MUMBAI: Wirpo Ltd’s March quarter results (Q4) have brought demand concerns to the fore for the information technology (IT) sector.
At the time of writing, shares of Infosys Ltd and HCL Technologies Ltd were down about 2.5%. Tech Mahindra Ltd and Hexaware Ltd were the worst hit, with declines of 4-6%.
Shares of market leader Tata Consultancy Services Ltd, which will report results later today, were flat. “Wipro’s commentary indicates a tough near-term operative environment post-covid-19, with a cut-back in discretionary spend, restructuring of existing contracts, plus demands for rate-card cuts/relaxed credit terms coming faster – and higher – than our earlier expectations," said analysts at JM Financial Institutional Securities Ltd.