+
Publications
30+
Innovation
Labs
5
Pace Ports
2,400
Start-up
partners
$259 million
Investment**
15
* Numbers as of 31 March 2021. **Consolidated Investments per TCS Annual Report FY21, at the Avg. Exchange rate for FY21.
TCS Patent Wall
6,396
16
patent
applications;
2,201
granted
28 Institutional awards &
professional recognitions
 Best Patent Portfolio – Large
Enterprise (ICT Services)
Enterprise Trophy by World IP
Organization
 National IP Award
 Asia IP Elite
TCS Pace Ports™
TCS Pace Ports™ are experiential spaces which allow customers to experience the transformational power of TCS’
research, innovation and digital prowess come alive under one roof
TCS Pace Ports enable customers to:
Summon the best of the start-up ecosystem: TCS COIN Accelerators
Engage with the Best of Academia through: Academic Research Labs
Develop nimble business model to embrace breakthrough technologies:
Agile Workspaces
Consume the best of TCS’ Thought Leadership: Digital Libraries
Explore digital drivers for growth and transformation: Innovation
Showcases
Watch ideas come alive: Rapid Labs
Pace Port locations:
New York | Amsterdam | Tokyo | Pittsburgh | Toronto
17
BFSI
Retail
Life Sciences
CMI
SMB
TCS Products and Platforms
DevOps
Cognitive AI
Agile Tools
BlockChain
Extensive portfolio of frameworks, accelerators and toolsets across Enterprise Applications, IoT, Data and
Analytics, Cloud migration, Cloud management and Cognitive Business Operations
18
Purpose
Building greater futures
through innovation and
collective knowledge.
Positioning
We are the Purpose-led
Transformation Company
Brand Statement
Building on belief
Our New Brand Identity
Our Narrative
Every business is born out of belief.
The belief you can make an impact.
That you have an idea that matters.
At TCS, we go beyond helping businesses
transform through technology. We help
them make a meaningful difference.
Translating their aspiration into reality.
Building on their ambition and optimism
to transform their business for the better.
So their contribution is felt by their
customers and communities they serve.
At TCS we instill hope into business and
trust into enterprise.
TCS, Building on belief.
19
Longer Term Growth Strategy
Customer-centric Strategy: Going Deeper, Casting Wider
AR/VR
Cloud
Data &
Analytics
RPA
Blockchain
AI
IoT
Putting the
Customer at
thecentre
Research &
Innovation
Talent
Development
Intellectual
Property
Relationship
Focus
Accountability
Full Stakeholder
Coverage
Contextual
Knowledge
Execution
Excellence
Partnership
Ecosystems
Superior Business Outcomes
Highly Satisfied Customers
Enduring Relationships
MFDM™
APIs &
Microservices
Location
Independent
Agile
Industry
Depth
21
Going Deeper, Casting Wider: Business Outcomes
Large Client Metrics
US$ 20 Mn+
US$ 50 Mn+
US$100 Mn+
FY17 FY21
190
228
48
101
35
84
FY17 FY21
19.6
20.2
Rev per US$1 Million Client
$ Mn
22
Strong Organic Growth, with Market Share Gains
0
5000
10000
15000
20000
25000
FY 2009 FY 2021
Revenue in US$ Mn
3.7x
1.4x Global Market for IT & ITeS
1.9x
1.5x
2.9x
Growth Multiples of closest
global and India-based peers
much more active in M&A
23
Consistent Profitable Growth for Long Term Value Creation
Resilient, Industry-Leading Profitability RobustCash Flow
25.7%
24.8% 25.6%
24.6%
25.9%
16.1% 15.4% 15.7% 15.5% 15.6%
FY17 FY18 FY21
TCS
FY19 FY20
Peers Composite
Cash Conversion
OCF to Net Income
105.1%
126.7%
FY17 FY21
Free Cash Flow
USD Mn
$3,824
$5,131
FY17 FY21
EBIT Margin:
TCS vs Peers
24
Free Cash Flow Shareholder Payout
Amt
in
$
Mn
43% 106% 91% 98%
Shareholder-friendly Capital Allocation
$3,824
$4,090
$4,217
$5,131
$1,687
$4,233
$4,070
$4,540 $4,433 $4,604
FY17 FY18 FY19 FY20 FY21
Average Payout
FY17 - FY21 : 89%
25
102%
In a free enterprise, the community is not just
another stakeholder in business, but is in fact the
very purpose of its existence.
