SYNOPSIS:
The article compares India’s IT giants, Infosys and TCS, analysing revenue, segment performance, financials, workforce metrics, and dividends, highlighting growth trends, emerging hubs, and strategic positioning in the evolving IT sector.
The IT and BPM sector has emerged as a cornerstone of India’s economy, playing a vital role in driving growth, generating employment, and supporting public welfare initiatives. In April 2025, the industry witnessed a 16 percent YoY increase in hiring, fueled by the growing adoption of AI, cloud modernisation, and the expansion of Global Capability Centres (GCCs).
According to NASSCOM, India’s IT industry has seen remarkable growth, with revenues rising from $118 billion in FY15 – including $100 billion in exports – to an estimated $283 billion in FY25, of which exports contributed $224 billion. IT exports grew by 12.48 percent in FY25, up from $199.5 billion in FY24, with STPI-registered units alone contributing Rs. 10.64 lakh crore. Export of IT services remained the largest segment, accounting for over 65 percent of total IT exports.
India’s IT growth is increasingly being fueled by emerging hubs beyond the traditional metropolitan centres. Non-metro cities such as Udaipur, Vizag, Coimbatore, and Nagpur saw IT hiring surge by over 50 percent in the first half of 2025, far outpacing Bengaluru and the NCR, which recorded growth of 12-15 percent. This trend reflects a structural shift, with tier-II and tier-III cities attracting demand in areas like AI, cloud computing, and cybersecurity, while also offering cost advantages of approximately 30 percent.
Mid-sized IT firms have also reported stronger growth compared to their larger counterparts in FY25, demonstrating greater agility in navigating uncertain global conditions, though maintaining this momentum in FY26 may present challenges.
In the context of India’s IT sector, Infosys Limited and Tata Consultancy Services Limited (TCS) often stand out as benchmark players. While both are industry leaders, they differ notably in terms of financial performance and revenue segmentation. This article focuses on comparing their key financial metrics and business segment contributions to highlight how each company positions itself within the IT landscape.
Price Movement
With a market cap of Rs. 5.98 lakh crores, shares of Infosys Limited moved down by nearly 2 percent on BSE to close in the red at Rs. 1,441.3 on Friday. The stock has delivered negative returns of around 27 percent in one year, and has fallen by over 5 percent in the last one month.
Meanwhile, shares of Tata Consultancy Services Limited moved down by around 0.3 percent to close in the red at Rs. 2,962.6 on BSE, with a market cap of Rs. 10.7 lakh crores. The stock has delivered negative returns of around 28 percent in one year, and has fallen by about 7 percent in the last one month.
Key Workforce and Dividend Metrics
As of the latest update, Infosys has a revenue per employee of Rs. 13,69,676 and has declared an interim dividend of Rs. 23 per equity share, with October 27, 2025, as the record date and November 7, 2025, as the payout date. The company has reported an attrition rate of 14.3 percent.
TCS, on the other hand, has a revenue per employee of Rs. 11,23,621 and an attrition rate of 13.3 percent. The company declared a second interim dividend of Rs. 11 per equity share of Rs. 1 each and has a total workforce of 593,314 employees.
Financials & Revenue Segmentation
In Q2 FY26, Infosys experienced a significant growth in the revenue from operations of Rs. 44,490 crores, a marginal increase of around 5.2 percent QoQ and 8.5 percent YoY. Meanwhile, its net profit stood at Rs. 7,375 crores, representing a rise of around 6.5 percent QoQ and a growth of about 13 percent YoY.
Between FY22 and FY25, Infosys revenue grew at a 3-year CAGR of over 10 percent, while net profit surged at a CAGR of nearly 6 percent. For the quarter ended 30th September 2025, Infosys reported a total revenue of Rs. 44,490 crores, derived from various business segments.
The Financial Services division was the highest contributor, bringing in Rs. 12,320 crores (27.7 percent), while the Manufacturing segment added Rs. 7,347 crores (16.5 percent) to the overall revenue. The Energy, Utilities, Resources, and Services vertical accounted for Rs. 5,945 crores (13.4 percent), and the Retail segment contributed Rs. 5,639 crores (12.7 percent).
Revenue from the Communication segment totalled Rs. 5,397 crores (12.1 percent), and Hi-Tech generated Rs. 3,703 crores (8.3 percent). The Life Sciences segment earned Rs. 2,863 crores (6.4 percent), and all other segments together contributed Rs. 1,276 crores (2.9 percent) during the quarter. In FY26, the company expects revenue to grow by 2-3 percent on a constant currency basis, with operating margins projected in the range of 20-22 percent.
On the other hand, TCS reported a revenue from operations of Rs. 65,799 crores in Q2 FY26, a marginal rise of around 4 percent QoQ and about 2.4 percent YoY. Meanwhile, its net profit stood at Rs. 12,131 crores, representing a rise of around 1.5 percent YoY but a decline of nearly 5.4 percent QoQ. The company’s revenue grew at a 3-year CAGR of nearly 10 percent, while net profit surged at a CAGR of over 8 percent, between the period of FY22 and FY25.
As of September 2025, TCS reported a total segment revenue of Rs. 65,799 crore. Among its business segments, Banking, Financial Services, and Insurance (BFSI) contributed the largest share of Rs. 25,717 crore (39 percent).
The Consumer Business generated Rs. 10,351 crore (16 percent), while Communication, Media, and Technology added Rs. 9,802 crore (15 percent). The Manufacturing segment accounted for Rs. 6,631 crore (10 percent), and Life Sciences and Healthcare contributed Rs. 6,884 crore (10 percent), while Other segments collectively brought in Rs. 6,414 crore (10 percent).
Written by Shivani Singh
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