India’s high IT giants — Infosys, Tata Consultancy Providers (TCS), and Wipro — delivered forgettable outcomes for the quarter ended March 2025, weighed down by a mixture of macroeconomic and geopolitical headwinds.
The IT sector continued to be affected by weak point in shopper spending, notably in key markets like america and Europe. In the meantime, a significant blow got here from the imposition of tariffs by US President Donald Trump, which not solely escalated commerce tensions but additionally exacerbated fears of a possible recession within the US, which is the biggest income contributor for Indian IT firms. Moreover, persistent inflationary pressures and delayed decision-making on IT budgets compounded the troubles for Indian IT firms, resulting in a disappointing efficiency by the highest trade gamers.
How did TCS, Infosys and Wipro fare in This fall outcomes?
Infosys, which was the newest among the many three to submit its This fall outcomes, reported an 11.75% year-on-year (YoY) decline in consolidated web revenue to ₹7,033 crore for the quarter ended March 2025. Its income from operations jumped 8% YoY to ₹40,925 crore. The second largest IT firm projected flat to three% income progress for FY26 in fixed foreign money (CC) phrases, its weakest steerage since April 2009. Though it rewarded shareholders with a dividend of ₹22 per share.
In the meantime, India’s largest IT firm – TCS – posted a 1.7% fall in This fall PAT to ₹12,224 crore. Nevertheless, the IT main posted a 5% progress in income to ₹64,479 crore, its slowest within the final 4 years. The administration hinted at delayed wage hikes amid tariff-related uncertainty and delays in decision-making and project-starting with respect to discretionary investments.
Wipro, although, witnessed a pointy rise in its This fall revenue of 26% to ₹3,567 crore, its income from operations was flat at ₹22,504.20 crore. However what harm investor sentiment was Wipro’s Q1 steerage of (-)1.5% to (-)3.5% for the IT providers section in CC phrases, because it signalled warning on the deal entrance.
Whereas IT numbers had been poor, the shares of all these firms rallied in commerce on Monday, April 21. Infosys reacted to its This fall efficiency, rising practically 2% to ₹1,450.45 apiece on the BSE. It posted its This fall outcomes submit market hours on Thursday. Wipro shares additionally rebounded mildly after dealing with sharp selloff final week, ending 0.65% increased at ₹238.45. TCS share worth rose 0.69% ay ₹3321.60.
“A contrarian guess on IT resulting from its engaging valuation with an expectation of enchancment in spending within the latter half of FY26 is holding the counter busy,” mentioned Vinod Nair, Head of Analysis, Geojit Investments Restricted.
TCS vs Infosys vs Wipro: Which IT inventory to purchase submit This fall outcomes?
Based on analysts, whereas the outcomes from IT firms had been a blended bag, TCS stands out among the many three.
In This fall FY25, Tata Consultancy Providers, Infosys, and Wipro reported blended outcomes amid a cautious world IT atmosphere, mentioned Seema Srivastava, Senior Analysis Analyst at SMC World Securities.
“TCS delivered a robust efficiency, aided by important progress in India and Asia-Pacific markets. The corporate secured $12.2 billion in deal wins for the quarter, pushed by sturdy demand for AI and cloud providers—now embedded in over a 3rd of shopper engagements. Infosys reported income of ₹40,925 crore, rising 7.9% YoY (4.8% in fixed foreign money), with an working margin of 21%. Backed by sturdy efficiency in AI, cloud, and effectivity initiatives, the corporate proposed a ₹22 ultimate dividend and guided FY26 income progress of 0–3% in fixed foreign money. Wipro, nonetheless, struggled probably the most. Regardless of a 12-quarter excessive working margin of 17.5%, it faces strain from declining shopper spending and a weak Q1 FY26 income outlook,” Srivastava mentioned, highlighting the important thing elements of the three IT firms’ This fall outcomes.
She believes that within the long-term, TCS seems probably the most resilient, backed by constant deal wins, increasing AI capabilities, and robust execution throughout markets, making it a best choice for steady long-term funding. “Infosys presents innovation-driven potential with its AI and R&D initiatives however may even see slower momentum within the close to time period. Wipro is in a transitional part—enhancing operationally however nonetheless dealing with progress challenges,” she mentioned.
Based on her, for long-term traders, TCS presents one of the best stability of efficiency and stability, whereas Infosys and Wipro cater extra too growth-focused or contrarian methods.
Disclaimer: This story is for academic functions solely. The views and suggestions made above are these of particular person analysts or broking firms, and never of Mint. We advise traders to examine with licensed consultants earlier than making any funding choices.
