Celebrating the memory, its chief executive officer (CEO) K Krithivasan said in a post on the professional networking platform LinkedIn, “Today marks 20 years since TCS went public with its IPO in 2004. In these two dynamic decades we have helped our clients navigate many technology cycles, reshaped the global IT industry, built rewarding long-term careers for our colleagues and created wealth for our investors.”
“I give heartfelt thanks to all my colleagues at TCS, all our clients and partners, who have been with us on this remarkable journey. While we look back with great pride at all that we have achieved together, we remain equally focused on building a stronger future,” he added posting a picture of a newspaper advertisement of the offer opening details.
The public listing of the Tata group subsidiary happened on 25 August 2004 with TCS shares had listed at a premium of over 26.6% at Rs 1,076 apiece on the BSE. On Friday August 23, the stock ended at Rs 4,464, jumping over 300% since the listing.
TCS has returned 77.5% of cash generated back to the shareholders since listing. It has issued bonus shares thrice and exercised buyback five times.
In 2004, The first billion-dollar IPO in Indian history, the TCS listing was termed groundbreaking with Tata Sons diluting its stake by offering 14% of TCS’s equity shares.
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In FY24, TCS’s shareholder payout was Rs 47,445 crore, the largest payout to date. The average shareholder payout has also been more than 100% during the last 5 years.“The journey to our IPO showcased the strength of TCS. At the time, TCS made history … with the largest IPO by a private sector company. The IPO was oversubscribed several times over on the very first day, signalling robust investor confidence not only in TCS but also in the future of India as a technology powerhouse,” said TCS chief financial officer Samir Seksaria on LinkedIn.
Just before the IPO in 2003, TCS revenues touched the $1 billion mark, making it the first Indian IT services organization to generate the amount in annual revenues.
In 20 years, TCS’s net profit grew by over 15 times while revenue grew at a CAGR of 15.8% in dollar terms.
With five CEOs in its 56-year history, the Mumbai firm has grown almost 20-fold in annual revenues at $29.1 billion, with industry-leading operating margins and profitability. One of India’s most valuable companies, its current market capitalisation has reached $200 billion.
About more than a week back, the IT bellwether also organised a gathering with select group of analysts which also commemorated the 20 years of listing and showcasing company’s technology prowess.
This year, in the first quarter earnings ending June, TCS reported a 3.1% sequential drop yet 8.7% year-on-year growth in profit and revenue up both 5.4% from last year and 2.2% sequentially across all verticals, excluding telecom. It ended June with a net hiring at a seven-quarter high, indicating revival signs for FY25.
The firm’s global footprint has expanded to 55 countries with over 300 offices and more than 200 delivery centers, and a workforce of over 600,000 consultants from 152 nationalities today.
