New Delhi, April 10 -- Tata Consultancy Services (TCS) on Thursday reported a 1.6% net-profit fall in the January-March quarter from the preceding quarter to $1.5 billion on a revenue rise of 1.5% to $7.6 billion. India's largest software services company also reported three large deal wins worth $12 billion in contract value.

Its resilience raises optimism over the future of India's tech firms in the face of an AI storm. Artificial intelligence is taking over coding, the industry's bread-and-butter for decades, which explains a prolonged slump in share prices.

While they may have been blindsided by AI's emergence-and TCS's decision to invest in data centres was seen as the firm settling for a commoditized AI-related revenue stream-AI a...