As India Inc enters the third week of earnings season, major IT firms Infosys, Wipro, Cyient, and LTIMindtree are scheduled to release their second-quarter earnings on October 16. Following them, L&T Technology Services and Tata Technologies will release their Q2 earnings on October 17.
TCS, HCLTech and Persistent had already released their earings. With both TCS and HCLTech announcing their aim to reduce alliance on H-1B visa impact and restructuring of workforce, All eyes are now on Infosys and Wipro.
Q2 tech sector earnings preview: Key areas to monitor
1) H-1B visas impact and company’s step to tackle it
2) Deal pipeline strength and total contract value (TCV)
3) Client decision-making amid geopolitical uncertainties
4) GenAI adoption
5) The outlook on the BFSI vertical, margin levers
6) Updates on capital allocation; any further sizable merger and acquisition plans, growth strategies in terms of Wipro
Infosys Q2 preview: Axis Direct expects 3.5% revenue growth
Analysts expect moderate sequential growth for Infosys led by key verticals such as BFSI and Energy, Resources and Utilities.
Axis Direct expects Infosys to report a 3.5% quarter-on-quarter (QoQ) revenue growth, supported by demand in the BFSI and Energy, Resources and Utilities segments.
“Operating margins are expected to improve by 30 basis points sequentially, supported by the absence of wage hikes and the cost optimisation program, Project Maximus,” said Axis Direct.
Infosys Q2 preview: Large deal TCV may dip sequentially says Equirus Securities
Equirus securities expects Infosys to guide for 2-3% constant currency growth in FY26, excluding any benefit from its recently announced Versent Group acquisition.
Equirus securities added that large deal TCV may see a sequential decline due to a high base last quarter.
Wipro Q2 preview: Elara Securities expects margins to dip
Margins are also expected to decline because of the impact of costs related to large deal ramp-ups Elara Securities said, “For Wipro, we expect margin to drop by 10bps QoQ due to upfront costs required for large deal execution.”
Wipro Q2 preview: Operating margins to expand 48 bps in Q2FY26
Axis Direct expects Wipro’s operating margins to expand by around 48 basis points “We expect Wipro to report revenue growth of 2% QoQ, supported by stability in its European business. Operating margins are likely to expand by 48 bps QoQ on account of cost control measures,” the report by Axis Direct noted.
Wipro Q2 preview: Equirus expects limited growth
Equirus Securities expects Wipro to report flat quarter-on-quarter (QoQ) growth in IT services revenue in constant currency (CC) terms. “We expect Wipro to guide for a decline of 0.5% QoQ to growth of 1.5% QoQ in IT Services’ US dollar Sales in Constant Currency terms for 3QFY26E.”
It expects Wipro’s order intake — especially from large deals — to “normalise and dip” this quarter, as the company’s first-quarter total contract value (TCV) had “included TCV from many large and mega deal wins.”
