IT Services Q1 Earnings Preview - All Eyes On Signs Of Slowdown: Prabhudas Lilladher

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Prabhudas Lilladher Report.We estimate healthy revenue growth of 2.7-4.5% QoQ constant currency (average: 3.4%) for tier-I and 2.5-5.8% QoQ CC (average: 3.7%) for tier-II. However, U.S. dollar revenue growth will be lower due to cross currency headwinds of 100-200 basis points QoQ. We anticipate margins to decline by 100-200 bps QoQ led by wage increments, higher retention costs, increased travel costs and drop in utilisation levels. We expect healthy deal wins in Q1. Further management may reiterate strength in near term demand. Commentary on health of consumer facing verticals and reprioritisation of client spends would be key points to monitor. We shift from discounted cash flow based valuation to price-to-earnings multiple based relative valuation and tune our target multiples factoring risk of slowdown in technology spends, given worsening global macro..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

IT Services Q1 Earnings Preview - All Eyes On Signs Of Slowdown: Prabhudas Lilladher

IT Services Q1 Earnings Preview - All Eyes On Signs Of Slowdown: Prabhudas Lilladher

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