THE SECOND QUARTER (July to September) earnings season has kicked off and it hasn’t been all good news for the information technology majors—Tata Consultancy Services (TCS), Infosys, HCL Technologies (HCLTech), and Wipro. A decline in revenues, a slowdown in growth, and a cutback in hiring were prominent themes across IT companies. Although the firms’ managements sought to highlight the big deal wins, they trimmed the outlook for the upcoming quarters.
TCS, the leader in terms of market capitalisation, missed street estimates in Q2FY24. Its revenue was up 0.5 per cent sequentially at ₹59,692 crore, but was up 7.9 per cent year-on-year. In US dollar terms, revenue declined for the first time in over 13 quarters, dipping 0.2 per cent sequentially. The company reported a net profit of ₹11,342 crore, up 2.42 per cent sequentially, but below estimates.
Analysts at ICICI Securities downgraded TCS after noting that the demand environment for IT companies was tough. “Revenue growth continues to be muted despite strong deal TCV (total contract value) of $10 billion-plus for three consecutive quarters, due to rationalisation of discretionary spends in existing projects and completion of certain large transformation projects,” the analysts said.
Similar trends were observed at Infosys, which reported revenue of ₹38,994 crore. In constant currency terms, Infosys reported revenue growth of 2.3 per cent sequentially, operating profit of ₹8,274 crore and an Ebit (earnings before interest and taxes) margin of 21.2 per cent.
Esta historia es de la edición November 12, 2023 de Business Today India.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición November 12, 2023 de Business Today India.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor? Conectar
"Moving to cloud helped us grow❞
What was the problem you were grappling with?
She's Got Time
MORE WOMEN ARE BECOMING WATCH CONNOISSEURS, SEEKING OUT BOTH JEWELLED AND TECHNICAL WATCHES FOR THEIR STYLE AND CRAFTSMANSHIP
RISING STAR
PARUL GULATI IS a name that's been steadily gaining prominence in the Indian entertainment industry after she appeared on season 2 of Shark Tank in 2023. She has become a multifaceted personality who effortlessly transitions between acting and entrepreneurship.
Building on a Legacy
WHEN ZAHABIYA KHORAKIWALA stepped into her role as Managing Director of Wockhardt Hospitals over a decade ago, she confronted formidable challenges that have since turned into achievements.
LEADER IN INNOVATION
AS FEDEX'S PRESIDENT (Middle East, Indian subcontinent and Africa), Kami Viswanathan has a lot on her plate.
WAITING IN THE WINGS
Here are those who missed out as they have not yet completed a year in office; they'll be strong contenders in 2025
A DECENT PROPOSAL
IN TODAY'S WORLD OF TRYING TO CREATE AN EQUITABLE SPACE, BOTH MEN AND WOMEN CONTRIBUTE TO THEIR HOUSEHOLDS. WOMEN ARE ENCOURAGED TO HAVE THEIR OWN SAVINGS POOL AND INVESTMENT ROUTINE. GIVEN THIS, HOW SHOULD FUTURE BRIDES APPROACH FINANCIAL PLANNING?
Women and the STEM Bias
EMPOWERING WOMEN IN STEM WILL NOT ONLY BENEFIT INDIVIDUALS, BUT ALSO STRENGTHEN THE ENTIRE INDUSTRY, DRIVING INNOVATION AND PROGRESS.
ROCKET WOMEN
WOMEN IN INDIA ARE NOT ONLY VENTURING INTO SPACE BUT ARE ALSO STARTING TO SPEARHEAD THE COUNTRY'S EFFORTS IN THE GLOBAL SPACE RACE.
ONE STEP FORWARD
THE NUMBER OF WOMEN INDEPENDENT DIRECTORS IS GROWING STEADILY, BUT IT'S A LONG WAY FROM GENDER PARITY. MUCH MORE NEEDS TO BE DONE TO BREAK THE GLASS CEILING IN BOARDROOMS.
