UPDATE 2-Tata Consultancy Q2 earnings misses estimates; shares fall

viernes 17 de octubre de 2014 03:31 GYT
 

* Shares headed to post biggest fall in five-and-a-half years

* Shares sell-off triggered by high street expectations

* TCS says saw weakness in demand in some sectors; Latin America

* Q2 net profit at 52.88 bln rupees versus 53.84 bln estimates (Adds share reaction, analyst comment, details)

By Nivedita Bhattacharjee and Sumeet Chatterjee

MUMBAI, Oct 17 (Reuters) - Tata Consultancy Services Ltd , India's biggest software services exporter, posted a 13.6 percent rise in quarterly net profit, but missed analyst estimates on weakness in outsourcing demand in Latin America and in some industrial sectors.

TCS shares fell as much as 8.5 percent on Friday, setting it on course to log its worst single-day fall in nearly five-and-a-half years, in a positive Mumbai market. The stock was up 25 percent this year as of Thursday, more than the main market.

The TCS earnings announcement came after market hours on Thursday.

TCS is part of a $100 billion-plus Indian outsourcing sector that generates about 90 percent of its revenue from providing services such as IT network installation and the development of software applications for overseas clients.   Continuación...