Despite rising revenues from India, IT services major Tata Consultancy Services (TCS) remains cautious on the country saying it is waiting for "more broad-based confidence" to come back.
The Mumbai-based firm, which registered revenues of over $3.6 billion in the April-June 2014 quarter, saw its India business grow at five per cent.
"Last quarter also, we had a growth in India and this quarter also, we expect to have growth in India; however, we want to still keep it on a watch mode because we are still waiting for more broad-based confidence to come back," TCS chief financial officer Rajesh Gopinathan told analysts.
He added that though the company is witnessing some amount of momentum but it is "early days yet" to call it a big turnaround.
"However, it will grow and we expect it to grow better than average this quarter also," he said.
According to TCS' Annual Report for FY2013-14, India accounted for 6.71 per cent of the company's revenue (Rs 5,487.8 crore (Rs 58.88 billion) compared to Rs 4,890.26 crore (Rs 48.9 billion) (7.76 per cent) of the total revenues in fiscal 2013.
North America, which is the company's largest market, accounted for 53.03 per cent, followed by the UK (17.42 per cent), Europe (11.22 per cent) and Asia Pacific (7.22 per cent).
Asked if the growth in India is coming from couple of clients or is more broad-based, Gopinathan said growth is coming across both government as well as private sector.
"Is it broad based? Technically, yes. But, does it give us confidence on it? Not yet," he added.
TCS is scheduled to announce financial results for the July-September quarter on October 16, 2014.
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