IT services cos to report operating profit margin at 22% in FY25, revenue growth muted; Coforge, LTIMindree rise 4-5%

Information technology (IT) services companies will likely report muted revenue growth at four to six per cent in the current fiscal year 2024-25 (FY25) for a second consecutive year. Despite the challenges, domestic credit rating agency ICRA projects the sector’s operating profit margin (OPM) to remain healthy at ~22 per cent in FY2025, with attrition levels having declined considerably and expected to stabilise over the near term.