TCS extends ties with UK insurance major; shares up
Shares of Tata Consultancy Services (TCS) surged 0.9% to ₹3,828.20 after the company announced an expansion of its partnership with the UK’s insurance, wealth, and retirement provider, Aviva.
With this partnership, spanning 15 years, Aviva aims to enhance its UK life business and elevate the overall customer experience. The agreement involves the expansion of end-to-end policy administration and servicing to encompass over 5.5 million policies. Diligenta, TCS' FCA-regulated subsidiary in the UK, will oversee the management of these policies.
“Aviva and TCS have jointly transformed the end-to-end experience of Aviva’s customers over the years, through a strong foundation of digitisation and simplification,” the company says.
Aviva has enlisted TCS to further expand the improved customer experience by utilising the advanced TCS BaNCS digital platform for administering additional segments of Aviva's business portfolios. TCS emphasised its commitment to a customer-centric approach to enterprise digitisation, aligning with the ‘New Consumer Duty Principles’.
Doug Brown, CEO Insurance, Wealth & Retirement, Aviva said, “Extending this strategic partnership will improve how we serve our customers, further simplify our operations and support our growth ambitions. It will allow us to rationalise our systems and improve efficiency, bringing significant benefits for our customers and the business.”
TCS, which recently announced its Q3 numbers, reported 2% year-on-year rise in net profit to ₹11,058 crore for the quarter ended December 31, 2023, compared with ₹10,846 crore in the year-ago period.
Consolidated revenue increased 4% year-on-year to ₹60,583 crore in the third quarter as against ₹58,229 crore in the corresponding quarter last fiscal. The operating margin of India's largest software services provider improved 50 basis points to 25% while its net margin stood at 19.4%.
Also Read: TCS Q3 net profit jumps 2% to ₹11,058 cr
The Bengaluru-based IT company reported a net attrition of 13.3%. Growth in the third quarter was led by the Energy, Resources and Utilities vertical which grew 11.8%, Manufacturing which grew 7% and Life Sciences and Healthcare which grew 3.1%. The Consumer Business Group (CBG) grew -0.3%, BFSI grew -3%, Communications & Media grew -4.9% and Technology & Services grew -5.0%.