IT stocks tumble after Accenture lowers guidance; HCL Tech, Wipro, TCS, Infosys fall up to 6%
The BSE IT index declined nearly 2% today, led by index heavyweights HCL Technologies, Wipro, Infosys, TCS, and Tech Mahindra.
The BSE IT index declined nearly 2% today, led by index heavyweights HCL Technologies, Wipro, Infosys, TCS, and Tech Mahindra.
Mahindra & Mahindra's revenue rises 16% to ₹25,642 crore.
The IT major’s net profit fell 60.6% YoY to ₹510 crore, while revenue from operations slipped 5% to ₹13,101 crore in Q3 FY24.
Revenue from operations declined 5% year-on-year to ₹13,101 crore.
In the first two weeks of December, the BSE benchmark Sensex has rallied 4,617 points, with FIIs injecting over ₹3,900 crore daily on an average this month.
Demand slowdown has forced the big boys of Indian IT to cut their growth outlook for FY24. As macro uncertainty looms large, companies are shifting focus to controlling costs to protect profitability.
Sequentially, the profit declined 28.7% as against ₹692.5 crore in the June quarter.
Post Q2 results, the U.S.-listed shares of Infosys plunged 6.5% to $16.46 in overnight trade on NYSE after the IT heavyweight cut revenue guidance for the second in a row.
Group MD & CEO Anish Shah has delivered a steep increase in RoE while pushing for fast growth in all group businesses.
U.S.-based Accenture gave a bleak revenue growth guidance of 2-5% year-on-year in constant currency terms for the financial year 2023-24 (FY24).