Greece, China not going to cause any issues for us: TCS

Tata Consultancy Services has said the economic situation in Greece and China will not 'cause any issue' for it.

Tata Consultancy Services, which announced first quarter earnings on Thursday, said its Europe business has grown 19 per cent in the April-June period of 2015-16 as against the same period last fiscal.

"We have seen Europe has grown this quarter 19 per cent on a year-on-year basis. I think it is fair to say, my view is that neither Greece nor China is going to cause any issue for us," TCS chief executive officer N Chandrasekaran said while sharing the results.

The overall momentum is very strong, deals have been pretty strong across industries and across geographies and key markets and verticals are robust, he said.

The recent rout in Shanghai shares and fears of Greek's eurozone exit have been a matter of concern for investors.

Relative to the US and Europe, China accounts for a very small share of business for TCS.

Chandrasekaran said key markets like North America are doing good and that revenue from the region grew 4.3 per cent.

TCS, which kicked off the earnings season on Thursday, reported a meagre 2.1 per cent growth in the June quarter net profit at Rs 5,684 crore, with revenue growth trailing street expectations on difficulties from the Japanese and Latin American markets.

The software major reported a consolidated revenue of Rs 25,668 crore under Indian Gaap accounting, which is up 16.1 per cent on yearly basis and 6 per cent sequentially.

Image: TCS CEO N Chandrasekaran. Photograph: Punit Paranjpe/Reuters