Professional Documents
Culture Documents
TCS
The IT INDUSTRY
Members:
Vishal Agarwal Karan Mehta Neeta Pai Kavita Shetty Kishori Sawant 01 15 18 27 38
Tata Consultancy Services formed Alliance with Infor Global Solutions (Feb 2012)
Airtel selected Infosys Limited for its Mobile Wallet service (Feb 2012)
Contribution of IT Industry-GDP
% GDP
7 Contribution of IT Indusry to GDP
GDP
2005 3.6
2006 4.1
2007 4.7
2008 5.2
2009 5.2
2010 6.1
2011 6.4
Deep Negative
Positive Negative
Political
Economic
1. Global IT spending (demand) 2. Domestic IT Spending (Demand):Domestic market to grow by 20% and reach approx USD 78.9 billion in 2012 - NASSCOM 3. Currency Fluctuation 4. Attrition: Due to recession, the layoffs and job-cuts have resulted in low attrition rate. 6. ECOMONIC ATTRACTIVENESS due to cost advantage and other factors.
Technological
1. Telephony: a. India has the worlds lowest call rates (1-2 US cents). b. Expected to have total subscriber base of about 500 million by 2010. c. ARPU for GSM is USD 6.6 per month. d. India has the second largest telephone network after china. e. Teledensity 19.86 % f. Enterprise telephone services, 3G, Wi-max and VPN are poised to grow. 2. Internet Backbone: Due to IT revolution of 90s, Indian cities and India is well connected with undersea optical cables. 3. New IT technologies: Technologies like SOA, Web 2.0, High-definition content, grid computing, etc and innovation in low cost technologies is presenting new challenges and opportunities for Indian IT industry.
Highly Positve
Positive Positive
Mildly Positive
Environment
Energy Efficient processes and equipments: Companies are focusing on reducing the carbon footprints, energy utilization, water consumption, etc.
Positive
Industry Analysis
Market Size
45 40 35 30 25 20 15 10 5 0 Domestic Export 40.3 31.3 in USD billion $
23.6
17.7 12.9 3.8 2004 3.8 12.9 4.8 2005 4.8 17.7 6.7 8.2 11.7
More than 80% of revenues come from Exports and only 20% from domestic business
Market Share in %
Industry Analysis
APAC, 17.30% USA, 43% USA EUROPE APAC EUROPE, 39.70%
Revenue by Geography
BFSI
TELECOM
MANUFACTURING RETAIL
Indian IT industry Revenue Breakup by sector . Focus must shift from BFSI sector to other sectors.
MEDIA ,PUBLISHING & CONSTRUCTION & UTILITIES HEALTH CARE AIRLINES & TRANSPORTATION OTHERS
Company Level
Company Analysis
TCS TCS
Application Development and Application Development and Maintenance Maintenance Business Intelligence Business Intelligence Enterprise Solutions Enterprise Solutions Assurance Services Assurance Services Engineering and Industrial Services Engineering and Industrial Services Infrastructure Services Infrastructure Services Consulting Consulting Asset Leveraged Solutions Asset Leveraged Solutions Business Process outsourcing Business Process outsourcing
INFOSYS INFOSYS
Year of Incorporation
Year of Incorporation
Credit rating
Global Consulting Global Consulting IT Services IT Services End to End Business Solutions End to End Business Solutions Software consulting Software consulting Software Design Software Design Software Development Software Development Software reengineering Software reengineering Software maintenance Software integration Systems maintenance Systems integration and Package evaluation Package evaluation and implementation and infrastructure implementation and infrastructure management services management services Banking Software products for Software products for Banking Industry and Business process Industry and Business process management services Date of incorporation is January 19, 1981 as Infosys Consultants management services 1995. incorporation is January 19, Private Limited Date of 1981 as Infosys Consultants July Infosys Technologies Limited in 1995. 2004, it was listed on the NSE and Private Limited BSE on August listed on the NSE and Infosys Technologies Limited in 25, 2004. June 1992 July 2004, it was Infosys Limited in June 2011 BSEston August 25, 2004. June 1992 31 march 31st march Infosys Limited in June 2011 st Corporate 31Investment grade rating A3 march 31st march credit rating BBB+ Foreign Currency Debt rating - Baa1 Dun Brad Street rating- 5A1 Investment grade rating A3 Corporate credit rating BBB+ Corporate credit rating BBB+ Foreign Currency Debt rating - Baa1 Dun Brad Street rating- 5A1 Dun Brad Street rating- 5A1 Corporate credit rating BBB+ Dun Brad Street rating- 5A1 NSE:TCS NSE:INFY BSE:532540 BSE:INFY
NSE:INFY NASDAQ:INFY BSE:INFY fully paid up 57,42,19,117 NASDAQ:INFY 57,42,19,117 fully paid up Head Quartered in Bangalore
68 global development centers - 32 are in India and 36 are outside Head Quartered in Bangalore India 68 global development centers - 32 64 sales offices 36 are outside are in India andaround the world 4 are India in India and 60 are outside India
64 sales offices around the world 4 are in India and 60 are outside
27
28
29
30
34
35
2010
23.07 18.69 21.78 2007 2009 2008
27
28
40
42
37.11
38.02
33.65
41.19 47.59 0 10 20 30 40
2007
2007
50
40
2000
15000
20000
0.2
0.4
0.6
0.8
6000
115307
50000
100000
INFOSYS
Close Value 4000 3500 3000 2500 2000 1500 1000 500 0
0.2 0.1 0 -0.1 -0.2 -0.3 -0.4 -0.5 -0.6 -0.7 -0.8
D D D D D D D
INFOSYS
130 % 120 % 545 % 200 % 270 200 Continuous Compounding Returns
400 %
2008 2007
2008
2007
50
Rs.
2007 21.53
2008 25.68
2008 81.45
Ratios
2007 16
2008 18
2009 22
2010 23
2011 12
0.00
Ratios
0.00
Ratios
2007 29.76
2008 18.40
2009 13.02
2010 21.97
2011 29.64
3000.00
2000.00 1000.00 2007 Ratios 2303.00 0.00
0.00
2008 2446.00
2009 3975.00
2010 5290.00
2011 3118.00
100.00
0.00 NP EPS 2007 230.20 67.7 2008 273.57 81.45 2009 353.75 104.53 2010 368.40 109.2 2011 442.13 119.05
2008 10807.00
2009 13248.00
NPAT CFOP
NPAT CFOP