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KRChoksey Report
While Q2 FY21 will confirm growth recovery for the Information Technology industry after a challenging Q1 FY21, we believe healthy total contract value data and conversion to revenue assume significant importance in light of the steep run up in stock prices of most IT firms.
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H2 FY21 growth outlook will be critical, given a challenging near-term outlook issued by Accenture recently.
After a growth bump-up in FY22 on a low FY21 base aided by pent up demand, we believe FY23 will reflect a more ‘normalised' sector growth outlook, and we expect the industry to revert to high single digit growth in that fiscal after double digit growth in FY22.
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