Updated News Around the World
Margin pressure, demand slump: why Q3 will reset expectations of Indian IT companies
Technology

Margin pressure, demand slump: why Q3 will reset expectations of Indian IT companies

By Andrew McCollum

Synopsis

IT margins have been slowing down and companies are trying to prop them up. But as clients cut spending, they are unlikely to agree to upward revisions in pricing. Moreover, if clients move to consolidate their vendors, margins will come under more pressure.

After the second-quarter results in October 2022, Indian information technology (IT) companies had flagged heightened caution among clients as their largest markets — the US and Europe — were grappling with inflation and economic uncertainty.The October-December quarter has always been seasonally weak for IT companies. Deal-making slows down during Q3 and large verticals like retail freeze their technology operations in preparation for the

BY

  • FONT SIZE

    AbcSmall

    AbcMedium

    AbcLarge

  • SAVE
  • PRINT
  • COMMENT

Uh-oh! This is an exclusive story available for selected readers only.

Worry not. You’re just a step away.

Why ?

  • Exclusive Economic Times Stories, Editorials & Expert opinion across 20+ sectors

  • Stock analysis. Market Research. Industry Trends on 4000+ Stocks

  • Clean experience with
    Minimal Ads

  • Comment & Engage with ET Prime community

  • Exclusive invites to Virtual Events with Industry Leaders

  • A trusted team of Journalists & Analysts who can best filter signal from noise

For all the latest Technology News Click Here 

 For the latest news and updates, follow us on Google News. 

Read original article here

Denial of responsibility! NewsUpdate is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.

Andrew McCollum 109721 posts 0 comments