IT Cos' Q1 Earnings to Be Hit by US Tariffs, Global Cues

WITH a volatile macro environment, largely led by geopolitical issues and tariff-related uncertainty, Indian IT services firms will report a soft quarter in Q1 FY26 and revenue performance is likely to be weak in an otherwise seasonally strong quarter, according to analysts.

- UMA KANNAN @ Bengaluru

The country's largest IT services company Tata Consultancy Services (TCS) will release its first-quarter results on Thursday, July 10. HCLTech will release its Q1 earnings on July 14 and Infosys on July 23.

Equirus Securities expects mixed results across enterprise IT services companies, with very soft quarters for ER&D (Engineering and Research & Development) services companies on a QoQ basis.

According to Equirus, Infosys might guide for 1.0-3.25% CC growth in US$ sales. It expects Wipro to guide for (-) 1% to (+) 1% q-o-q growth in IT Services US$ sales for 2QFY26E in CC terms.