Indian IT Sector: Q3 to reflect stability, not pickup, for IT firms

Large-cap domestic IT services companies are expected to post modest sequential revenue growth of 0.3–2.2% in the December quarter, with results likely to underline stability rather than a clear acceleration in demand, according to analysts.

The quarter’s performance is expected to be driven largely by deal ramp-ups and company-specific factors, rather than any broad-based improvement in client spending. Analysts at ICICI Securities said they expect constant currency growth of 0.3–2.2% quarter-on-quarter for the top IT companies,