Tata Consultancy Services led the market focus with mixed Q3FY26 results, showing revenue growth but profit decline due to regulatory impacts. HCLTech also reported quarterly results, while several other companies announced major business developments and corporate actions.

TCS Q3FY26 Financial Performance

Tata Consultancy Services delivered revenue in line with estimates but missed profit expectations in Q3FY26. The company's financial metrics showed:

The significant profit decline was primarily attributed to new labour codes, legal claims, and restructuring costs totaling ₹3,391 crore. Despite the profit miss, TCS announced a bumper dividend of ₹57 per share, including a special dividend of ₹46 per share.

TCS Operational Highlights

The company demonstrated strong performance in key operational areas:

• Revenue grew 0.8% in constant currency terms, up from 0.6% in Q2
• Q3 annualized AI revenue reached $1.8 billion, up 17.3% quarter-on-quarter in constant currency
• Deal wins remained robust at $9.3 billion versus $10 billion in Q2
• Attrition rate increased slightly to 13.5% from 13.3% in Q2
• Headcount decreased by 11,151 quarter-on-quarter in Q3

HCLTech Q3FY26 Results

HCL Technologies reported strong revenue growth but faced similar profit pressures:

HCLTech's results beat revenue estimates but missed on profits, with new labour codes impacting profits by ₹956 crore. The company upgraded its service revenue guidance to 4.75%-5.25% from the previous 4%-5% range.

Major Corporate Developments

Several companies announced significant business initiatives:

KP Energy entered into an agreement with the Gujarat Government to develop renewable energy projects worth ₹4,000 crore.

Sical Logistics received a Letter of Award worth ₹4,038 crore from Southeastern Coalfields for a project in Chhattisgarh.

Biocon opened its Qualified Institutional Placement on January 12 with an approved floor price of ₹387.74 per share, representing a 4% premium to the last trading price.

Other Notable Announcements

Anand Rathi reported total income down 0.4% at ₹306 crore quarter-on-quarter, while revenue grew 22.18% year-on-year to ₹289.62 crore with PAT increasing 29.61% year-on-year to ₹100.19 crore.

Markets closed on a positive note despite volatile trading, with investors focusing on third-quarter earnings from major IT companies and various corporate developments across sectors.

IT Sector Results

Tata Consultancy Services reported a significant decline in its December quarter performance, with consolidated net profit falling 14% year-on-year. HCL Technologies also faced similar challenges, posting an 11% drop in quarterly profits despite revenue growth.

HCL Technologies showed resilience in revenue generation, with operations revenue reaching ₹33,872 crore in Q3FY26, representing a 13% increase from ₹29,890 crore in the corresponding period last year.

Corporate Developments

Ola Electric's Market Expansion

Ola Electric announced a significant milestone with the rollout of its first battery energy storage system, Shakti, from its manufacturing plant in Krishnagiri, Tamil Nadu. This development marks the company's strategic entry into India's residential battery energy storage system market, expanding beyond its traditional automotive domain.

Strategic Acquisitions and Partnerships

Larsen & Toubro completed a major acquisition by purchasing the remaining 40% stake in L&T Sapura Shipping Private Limited from Sapura Nautical Power Pte Ltd for ₹122.4 crore. This transaction makes the offshore marine construction company a wholly owned subsidiary of L&T.

TVS Supply Chain Solution secured a three-year contract from Daimler India Commercial Vehicles to manage in-plant warehouse operations at the German truckmaker's Chennai manufacturing facility. The partnership will focus on end-to-end warehouse operations, material flow optimization, and enhanced operational efficiency.

Brand and Industry Milestones

Indian Hotels Company achieved a historic milestone by securing trademark registration for the 'Taj' sonic sound, becoming the first brand in India's hospitality sector to obtain sound mark registration. This legal protection recognizes sound as a core brand asset and safeguards the Taj brand's distinctive sonic identity.

Reliance Industries clarified that its battery storage manufacturing plans remain unchanged, responding to reports suggesting the conglomerate had paused lithium-ion battery cell manufacturing plans in India due to challenges in securing Chinese technology.

Market Outlook

Several companies including ICICI Pru Life, ICICI Lombard, Tata Elxsi, and Just Dial are scheduled to announce their third-quarter results, which will provide further insights into sectoral performance and market trends.