IT paradox: Long on deals, short on revenue outcome

The top six information technology (IT) services companies in India, led by Tata Consultancy Services, Infosys, Wipro ,and HCLTech, secured a record number of deals in FY24 even as they scaled back on hiring, marking a significant shift from the post-pandemic hiring boom.

The similarity in the fourth quarter performance of these companies doesn’t end here. All of them saw a noticeable discrepancy between the increased deal wins and the actual revenue outcomes. This paradox is largely due to the ongoing weaknesses in the global macroeconomic environment which continue to impact financial performance, they said.