Page 13 - It Sector

Potential for Indian IT sector stocks likely to see some rerating

Much of the bad news seems priced in, and a gradual recovery in US tech spending could happen from Q2

IT sector companies defer hikes, lower increments amid slow growth

Wipro has postponed salary hikes, while Infosys and HCL opt not to implement raises

ChatGPT for enterprise is an opportunity for IT sector, say analysts

ChatGPT, launched just nine months ago, has seen teams adopt it in over 80 per cent of Fortune 500 companies, said the company on its website regarding the enterprise offering

32 companies apply under PLI IT hardware scheme: Ashwini Vaishnaw

As many as 32 companies, including global biggies like HP, Dell and Lenovo, have applied under the Production Linked Incentive scheme for IT hardware, Union Minister Ashwini Vaishnaw said on Wednesday. The expected incremental production under the scheme is pegged at Rs 3.35 lakh crore, said Vaishnaw, Minister for Electronics and IT. "India is emerging as a trusted supply chain partner and value added partner ... companies are happy to come to India for manufacturing and design," Vaishnaw said at a media briefing. Overall, 32 applications have been received under PLI for IT hardware scheme so far, Vaishnaw said describing it as a good response. The response is more than anticipated, he said.

Five tech skills make up 78% of hiring demands across industries: Report

A Quess report finds upward hiring trends in India's IT hubs as well as Tier I & II cities as remote work options become available in Q1FY24

IT services sector's revenue growth to slow down to 3% in FY24: ICRA

Indian IT services sector's revenue growth will slow down to 3 per cent in the current fiscal from 9.2 per cent in the previous financial year, a domestic ratings company said on Tuesday. Icra Ratings said the profitability will also take a beating in this financial year and the operating profit margin will narrow by up to 1 percentage point to 20-21 per cent. The topline growth will come down to 3-5 per cent in FY24 from the 9.2 per cent posted in FY23, the agency said, attributing the slowdown to softening demand. The agency's sector head Deepak Jotwani said there has been "persistent uncertainty" in the key markets for IT companies which has resulted in pauses and deferral of non-critical projects and slowdown in discretionary IT spends by key sectors like banking, financial services and insurance, retail, technology and communication. As per industry lobby Nasscom, the sector directly employs over 50 lakh people while analysts say it was crucial for the post-pandemic recovery o

58 firms including top global players registered for IT hardware PLI

As many as 58 companies, including top global players, have registered for the government's Rs 17,000-crore production-linked incentive (PLI) scheme for IT hardware, a senior government official said on Monday. The Ministry of Electronics and IT, Secretary, Alkesh Kumar Sharma said that the response to PLI Scheme 2.0 for IT hardware has been more than expected. "The last date for the scheme is August 30. 58 companies have registered," Sharma said on the sidelines of an event organised by the India Cellular and Electronics Association. When asked if all the top global players have registered, Sharma answered in the affirmative. He said several domestic companies have also registered for the scheme and added that more than two players have already applied for the scheme. The Production-Linked Incentive Scheme 2.0 for IT hardware covers laptops, tablets, all-in-one PCs, servers and ultra-small form factor devices. The scheme aims to broaden and deepen the IT hardware manufacturing .

NBFCs, IT sector biggest draw for equity mutual funds in July, shows data

MFs sold a net of Rs 5,600 crore worth of industrial sector stocks in the April-July period

Goldman sees India IT growth pick up in medium-term; initiates coverage

"Indian IT services companies have doubled their market share in the last 10 years," analysts at Goldman Sachs led by Manish Adukia wrote in a note dated Tuesday

E-recruitment declines 5% in July as employers prioritise need-based hiring

E-recruitment activities in the country witnessed a 5 per cent year-on-year decline in July, as employers are prioritising need-based hiring, a report said on Wednesday. There was a 1 per cent dip in month-on-month hiring, while e-recruitment activities declined by 5 per cent in July compared to the year-ago period. The index dropped from 281 in July 2022 to 268 in July 2023, according to foundit's (formerly Monster APAC & ME) foundit Insights Tracker (fit). This is mainly due to the current fluctuations experienced in the Indian job market as employers prioritise need-based hiring, responding to the evolving economic conditions and changing business requirements, it added. Companies are increasingly conducting D&I (diversity and inclusion) and sensitisation training for their employees, reflecting a significant shift in how organisations are working towards creating inclusive and safe professional environments for diverse communities. Regarding various industries, the ...

Intent to hire freshers improves marginally by 3% in Jul-Dec 2023: Report

Intent to hire freshers in the second half of this year has witnessed a marginal increase of 3 percentage points and the top three industries with the highest hiring intent for freshers are e-commerce and technology startups, telecommunications and engineering, and infrastructure, says a report. According to TeamLease EdTech, there is an increase of 3 percentage points in the second half of 2023 at 65 per cent as against the first half of 2023 (62 per cent) in freshers hiring in India. Additionally, the overall hiring intent for all categories of jobseekers has risen to 73 per cent from 68 per cent over the same duration. Such sustained growth implies an optimistic job market in the coming months, especially for freshers. The survey covered 737 small, medium, and large companies across 18 industries across India. The coverage was spread across 14 geographical areas [metros, tier-1, & tier-2] reflecting the hiring sentiment of fresh degree apprentices in India. "Amidst a ...

Cognizant Q2 profit down 19.7%, retains 2023 revenue growth guidance

Chief Financial Officer Jan Siegmund to retire in early 2024 but plans to stay in his role until the company identifies a successor and transition is completed

TCS undergoes rejig, creates a business unit focused on AI, Cloud

The rejig goes back to vertical focus, and will encompass the earlier rejig done by Rajesh Gopinathan

Vinsys IT Services set price band at Rs 121-128/share; IPO to open on Aug 1

IT and software services company Vinsys IT Services India on Tuesday said it has set a price band of Rs 121-128 per share for its initial public offering, which will hit the capital market on August 1. The public issue will conclude on August 4. The proceeds from the fresh issue will be utilised for meeting working capital requirements, repayment of loan to a subsidiary and general corporate purpose. The company shares will be listed on SME Emerge platform of the National Stock Exchange after the Initial Public Offering (IPO), the company said in a statement. The firm plans to offer 3.89 million equity shares with a face value of Rs 10 each through the book-building process. The company will raise up to Rs 49.84 crore through the public offering. Marquee investors such as NAV Capital Emerging Star Fund, xMultiplied, Nova Global Opportunities Fund, Aegis Investment Fund and Sambhavnath Investments have invested in the company's pre-IPO funding. For the fiscal year ending March 31

Trouble for new engineering graduates as IT hiring to hit 3-yr low in FY24

The fear of a recession in the US has emerged as a major hurdle for the IT sector. There is also a dearth of new projects which may impact the recruitment of new engineers

Cautious outlook

Growth in the IT sector will be slow

Online content creators and directors flag issues hurting business

Though the experts and industry stakeholders appreciated the government's aim to preserve the rule of law on the content streamed by OTT platforms

Tata Elxsi Q1 Results: Profit up 2% YoY to Rs 189 cr, revenue jumps 17%

Large Indian IT services companies have flagged discretionary spending cuts by clients and an uncertain demand environment

Wage bill of listed pvt. companies up 17% at Rs 11.5 trn in FY23: Report

The rising trajectory of private corporate wage bill appears structural, having grown from around 9 per cent of GDP in FY12 to around 13 per cent in FY22

Govt offers firms more time to seek IT hardware production incentives

The window to apply for the scheme - PLI 2.0 for IT Hardware - was previously supposed to close on July 15