Earnings preview: Indian IT firms to report soft numbers in Q2FY24; revenue, profit likely to be muted
Indian IT firms are likely to report softer Q2FY24 numbers due to headwinds in key markets, leading to a decline in EBIT margin on a YoY basis. Q2FY24 numbers may be better than last quarter but may still fail to meet expectations.
Indian IT players are likely to report a softer set of numbers for the second quarter of the current financial year (Q2FY24) due to prevailing headwinds in the key markets. Experts expect a marginal decline in the IT firms' EBIT margin on a year-on-year (YoY) basis as the cut in discretionary programs, the growth slowdown and the increase in costs such as travel and back-to-office expenses dent profitability.