-JN Tata
1839-1904
For every $1 returned to
shareholders by TCS, $0.47
goes back to the community,
giving TCS a unique,
purpose-driven worldview
Our ethos
26
Caring for the Community
Overall Impact
1.8 Mn
Beneficiaries
Youth Employment Program
15,262
rural youth across 25 Indian states
BridgeIT
437
entrepreneurs, 200,000
beneficiaries in 10 states
Ignite My Future in School
608,310
students across
353 U.S. school districts
69,000
Volunteers
787,000
Hours
Volunteering
goIT
54,173
students across
33 countries
₹
273 Cr
Contribution to India’s
COVID19 Relief Efforts
2020 Economic Times Corporate
Citizen of the Year
Recognized as America’s #1 Community-
minded Tech company by Points of Light
Winner of Asia Corporate Excellence
& Sustainability Awards (ACES) 2020
• TCS iON CoronaWarriors online
learning program for paramedical
and healthcare workers on COVID-19
prevention and control
• Food supplied to vulnerable sections;
partnered IHCL for meals for 250,000
doctors and healthcare workers
• PPE kits to frontline
workers, medical supplies
and respiratory systems
for treatment
• Contactless patient care
support to Cancer
Institute, Chennai
27
In Summary: TCS Strategy Driving Differentiated Outcomes
Market Trends TCS Approach Outcomes
 Position as a growth and transformationpartner
 More investment in research and innovation,
co-innovationand collaboration
 Domain-specificIP
 Greater focus on contextual knowledge
 Proactive solution selling
 Full stakeholder services and solutions
 Leverage TCS’ contextual knowledge, Location
Independent Agile, Machine First Delivery Model
and Intellectual Property
 Launch of cloud based platforms and new
business models
 LeverageIP portfolio
 Launch of Secure Borderless Workspaces™
 Greater focus on Location Independent Agile™
and MFDM
 Promote operating model transformationusing AI
28
 More and more industries are leveraging
technology to differentiate themselves
 Customers want solutions to business problems
and not just technology skills
 Non CIO buyers emerging in enterprises
 Transformational partners selected based on
solution qualityand time to market
 Greater platformizationof business
 Industry-definingmega deals
 Thinner competitive set
 Higher qualityrevenue
 More fulfilling work, better retention
 Expansion of addressable market
 Higher profile, strategicallymore important
engagements
 Thinner competitive set
 Higher qualityrevenue
 Large deals that improve business visibility
 Expansion of addressable market
 Frees up spends for systems of differentiation
 Pandemic disruption highlights need for
operationalresilience and enterprise adaptability
 Greater focus on resilience and adaptability
 Marketshare expansion
Annexure
Amount in USD Mn, unless otherwise stated
30
Yearly Quarterly
FY21* FY20 YoY 3Q22 3Q21 YoY
Revenuegrowth –
Constant Currency
(0.8)% 15.4%
Revenue - INR Mn 1,641,770 1,569,490 4.6% 488,850 420,150 16.4%
Revenue $22,174 $22,031 0.6% $6,524 $5,702 14.4%
Gross Profit $9,056 $9,069 -0.1% $2,609 $2,373 9.9%
Gross Margin 40.8% 41.2% (33 bps) 40.0% 41.6% (163 bps)
Operating Income $5,741 $5,414 6.0% $1,633 $1,517 7.6%
OperatingMargin 25.9% 24.6% 132 bps 25.0% 26.6% (157 bps)
Net Income $4,513 $4,541 -0.6% $1,303 $1,180 10.4%
Net Margin 20.4% 20.6% (26 bps) 20.0% 20.7% (72 bps)
EPS in INR 89.27 86.19 3.6% 26.41 23.19 13.9%
IFRS
Financial Highlights
* For FY 21, numbers are excluding provision towards legal claim
Thank You

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TCS_Investor_Relations_Presentation_3Q22.pptx

  • 1. Copyright © 2020 Tata Consultancy Services Limited Investor Presentation January 2022
