Robust Q3 in store for Indian IT firms

Bengaluru: Indian IT services companies are likely to see a strong demand environment with robust deal pipeline for the next financial year despite fears of omicron spread across the world. The spread of the new variant has led to complete lockdown in Netherlands, while many European countries have also brought in restrictions on outdoor activities.

However, first quarter results of Accenture (that follows September-August financial year cycle) indicates that the demand environment is likely to stay robust for Indian IT firms (April-March financial year cycle).

Accenture has raised its revenue outlook for FY22 to 19-22 per cent in local currency, up from 12-15 per cent earlier. The company's management said the current demand environment will sustain for many years as just 30 per cent of firms have completed their cloud migration journey.