Strong demand for large-scale projects in cloud migration, artificial intelligence-led digital transformation and data security has helped companies such as Accenture, a Reuters report said, adding that the US IT company has secured several large projects and partnered with banks, telecommunication firms and sports firms among others.
Accenture results are an indication of the broader trends in the sector and are viewed as a harbinger of what lies ahead for the domestic IT sector. The domestic earnings season will begin in April with the announcement of Tata Consultancy Services‘ (TCS).
The company now expects annual revenue to grow between 5% and 7%, compared with its prior forecast of 4% to 7%. Analysts had expected revenue growth of 5.7%, according to data compiled by LSEG.
Also read: Accenture raises full-year revenue forecast on AI services demand
ADRs are tradable securities issued by a U.S. bank, representing shares in a foreign company. They enable U.S. investors to buy and sell foreign stocks on U.S. exchanges using U.S. dollars.Both Infosys and Wipro’s ADRs were trading in the red despite positive trends in the major Wall Street indices. While Dow 30 was trading at 42,167.90, gaining 203.28 points or 0.48%, the S&P 500 was 25.06 points or 0.44% higher at 5,700.35. The Nasdaq Composite was hovering near 17,850 levels, jumping by 106.88 points or 0.60%.The Nifty IT index today ended at 36,676.65, up 1.25% and was among the top performing indices, trailing only Nifty Auto, which was marginally up.
The technology companies reported around 9% year-on-year growth in their Q3FY25 earnings, Motilal Oswal Financial Services said in a review note. The IT services companies presented a mixed picture in a seasonally weak Q3FY25 quarter, with a median revenue growth of 1.8% QoQ CC in 3QFY25 versus 2%, 1.2% and 0.7% in 2QFY25, 1QFY25 and 4QFY24, respectively.
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