  • 2. Forward Looking Statements Certain statements in this release concerning our future prospects are forward-looking statements. Forward-looking statements by their nature involve a number of risks and uncertainties that could cause actual results to differ materially from market expectations. These risks and uncertainties include, but are not limited to our ability to, manage growth, intense competition among global IT services companies, various factors which may affectour profitability, such as wage increases or an appreciating Rupee, our ability to attractand retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on cross-border movement of skilled personnel, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which TCS has made strategic investments, withdrawal of governmental fiscal incentives, political instability, legal restrictions on raising capital or acquiring companies outside India, unauthorized use of our intellectual property, pandemics, natural disasters and general economic conditions affecting our industry. TCS may, from time to time, make additional written and oral forward-looking statements, including our reports to shareholders. These forward- looking statements represent only the Company’s current intentions, beliefs or expectations, and any forward-looking statement speaks only as of the date on which it was made. The Company assumes no obligation to revise or update any forward-looking statements. 2
  • 3. We Are… A global IT services, consulting and business solutions leader partnering with the world’s leading businesses in their transformational journeys 15.3% Lowest attrition in IT Services in the industry –Dec 31, 2021 $22.0 BN Revenue FY 21 25.9% Operating Margin FY21 Among the Top 10 GlobalIT Service Providers 556,000+ Employees 200,000+ Women employees 183 Solution Centers in 21 countries $186 BN Market cap –Dec 31, 2021 Tata Consultancy Services 49.7% 15.6% 16.3% 2.1% 5.1% 9.6% 1.6% Revenue breakup by Geo North America UK ContinentalEurope Asia Pacific India MEA Latin America FY21 14.4% 9.6% 8.7% 9.8% 6.6% 19.1% Revenue breakup by Industry BFSI 31.8% Retail & CPG Manufacturing Technology & Services Life Sciences & Healthcare Communication & Media Regional Mkts, Others FY21 3
  • 4. The Fastest Growing Brand In IT Services Ranked Global Top Employer by the Top Employers’ Institute Ranked #1 in Customer Given the Best of Best Named Outstanding Satisfaction in Europe in award by the Association Company in IT Services Whitelane Research’s of Talent Development in India in Asiamoney’s poll of large enterprises. for L&D Program 2020 Investor Poll Ranked amongst the Top3 brands in IT Services globally by brand value and the fastest growing brand of the decade 4
  • 5. The Journey So Far FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Rev in USD Mn Industry-leading topline growth … FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 EPS in ₹ … with superior profitability 71% 15% 12% Judicious usage of cash … 2% Shareholderpayout Invested Funds Capex Acquisitions FY05 to FY21 Mar-05 Mar-06 Mar-07 Mar-08 Mar-09 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 … and higher-than-benchmark share performance TCS BSE IT 2473% 1222% 5
  • 7. Pandemic-Induced Acceleration of Core Transformation Accelerated Shift to the Cloud Shift to Digital Channels Need for Operations Resilience + = All Time High Deal Wins in FY 2021 $31.6 Bn 17.1% TCV of Order Book Growth YoY Mix of Growth & Transformation Deals as well as Large Outsourcing Deals 7
  • 8. Customers Embarking on Multi-Horizon Transformation Journeys • Application, Data & Infrastructure Modernization • Business and IT Operations Transformation 8 BUILD DIGITAL CORE INNOVATE BUSINESS MODELS • New Systems of Engagement • New Systems of Differentiation • Collaboration with Adjacent Enterprises • Create New Offerings that Address the Customer’s Purpose PURPOSE LED ECOSYSTEM INNOVATION
  • 9. Lead in the New Normal with Business 4.0™ E M B R A C E R I S K 9 L E V E R A G E E C O S Y S T E M S M A S S P E R S O N A L I Z E I N T E L L I G E N T A G I L E A U T O M AT E D C R E AT E E X P O N E N T I A L VA L U E C L O U D PURPOSE - DRIVEN. RESILIENT . ADAPTABLE.
