Vendor Evaluation
Indian IT Service Providers Europe Business Performance
1. Indian Providers in Europe: Strategy
Cognizant had near-shore centers in Hungary, and France. When it comes to building local
teams in the respective countries, the company has followed organic as well as acquisition
approach.
Infosys had plans to double the revenue share from Europe to 40 per cent of its total sales by
the end of FY 2014 however the company had missed its goal. The company had planned
revenue mix of 40 per cent from Americas, 40 per cent from Europe and 20 per cent from Asia by
the end of fiscal 2014.
In 2009, India's TCS ranked just 21st in IT services revenue from Europe, the Middle East and
Africa, but rose to 11th at the end of 2012, according to PAC. Indian rivals Wipro and Infosys
ranked 18 and 23, respectively, in 2012, after not cracking the top 25 in 2009.
Public sources
2. Indian Providers in Europe: Acquisition
Infosys
Infosys had acquired Zurich-based Lodestone Holding AG, a leading management consultancy
firm, for 330 million Swiss francs ($345 million or Rs.1,925 crore). The Swiss company added
more than 200 clients from across several industry segments, to Infosys’ pool of over 700 clients.
The acquisition of Lodestone would strengthen its consulting and systems integration (C&SI)
capabilities, by adding more than 850 employees, including 750 experienced SAP consultants into
the company. Geographically, the acquisition augmented its presence in continental Europe and
emerging markets such as Latin America and Asia Pacific.
Tata Consultancy Services
Tata Consultancy Services bought French technology services company Alti SA for over 75 million
euro (Rs 530 crore) in a deal aimed at giving India's largest software company the competitive
edge in the European market. Alti, which has about 1,200 employees, counts Banque de France (
French central bank), BNP Paribas, Credit Agricole, and Societe Generale among its clients in
banking sector besides others such as Air France, L'Oreal and telecom company Orange.
Public sources
3. Europe Quarterly Revenue Growth
Providers Q1 2014 Q2 2014 Q3 2014 Q4 2014 FY 14 Total
FY 13 Total
YoY Increase
TCS 852 951 1,000 1,019 3,822 3,063 759
Cognizant 387 415 429 470 1,701 1,250 451
Infosys 470 496 523 527 2,016 1,710 306
Wipro 461 471 497 516 1,945 1,778 167
HCL 374 384 413 433 1,604 1,286 318
Providers Q1 2013 Q2 2013 Q3 2013 Q4 2013 FY 13 Total
FY 12 Total
YoY Increase
TCS 725 758 784 796 3,063 2,578 485
Cognizant 283 302 317 348 1,250 1,144 106
Infosys 374 393 458 485 1,710 1,531 179
Wipro 425 434 467 452 1,778 1,676 102
HCL 302 311 329 344 1,286 1,090 196
All values in $ millions
3. Europe Annual Revenue Growth
2013
Providers Europe Rev Increase Europe Rev Increase (%) Continental Revenue
(approximate)
TCS 759 24.78% 1,911
Cognizant 451 36% 850
HCL 318 24.73% 802
Infosys 306 17.89% 1,008
Wipro 167 9.39% 972
Indian Providers Europe Revenue
1,284
1,234
1,709
1,778
3,101
0 500 1,000 1,500 2,000 2,500 3,000 3,500
