Tata Consultancy Services (TCS) on Monday met Street estimates with its net profit and revenues for the fourth quarter ended March 31, 2022.

The company hired more than 1 lakh freshers from campuses amid the pandemic in FY22 against target of 40,000. It has 5.92 lakh employees on its rolls, the highest among listed entities.

Net profits of the country’s largest IT services firm rose 7.40 per cent to Rs 9,926 crore against Rs 9,246 crore in the same period of the previous year.

Brokerages had expected net profits to come between Rs 9,900 crore and Rs 10,000 crore.

The results went to show that TCS continued to benefit from increased spending in areas such as digital, cloud and the internet of things (IoT). Revenues also matched estimates as it shot up almost 16 per cent to Rs 50,591 crore in the quarter against Rs 43,705 crore in the year-ago period.

In dollar terms, the revenues shot up to $6,696 million from $5,989 million in the corresponding period of the previous fiscal.

TCS posted revenues of Rs 1,91,754 crore in FY22 against Rs 1,56,949 crore a year ago. Net profits stood at Rs 38,327 crore against Rs 32,340 crore, previously.

A key highlight of the quarter was the total deals in the pipeline — at $11.3 billion against $7.6 billion in the October-December 2021 period.

Rajesh Gopinathan, chief executive officer and managing director, said the results indicated a steady recovery and provided a sound footing for 2022-23.

North America led the performance among geographies with an annual 18.7 per cent growth in revenues.

The UK and Europe also put in a good show by posting growth of 13 per cent and 10 per cent, respectively.

In terms of domain, the BFSI (banking, financial services & insurance) which is its largest vertical showed a rise of 12.9 per cent.

The retail sector which was badly hit during the pandemic came back strong and recorded a growth of 22 per cent.

TCS continued to battle employee attrition during the quarter which rose to 17.4 per cent from 15.3 per cent in the preceding three months.

Gopinathan said although its attrition has inched up on an absolute basis, TCS has the best retention rates in the industry and attrition would moderate as the year progresses.

The board of directors on Monday proposed a final dividend of Rs 22 per share. Ahead of the results, the stock saw marginal gains to close at Rs 3,696.40.