  • 10. Promising Beach Head in the Growth & Transformation Opportunity 10
  • 12. Creating a diverse, inclusive and vibrant workplace Annual Attrition: TCS vs Peers 26k Contextual Masters 138k Elevate – Merit based skill development TCS NQT Best Talent from across India Industry-FirstInnovations Talent Clouds Reimagining Service Delivery Vision 25x25 Defining the Future of Work 10.5% 11.0% 11.3% 12.1% 7.2% 14.8% 16.7% 17.7% 17.1% 14.4% FY17 FY18 FY19 FY20 FY21 TCS Peers Composite Talent Development Industry Leading Talent Retention 12
  • 13. Doubling Down on Organic Talent Development 43 Mn Learning Hours 417K Trained in New Technologies Access Anytime, Anyplace, Any device Content Rich & Expanding Delivery Domain-infused, Culture focused, Gamified Infrastructure Cloud based, Immersive and Virtual Skilling at Scale 496K Trained in Agile 13
  • 14. Enterprise agility for unmatched speed-to-market With our thought-leading framework that helps customers adopt agile at scale and gain concrete business benefits: TCS Location Independent AgileTM #TCSLivingAgileTechnique Born AgileTM AgilityDebtTM Service Delivery Maturity Framework Open Agile Collaborative Workspaces 496,000+ Agile-trained employees 12,000+ Active agile engagements 1,000+ Agile delivery centers 30% to 50% Increase in speed-to-market >90% End user satisfaction 50% to 70% Improvement in quality “Agile makes you future-proof and for any kind of organization it is easier said than done….. But the way it has been approached in TCS in a very disciplined way, making sure that you make it step-by-step, moving forward, is really an absolute joy to see.” Arie Van Bennekum, Co-author of the Agile Manifesto 14
  • 15. Our Investments: Research, Innovation and Ecosystem 6,000+ Researchers, inventors and innovators 67 Academic Partners 240+ Publications 30+ Innovation Labs 5 Pace Ports 2,400 Start-up partners $259 million Investment** 15 * Numbers as of 31 March 2021. **Consolidated Investments per TCS Annual Report FY21, at the Avg. Exchange rate for FY21.
  • 16. TCS Patent Wall 6,396 16 patent applications; 2,201 granted 28 Institutional awards & professional recognitions  Best Patent Portfolio – Large Enterprise (ICT Services) Enterprise Trophy by World IP Organization  National IP Award  Asia IP Elite
  • 17. TCS Pace Ports™ TCS Pace Ports™ are experiential spaces which allow customers to experience the transformational power of TCS’ research, innovation and digital prowess come alive under one roof TCS Pace Ports enable customers to: Summon the best of the start-up ecosystem: TCS COIN Accelerators Engage with the Best of Academia through: Academic Research Labs Develop nimble business model to embrace breakthrough technologies: Agile Workspaces Consume the best of TCS’ Thought Leadership: Digital Libraries Explore digital drivers for growth and transformation: Innovation Showcases Watch ideas come alive: Rapid Labs Pace Port locations: New York | Amsterdam | Tokyo | Pittsburgh | Toronto 17
  • 18. BFSI Retail Life Sciences CMI SMB TCS Products and Platforms DevOps Cognitive AI Agile Tools BlockChain Extensive portfolio of frameworks, accelerators and toolsets across Enterprise Applications, IoT, Data and Analytics, Cloud migration, Cloud management and Cognitive Business Operations 18
  • 19. Purpose Building greater futures through innovation and collective knowledge. Positioning We are the Purpose-led Transformation Company Brand Statement Building on belief Our New Brand Identity Our Narrative Every business is born out of belief. The belief you can make an impact. That you have an idea that matters. At TCS, we go beyond helping businesses transform through technology. We help them make a meaningful difference. Translating their aspiration into reality. Building on their ambition and optimism to transform their business for the better. So their contribution is felt by their customers and communities they serve. At TCS we instill hope into business and trust into enterprise. TCS, Building on belief. 19
  • 20. Longer Term Growth Strategy
  • 21. Customer-centric Strategy: Going Deeper, Casting Wider AR/VR Cloud Data & Analytics RPA Blockchain AI IoT Putting the Customer at thecentre Research & Innovation Talent Development Intellectual Property Relationship Focus Accountability Full Stakeholder Coverage Contextual Knowledge Execution Excellence Partnership Ecosystems Superior Business Outcomes Highly Satisfied Customers Enduring Relationships MFDM™ APIs & Microservices Location Independent Agile Industry Depth 21