HCL
Cognizant
Infosys
Wipro
TCS
$ Million
1604
1945
2016
3822
0 1000 2000 3000 4000 5000
HCL
Wipro
Infosys
TCS
$ Million
2014
Financial Reports
3. Europe Revenue Growth Percentage
Providers Q1 2014 Q2 2014 Q3 2014 Q4 2014 YoY
Growth
TCS 17.52% 25.46% 27.55% 28% 24.77%
Cognizant 36.75% 37.42% 35.33% 35% 36%
Infosys 25.67% 26.21% 14.19% 17.89% 17.89%
Wipro 8.47% 8.53% 6.42% 9.39% 9.39%
HCL 23.84% 23.47% 25.53% 24.72% 24.72%
Providers Q1 2013 Q2 2013 Q3 2013 Q4 2013 YoY
Growth
TCS 19.24% 17.34% 18.43% 20.24% 18.81%
Cognizant 0.35% -0.66% 15.69% 22.54% 9.27%
Infosys 5.06% 9.78% 12.25% 18.58% 11.69%
Wipro 5.46% 2.36% 10.14% 6.35% 6.09%
HCL 16.15% 16.48% 20.07% 19.03% 17.98%
4. Europe Quarterly Revenue Growth
Providers Q1 2013 Q2 2013 Q3 2013 Q4 2013 FY 13 Total
FY 12 Total
YoY Increase
TCS 725 758 784 796 3,063 2,578 485
Cognizant 283 302 317 348 1,250 1,144 106
Infosys 374 393 458 485 1,710 1,531 179
Wipro 425 434 467 452 1,778 1,676 102
HCL 302 311 329 344 1,286 1,090 196
Providers Q1 2012 Q2 2012 Q3 2012 Q4 2012 FY 12 Total
FY 11 Total
YoY Increase
TCS 608 646 662 662 2,578 2,030 548
Cognizant 282 304 274 284 1,144 847 297
Infosys 356 358 408 409 1,531 1,298 233
Wipro 403 424 424 425 1,676 1,229 447
HCL 260 267 274 289 1,090 960 130
All values in $ millions
4. Europe Annual Revenue Growth
1133
1009
1545
1675
2542
0 500 1000 1500 2000 2500 3000
HCL
Cognizant
Infosys
Wipro
TCS
$ Million
2013 2012
Providers Europe Rev Increase
($ mn) Europe Rev Increase (%)
Continental Revenue
(approximate $ mn)
TCS 558 21.9% 1,550
Cognizant 213 20.8% 657
HCL 151 13.5% 889
Infosys 163 10.5% 854
Wipro 103 6.14% 642
Indian Providers Europe Revenue
1,284
1,234
1,709
1,778
3,101
0 500 1,000 1,500 2,000 2,500 3,000 3,500
HCL
Cognizant
Infosys
Wipro
TCS
$ Million
Financial Reports
4. Europe Revenue Growth Percentage
Providers Q1 2013 Q2 2013 Q3 2013 Q4 2013 YoY
Growth
TCS 19.24% 17.34% 18.43% 20.24% 18.81%
Cognizant 0.35% -0.66% 15.69% 22.54% 9.27%
Infosys 5.06% 9.78% 12.25% 18.58% 11.69%
Wipro 5.46% 2.36% 10.14% 6.35% 6.09%
HCL 16.15% 16.48% 20.07% 19.03% 17.98%
Providers Q1 2012 Q2 2012 Q3 2012 Q4 2012 YoY
Growth
TCS 27%
Cognizant 35%
Infosys 18%
Wipro 36%
HCL 13.5%
5. Europe Quarterly Revenue Growth
Providers Q1 2012 Q2 2012 Q3 2012 Q4 2012 FY 12 Total
FY 11 Total
YoY Increase
TCS 608 646 662 662 2,578 2,030 548
Cognizant 282 304 274 284 1,144 847 297
Infosys 356 358 408 409 1,531 1,298 233
Wipro 403 424 424 425 1,676 1,229 447
HCL 260 267 274 289 1,090 960 130
All values in $ millions
5. Europe Annual Revenue Growth Indian Providers Europe Revenue
1133
1009
1545
1675
2542
0 500 1000 1500 2000 2500 3000
HCL
Cognizant
Infosys
Wipro
TCS
$ Million
960
847
1298
1229
2030
0 500 1000 1500 2000 2500
HCL
Cognizant
Infosys
Wipro
TCS
$ Million
2012 2011
Providers Europe Rev Increase
($ mn) Europe Rev Increase (%)
Continental Revenue
(approximate $ mn)
TCS 512 25.22% 1271
Wipro 446 36.28% 837.5
Infosys 247 19.02% 772.5
Cognizant 162 19.12% 504.5
HCL 173 18.02% 566.5 Financial Reports