IT Sector Q3 Earnings Preview: HDFC Securities Sees  2021 Starting On A High Note
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IT Sector Q3 Earnings Preview: HDFC Securities Sees 2021 Starting On A High Note

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

HDFC Securities Report

IT sector (coverage universe) is set to post its strongest Q3 sequential growth of the past eight years, despite the seasonality factor and the volatile macro situation.

Following a 6% QoQ growth (rebound) in revenue in Q2, Q3 is expected to print 3.7% QoQ for the sector. The stage is set for a double-digit FY22. Key drivers are -

1. accelerated cloud consumption and shift to cloud (migration and modernisation of workloads) triggered by the pandemic,

2. portfolio consolidation of vendors and applications by enterprise clients driven by cost optimisation and leading to multiple large re-badging deals, and

3. improving partner ecosystem/alliances and continuity in strong execution, despite operational displacement and re-alignment.

Click on the attachment to read the full report:

HDFC Securities IT - Q3FY21 Results Preview .pdf

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