BFSI commentary, large deal wins to drive outlook for IT companies

Cross-currency movements expected to help Indian firms deliver strong growth in Q4FY18

Slow banking, financial services and insurance (BFSI) revenues, reduced headcount growth, and an urgency to pick digital sales will be the key areas analysts will watch as Indian information technology (IT) services majors gear up for Q4 earnings starting with Infosys on Friday.

Even though January-March tends to be a seasonally weak quarter, cross-currency movement, especially a weakening US Dollar against most major currencies, is expected to benefit most Indian IT players though mid-caps are expected to outperform the large players. According to analysts, indications of an improvement in IT spending by clients are also expected to boost the confidence of