What is TCS hiding?

Why read this story?

Editor's note: With revenue of $20.9 billion, Mumbai-based Tata Consultancy Services Ltd is easily India’s true-blue corporate performer. TCS has had decades of impeccable growth and management, delivering profits and dividends as long as one can remember. It is the tenth largest Indian company by revenue and turns in the second highest profits. It has a market capitalization of Rs 8 lakh crore ($110 billion), second only to Reliance Industries Ltd, and also happens to be India's biggest private sector employer, with nearly 450,000 employees. People call it the crown jewel of the Tata group. Without it, India's biggest conglomerate would seem like a collection of old economy baubles, from auto to hotels to tea. So, when TCS decided to stop reporting earnings from its fastest growing new business, which accounts for a third of its overall revenue, it should have set the alarm bells ringing. It did not. Last October, TCS decided it will no longer report revenues from its five-year-old digital business separately. Worth $6 billion and growing at an annualized 32% year-on-year, it was one sweet spot in the …