Tata Consultancy Services (TCS) said that it is optimistic about clients' discretionary spending in the next fiscal year riding on better economic environment in the US and Europe. The company expects to do better than what it has done in 2013 so far.

Momentum for technologies such as social, mobile, analytics and cloud (SMAC) are picking up, which offer a ‘multi-billion dollar opportunity’ in revenues for the company in the next three-five years, it said.

“We have invested early in the digital space (SMAC) and it is driving enormous opportunities across sectors, and we are seeing that in all markets. That momentum is picking and will drive growth,” N. Chandrasekaran, Chief Executive Officer and Managing Director, TCS, told reporters here.

He said the company is preparing for the next year by deepening its position in different geographies where it is present right now.

“The initial indication is that there will be an uptake in spending, especially in areas like digital technologies. We are addressing more number of contracts than before,” he said, adding that areas such as utilities, insurance, pharma, retail and financial services would also contribute to a stronger market next year.

On the Indian market, he said the environment continues to be volatile and as the elections are around the corner, there would be a delay in spending. “Also the mix of our business is lopsided towards discretionary spending and we expect the market to be volatile. We have come to live with it,” he said.

Hiring plan On hiring, he said the company that had announced to hire 45,000 people this year, has already hired 50,000 till now. Going forward, it will hire 25,000 freshers for the next financial year and it has already started hiring a few, Chandrasekaran said.

The company will also be hiring locals across geographies such as the US and Europe to keep up with demand for services.

The country’s largest software services exporter reported a consolidated net profit of Rs 4,633 crore for the July-September quarter, up 35 per cent as compared with Rs 3,434 crore in the second quarter of last year. As of September 30, the company has 2.85 lakh employees.

Shares of TCS closed at Rs 2,017.30 on the BSE on Monday, up 0.72 per cent from the previous close.