This statement follows the company's report of a decline in North American revenue for the fifth consecutive quarter, highlighting ongoing challenges in the market.
TCS CEO K Krithivasan expressed confidence during a post-earnings press conference, stating, "The new U.S. administration will eliminate any policy uncertainty."
He also noted a growing order book, adding, "Collectively, we anticipate greater confidence in discretionary programs in the upcoming years."
The Mumbai-based firm declared a special dividend of 66 rupees ($0.7691) per share.
For the October-December quarter, TCS reported a consolidated revenue increase of 5.6%, reaching 639.73 billion rupees, although this fell short of analysts' average forecast of 644.52 billion rupees, according to LSEG data.
The company's quarterly net profit rose by 12% to 123.80 billion rupees, slightly below the analysts' mean estimate of 123.99 billion rupees.
Piyush Pandey, an analyst at Centrum Broking, commented, "While revenue growth did not meet expectations, the third quarter is typically weaker as many clients reduce operations for the holiday season." He also pointed out that recent deal wins and improvements in operating margins could be positive indicators for a recovery in the U.S. market in the near future.
The Indian IT services sector has been experiencing a slowdown in growth over the past few years, primarily due to reduced technology spending by clients in the U.S. and Europe amid economic challenges.
TCS's total order book reached $10.2 billion for the quarter, an increase from $8.6 billion in the previous quarter and $8.1 billion in the same period last year.
As the first major IT firm to release its earnings in this cycle, TCS sets the stage for upcoming reports from smaller competitors such as Infosys, HCLTech, and Wipro, which are expected next week.
Shares of the Mumbai-listed company closed down 1.7% prior to the earnings announcement.