IT companies save over 70% in travel costs in Sept quarter

Chennai: Increased digital adoption and deal wins has helped the performance of the IT industry to bounce back in the July-September quarter. What has also benefited the margins of the top tier IT giants is the reduction of travel expenses of more than 70% year-on-year.

Travel costs at TCS, Wipro NSE 0.63 % and Infosys NSE 1.50 % — companies which declared their results by Friday —reduced by 65%, 72% and 75% year-on-year respectively in the quarter ended September. The development comes as companies switched to online calls for sales pitches and employees took to remote solving of problems. Despite this, TCS noted healthy deal wins worth around $8.6 billion, and Infosys saw $3.15 billion of large deal wins.