New Delhi, Nov 28 (LatestNewsX) – India’s IT industry is showing early signs of a steady rebound. A fresh report from BNP Paribas India released on Friday indicates that deal wins are improving and revenue expectations are leveling out.
The study points out that, while Indian IT firms still fell behind their global peers in revenue growth during the September 2025 quarter, they continued to win new contracts robustly, suggesting a healthier pipeline for the months ahead.
Globally, the IT services sector reported a 3.8 % year‑on‑year rise in USD terms in the September quarter, just below the 4.3 % growth seen in June. In contrast, Indian companies grew only 1.2 % in constant currency, a slower pace partly driven by stronger performance from global players such as Accenture, EPAM and ADP, and the euro’s appreciation against the dollar.
Among verticals, the financial, banking & insurance (BFSI) sector led the revenue growth, expanding 7.9 % YoY, with retail, manufacturing and energy also posting solid results. Communications remained the weakest segment.
Regionally, revenue from the Americas increased by 4 % – a slight slowdown – whereas Europe showed a stronger recovery with 4.3 % growth.
The report, steered by analyst Kumar Rakesh, draws on quarterly results from 24 leading IT services firms across India, the Americas and Europe, including 13 Indian firms that reflect broader global trends.
Even though revenue expansion has decelerated, the survey signals improving business sentiment. An outlook index based on management commentary suggests that project delays hit a low in June and that companies now see clearer visibility on deal signings.
Margins have edged higher modestly due to higher productivity, better utilisation and lower attrition. Headcount grew slightly, but productivity gains helped offset cost pressures.
The report also notes that Indian IT firms outperformed their global peers in total contract value (TCV) of deals signed during the quarter. Vendor consolidation trends continued, with top clients contributing a larger share of revenue across major firms.
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