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Nasscom to wait for two quarters before looking at guidance

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BS Reporter Chennai
Last Updated : Jan 24 2013 | 1:49 AM IST

The National Association of Software and Services Companies (Nasscom), which represents the Indian software industry, has to watch data for the next two quarters to decide whether to revise the revenue guidance for the IT industry this financial year, said its president Som Mittal.

The fundamentals of the industry in India are strong and expansion to new geographies are helping them to keep the momentum up, he added.

Speaking to reporters on the sidelines of a seminar, Surge 2012, organised by Nasscom in Chennai, Mittal said, “At present, we don’t have the data to do a review on the industry guidance. We have to wait for the next two quarters before making any decision on it.”

“Though the markets remain uncertain, we feel that the industry fundamentals are strong. Customers are looking for adapting new technologies and the Indian industry help them in upgrading and transforming the company,” he said.

The industry is also expanding its presence in new geographies such as Latin America, Continental Europe, West Asia and Asia. China and Japan, which currently have very small presence from Indian companies. In the longer-term, the industry focus could be in these places. There are also opportunities to explore business in developing countries like Africa, according to him.

The rupee depreciation would help the industry in the long run, while there would not be any gain in the short-term. However, the industry is looking for stability in the currency value, Mittal said, adding that the industry would look at stability in policies, which would help it to perform better.

The association is also closely watching the developments in the US, including the policies that would have an impact on the Indian IT industry, he said.

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First Published: Jun 28 2012 | 12:38 AM IST

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