  • 22. Going Deeper, Casting Wider: Business Outcomes Large Client Metrics US$ 20 Mn+ US$ 50 Mn+ US$100 Mn+ FY17 FY21 190 228 48 101 35 84 FY17 FY21 19.6 20.2 Rev per US$1 Million Client $ Mn 22
  • 23. Strong Organic Growth, with Market Share Gains 0 5000 10000 15000 20000 25000 FY 2009 FY 2021 Revenue in US$ Mn 3.7x 1.4x Global Market for IT & ITeS 1.9x 1.5x 2.9x Growth Multiples of closest global and India-based peers much more active in M&A 23
  • 24. Consistent Profitable Growth for Long Term Value Creation Resilient, Industry-Leading Profitability RobustCash Flow 25.7% 24.8% 25.6% 24.6% 25.9% 16.1% 15.4% 15.7% 15.5% 15.6% FY17 FY18 FY21 TCS FY19 FY20 Peers Composite Cash Conversion OCF to Net Income 105.1% 126.7% FY17 FY21 Free Cash Flow USD Mn $3,824 $5,131 FY17 FY21 EBIT Margin: TCS vs Peers 24
  • 25. Free Cash Flow Shareholder Payout Amt in $ Mn 43% 106% 91% 98% Shareholder-friendly Capital Allocation $3,824 $4,090 $4,217 $5,131 $1,687 $4,233 $4,070 $4,540 $4,433 $4,604 FY17 FY18 FY19 FY20 FY21 Average Payout FY17 - FY21 : 89% 25 102%
  • 26. In a free enterprise, the community is not just another stakeholder in business, but is in fact the very purpose of its existence. -JN Tata 1839-1904 For every $1 returned to shareholders by TCS, $0.47 goes back to the community, giving TCS a unique, purpose-driven worldview Our ethos 26
  • 27. Caring for the Community Overall Impact 1.8 Mn Beneficiaries Youth Employment Program 15,262 rural youth across 25 Indian states BridgeIT 437 entrepreneurs, 200,000 beneficiaries in 10 states Ignite My Future in School 608,310 students across 353 U.S. school districts 69,000 Volunteers 787,000 Hours Volunteering goIT 54,173 students across 33 countries ₹ 273 Cr Contribution to India’s COVID19 Relief Efforts 2020 Economic Times Corporate Citizen of the Year Recognized as America’s #1 Community- minded Tech company by Points of Light Winner of Asia Corporate Excellence & Sustainability Awards (ACES) 2020 • TCS iON CoronaWarriors online learning program for paramedical and healthcare workers on COVID-19 prevention and control • Food supplied to vulnerable sections; partnered IHCL for meals for 250,000 doctors and healthcare workers • PPE kits to frontline workers, medical supplies and respiratory systems for treatment • Contactless patient care support to Cancer Institute, Chennai 27
  • 28. In Summary: TCS Strategy Driving Differentiated Outcomes Market Trends TCS Approach Outcomes  Position as a growth and transformationpartner  More investment in research and innovation, co-innovationand collaboration  Domain-specificIP  Greater focus on contextual knowledge  Proactive solution selling  Full stakeholder services and solutions  Leverage TCS’ contextual knowledge, Location Independent Agile, Machine First Delivery Model and Intellectual Property  Launch of cloud based platforms and new business models  LeverageIP portfolio  Launch of Secure Borderless Workspaces™  Greater focus on Location Independent Agile™ and MFDM  Promote operating model transformationusing AI 28  More and more industries are leveraging technology to differentiate themselves  Customers want solutions to business problems and not just technology skills  Non CIO buyers emerging in enterprises  Transformational partners selected based on solution qualityand time to market  Greater platformizationof business  Industry-definingmega deals  Thinner competitive set  Higher qualityrevenue  More fulfilling work, better retention  Expansion of addressable market  Higher profile, strategicallymore important engagements  Thinner competitive set  Higher qualityrevenue  Large deals that improve business visibility  Expansion of addressable market  Frees up spends for systems of differentiation  Pandemic disruption highlights need for operationalresilience and enterprise adaptability  Greater focus on resilience and adaptability  Marketshare expansion
  • 30. Amount in USD Mn, unless otherwise stated 30 Yearly Quarterly FY21* FY20 YoY 3Q22 3Q21 YoY Revenuegrowth – Constant Currency (0.8)% 15.4% Revenue - INR Mn 1,641,770 1,569,490 4.6% 488,850 420,150 16.4% Revenue $22,174 $22,031 0.6% $6,524 $5,702 14.4% Gross Profit $9,056 $9,069 -0.1% $2,609 $2,373 9.9% Gross Margin 40.8% 41.2% (33 bps) 40.0% 41.6% (163 bps) Operating Income $5,741 $5,414 6.0% $1,633 $1,517 7.6% OperatingMargin 25.9% 24.6% 132 bps 25.0% 26.6% (157 bps) Net Income $4,513 $4,541 -0.6% $1,303 $1,180 10.4% Net Margin 20.4% 20.6% (26 bps) 20.0% 20.7% (72 bps) EPS in INR 89.27 86.19 3.6% 26.41 23.19 13.9% IFRS Financial Highlights * For FY 21, numbers are excluding provision towards legal claim