Strong order book, high attrition: What Accenture's Q3 means for Indian IT

Accenture Q3 results: Strong outlook and robust bookings reflect the secular nature of demand for IT services in the near-term, though medium-term risks persist, said analysts

Despite a healthy March-May quarter (Q3FY22) show by global IT consulting firm Accenture, Indian IT companies shed up to 3 per cent on the National Stock Exchange (NSE) on Friday as analysts continued to highlight medium-term pain points for the sector.

The Nifty IT index settled 0.9 per cent lower on Friday, as against a 0.9 per cent rise in the Nifty50 index.
 

According to analysts at ICICI Securities, Accenture’s Q3 saw moderation in year-on-year growth rate across verticals and US regions, which signals at likely normalization in revenue momentum for Indian IT services going forward.