TCS surges over 3 percent on better-than-expected quarterly earnings

Reuters
Employees of Tata Consultancy Services (TCS) work inside the company headquarters in Mumbai March 14, 2013. REUTERS/Danish Siddiqui/Files

MUMBAI (Reuters) - Shares in Tata Consultancy Services , India's biggest software services exporter, rose 3.6 percent on Friday after its April-June profit and sequential U.S. dollar revenue growth of 5.5 percent beat estimates. Better-than-expected revenue growth reduces the asking rate for achieving management's guidance of better revenue growth in FY15 than FY14, Nomura said in a report on Friday. Analysts added that although TCS' valuation looks rich, it is sustainable given execution and visibility remains good. (Reporting by Abhishek Vishnoi; Editing by Gopakumar Warrier)