1、 EQUITIES IT SERVICES INDIA IT SERVICES Reading global trends:India specific growth challenges 26 AUGUST 2025 Sector Research Report Production time:14:08*(London time)Research Analysts&Publishing EntitiesResearch Analysts&Publishing Entities Through this series,we analyse the quarterly results of 2

2、4 key companies(14 large-caps and 10 mid-caps)to draw insights into the trends in the global IT services industry.In our sample,we include companies from India(13),the Americas(8),Europe(2)and South Korea(1).We think this sample is exhaustive enough to draw meaningful inferences on the industrys per

3、formance.Revenue:Global IT sees q-q recovery;Indian IT underperforms;BFSI strongest in 14 quarters Global IT services firms y-y cc revenue growth further slowed down in the Jun-25 quarter.However,there was a recovery in q-q(+2.9%)and y-y(+4.3%)USD growth.In y-y cc terms,global IT Services revenue gr

4、owth(+2.9%y-y)was ahead of India-based firms(+1.2%y-y).Based on companies that report their verticals,q-q USD growth recovered across verticals,including E&U and CPG&Retail,while BFSI saw the strongest growth in 14 quarters.All geographies also recovered q-q with Europe outperforming the Americas,al

5、beit on a weaker base.India-based companies lost y-y and q-q market share a rare occurrence.ACN and CTSH saw the highest y-y market share gains while TCS and ATO lost the most.Most companies raised their lower end of the revenue growth guidance.Deals:Deal TCVs moderate but Indian companies deal TCV

6、pick-up y-y Industrys deal TCV fell q-q and y-y.India IT TCV q-q decline was led by COFORGE/HCLT/TCS,partly offset by INFO/MPHL/WPRO.Most Indian IT companies saw a y-y pick-up in deal TCVs.EBIT margin was modestly up;productivity improved;attrition increased Industry EBIT margin expanded by 30bp y-y