Page 12 - It Industry

To cut costs, Indian tech companies expanding into smaller cities

The change also comes as state governments offer stamp duty concessions, land benefits, subsidised power and other incentives to bring jobs to smaller cities

LTIMindtree Q4 FY24: Net profit down 1.2% at Rs 1,100 cr; missed estimates

On the demand scenario, the management said that the firm expects Q1 FY25 to report growth

Centre bets on 'Swades' moment for semiconductor industry's talent

Expects thousand-odd Indian engineers to return from Southeast Asia, US

Tech industry growth projected to halve to 3.8% in FY24 compared to FY23

Industry expected to generate additional $9.3 billion in revenue, spanning across IT services, business process management engineering services: Nasscom

Aspire to further expand operating profit margin: TCS CEO Krithivasan

Having exited FY24 with an operating profit within its aspirational band, the country's largest IT services company TCS will be looking at expanding further on the key metric and take it "as close to" 28 per cent as possible, a top company official has said. "We just entered that (aspirational) range. So, we would aspire to stay here or at least go up as close to 28 (per cent) as possible. We do believe that there are a little more headroom left for us to increase our (margins)," TCS Chief Executive Officer and Managing Director K Krithivasan said. There are a slew of levers available to widen the number like fixing the pyramid, mix pushing its utilisation, and also upping deal pricing, Krithivasan told PTI in an interview. Asked about pricing, which was marked out as a key to improve margins further by its Chief Financial Officer Samir Seksaria in the post-earnings call last Friday, Krithivasan said the company has not faced any troubles on it despite a series of headwinds in its k

Fitch expects HCLTech's revenue to grow by 8% in FY24-27, retains rating

Fitch attributed HCLTech's solid market position, diversified customer base, no country ceiling constraint, and robust profitability as some of the key drivers that led the rating

TCS looking to increase prices to boost operating margins: CFO Seksaria

The company said it is expecting a "better" fiscal 2025 on a robust deal pipeline including a record $13.2 billion worth of orders in the reporting quarter

'India commands over 50% of Global Capability Centres, retains top spot'

India commands over 50 per cent of the Global Capability Centres, and it remains the most preferred destination to set up such GCCs, a report by business consulting company ANSR said on Friday. ANSR Global is a consulting firm that enables organisations to build and manage teams through Global Capability Centres. The company has established over 110 Global Capability Centres, using 12 million sq ft of office space and employs over 1.20 lakh people. According to the quarterly report released on Friday, India commands over 50 per cent of the GCC market with a mix of unique talent and a robust startup system, and the country remains the most preferred destination to set up a GCC. The study also revealed that nearly 80 per cent of GCCs were directing their focus on Artificial Intelligence, Machine Learning, and Data Analytics. "We are witnessing a transformative shift in the Global Capability Centres landscape, with a strong focus on digital capabilities such as AI/ML, analytics, and .

Indian tech earnings may indicate worst is over for showpiece sector

Executives from TCS and Infosys told investors after third-quarter earnings that the market had stabilized and clients were spending on AI-driven projects and software services

Troubles for Indian IT firms linger as clients tighten their budgets

Accenture Plc lowered its revenue outlook last month, citing a pullback in software spending by Wall Street firms, which are among the Indian companies' biggest clients

Srini Pallia's job as Wipro CEO: Drive growth, stem senior-level exits

Pallia joined Wipro in 1992 as product manager and moved to the US in 2000 as general manager, US central

Cognizant defers annual salary hikes to Aug 1, says 'recognises hard work'

Nasdaq-listed information technology company employs some 250,000 people in India

Tech hiring stuck in slow lane leaving engineering talent in quandary

Engineering institutes are feeling the impact of macro uncertainty and past over-hiring, as evidenced by the decrease in campus placements

Results preview: IT firms may report muted Q4 growth, eyes on FY25 guidance

January-March quarter, is considered to be a soft quarter, and will continue to see the headwinds that the sector has been facing. And the sector will enter the new financial year on a weak footing

Integration challenges, valuations key hurdles for LTI Mindtree investors

Centrum Research believes that the company has sufficient operating levers that will help it report a higher margin in FY25 vs FY24

Industry not in sync with K'taka IT union's demands to end labour exemption

KITU, the only registered union of IT/ITeS sector employees in Karnataka, which has a membership of more than ten thousand, demanded the government not renew the exemption anymore

Tech Mahindra to merge two US-based subsidiaries to optimise costs

IT services and consultation company Tech Mahindra said it plans to merge its two wholly-owned subsidiaries, Born Group and Tech Mahindra (Americas), to synergise business operations, optimise operational cost, and reduce compliance risks. The merger is subject to regulatory approvals in the country of incorporation. According to a regulatory filing, the appointed date of the plan of merger is April 1, 2024. "A Plan of Merger of Born Group, Inc., a wholly-owned step-down subsidiary of the Company with its parent company viz. Tech Mahindra (Americas) Inc., a wholly-owned material subsidiary of the Company, has been approved by the respective companies on Friday, 22nd March 2024," the company said. While BORN specializes in providing Brand strategy, visual design, brand identity exploration, and more for digital products, mobile apps, and physical products in the US, TMA provides computer consulting, programming support services and IT Management & Consulting Services. Tech Mahindra

Accenture fans IT industry spending gloom with annual forecast cut

Accenture now expects full-year revenue growth in the range of 1% to 3%, from its prior forecast of 2% to 5%

Tata Sons offloads TCS shares worth over Rs 9,300 crore via open market

Tata Sons has offloaded shares worth around Rs 9,300 crore in IT major Tata Consultancy Services through open market route, a regulatory filing said on Thursday. According to the filing, Tata Sons has sold 234 lakh shares amounting to 0.65 per cent stake in TCS on March 19. Calculated on the basis of the closing price of Rs 3,977.55 on March 19, the deal value comes to Rs 9,307.46 crore. The block deal initiated by Tata Sons was aimed to offload up to 2.34 crore shares of TCS at a floor price of Rs 4,001 per share. This floor price represented a 3.65 per cent discount from Monday's closing price of Rs 4,144.75 apiece. As of December 2023, promoters and promoter group entities hold a 72.41 per cent stake in TCS, of which 72.38 per cent shareholding is owned by Tata Sons. Shares of TCS recovered 0.09 per cent and settled for the day on Thursday at Rs 3,974.05 apiece on BSE, after witnessing a decline in the previous three trading sessions. Tata Sons shares had slipped on stock exch

Despite IT slowdown, high demand for GenAI courses: Simplilearn CEO

The Blackstone-backed firm, which skills and trains people online, said that the demand for GenAI courses in India increased 195 per cent year-on-year in the first quarter of 2024