Muted Q1 awaits IT on sluggish spends and deal momentum

India’s $280 billion IT services industry is expected to post muted first-quarter performance, weighed by continued caution in technology spending by corporations that is leading to slow decision-making and sluggish deal momentum, according to analysts.

Among the top six, industry leader Tata Consultancy Services, HCLTech, Wipro and Tech Mahindra are projected to post low single-digit to flat revenue growth sequentially in the April-June quarter, and even a decline year-on-year in constant currency.