Q1FY23 results: Margin pressure on IT services to remain, focus on outlook

Supply-side issues continue to impact companies

Amid concerns of a likely recession in the US and Europe and rising inflation worldwide, the first-quarter results of FY23 in the Indian IT services industry will be keenly watched for management commentary on the demand outlook. With supply-side challenges yet to settle down, margins will be under pressure due to higher retention costs, and travel. However, the silver lining could be a falling rupee.

Indian IT services results will start coming in from July 8, with Tata Consultancy Services (TCS) being the first company to announce its numbers. Infosys will be the last among the top four companies to share