IT cos. to report healthy profit in Q1
By agencies   |   Tuesday, 11 July 2006, 19:30 IST
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NEW DELHI: IT companies are all set to report their results of growth and earning along with strong employee additions for the June quarter. After announcing a strong guidance of a 30 percent revenue growth and 26-28 per cent net profit growth for the current fiscal year, IT giant Infosys is scheduled to bring out the results on June 12, while Wipro and Satyam would announce their results later next week. Contributing to growth of 9 percent to 11 percent over the previous quarter, Singh said that he was expecting a strong performance from Infosys, Satyam and TCS, while TCS and HCL Technologies may disappoint marginally. Most of the Tier-1 IT companies are likely to report revenue growth of 7 per cent to 10 per cent, with the exception of TCS. Infosys is expected to raise the IT quarterly figures, given its strong weight age to the Bombay Stock Exchange's 30-share benchmark sensitive index. IT stocks have registered a decent performance over the past few days on expectations for robust Q1 results, with the margins for most of the IT companies would expand with the exception of Satyam and TCS. High integration costs and salary hikes are likely to offset the margin expansion for TCS and Satyam respectively, despite the rupee depreciation.

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