IT sector re-rating hopes fade

The demand environment for information technology (IT) services is stable rather than sharply improving, as per Accenture.

- Harsha Jethmalani

Clients continue to prioritize large, strategic transformation programmes with spending trends similar to 2025, said the global IT giant, which competes with tier I Indian technology companies in outsourcing business and is often seen as an indicator of future prospects.

Accenture’s managed services (outsourcing) constant currency (CC) revenue increased 5% year-on-year (yo-y) in Q2FY26, outpacing the consulting business, the firm told investors in its earnings call for Q2FY26—Accenture follows a September to August financial year.