IT Sector Q2 Results 2025 Preview: Trump tariffs, weak macro to weigh on earnings; midcap IT firms to outperform

The Indian IT services sector will kick off the September quarter earnings season next week, starting with Tata Consultancy Services (TCS). The July–September quarter remained challenging, marked by subdued discretionary spending, elongated decision-making cycles, cautious client sentiment amid macroeconomic uncertainty, and disruption from AI-driven technology shifts. The demand environment has neither improved nor worsened.

IT sector Q2 results are expected to stay muted after Q1 was impacted by tariff-related uncertainty.