TECHM

By Haripriya Suresh and Bharath Rajeswaran

BENGALURU, April 6 (Reuters) - Top Indian information technology firms are set to report another lacklustre quarter, with revenue and profit seen rising around 10% year-on-year largely on a weaker rupee rather than underlying growth, seven brokerages said.

Uncertainties due to wars, weak discretionary spending and concerns around artificial intelligence will keep weighing on client budgets, making the revenue forecast for the next fiscal year a key focus for investors, they added.

Tata Consultancy Services TCS.NS, Infosys INFY.NS, HCLTech HCLT.NS and other software services exporters are due to report fourth quarter results starting April 9.

"We expect limited deal win surprises, patchy ex-BFSI growth and slow start to (the first half of 2027) on macro/gen AI uncertainty," Ambit Capital analysts said in a preview note.

The Indian rupee fell 4% against the U.S. dollar during the March quarter, and slid to record low levels.

Software services companies typically benefit as they bill in foreign currencies while incurring most costs in rupees, inflating profits when dollar revenues are converted.

The $315 billion sector, employing about 5.9 million people, last reported double-digit revenue growth in the March 2023 quarter. Since then, demand has softened as clients cut discretionary spending, deal cycles lengthened, and spending shifted towards cost optimisation and AI-led projects.

Infosys and HCLTech are likely to provide annual revenue forecasts of a rise between 2%-4% and 4%-6% respectively for the fiscal year 2027, the brokerages said.

Revenue for the top six firms -- TCS, Infosys, HCLTech, Wipro WIPR.NS, Tech Mahindra TEML.NS, and LTM LTIM.NS -- is expected to grow about 10.9% year-on-year in the March quarter, with net profit rising 10.3%.

On a constant currency basis, or stripping out exchange-rate effects, the top four IT firms are more likely to see revenue rise only 1.8% for the year, Ambit said.

Analysts at Yes Securities said performance was likely to be uneven, with relative resilience in banking and financial services, while retail, healthcare, and hi-tech segments could face pressure due to higher exposure to discretionary spending.

"Our recent interactions suggest that overall client budgets have not increased materially and discretionary spending remains at bay," analysts at Jefferies said in a preview note.

However, even a modest revenue forecast could support stock prices, HSBC analysts said, noting valuations currently reflect only low-single-digit growth.

While the fears around the impact due to AI are "difficult to validate or falsify, the burden of proof now sits with IT companies. Re-rating, thus, depends on proof of surviving and thriving," said analysts at Motilal Oswal.

Shares of IT companies .NIFTYIT are down 20% so far this year, on investor worries that advanced AI tools launched by Anthropic and Palantir could disrupt IT's traditional business models and cannibalise business. The Nifty 50 .NSEI is down 13%.

(Reporting by Haripriya Suresh and Bharath Rajeswaran in Bengaluru; Editing by Nivedita Bhattacharjee)

((haripriya.suresh@thomsonreuters.com))

March 31 (Reuters) - Tech Mahindra Ltd TEML.NS:

• TECH MAHINDRA - PARTNERS WITH PARKOURSC TO DELIVER AI-POWERED DIGITAL SUPPLY CHAIN SOLUTIONS

• TECH MAHINDRA - PARTNERSHIP TO ENHANCE SUPPLY CHAIN RESILIENCE IN PHARMACEUTICAL AND COLD CHAIN LOGISTICS

Source text: ID:nBw1zdnKXa

Further company coverage: TEML.NS

((Reuters.Briefs@thomsonreuters.com;))

March 17 (Reuters) - Tech Mahindra Ltd TEML.NS:

• SUBSIDIARY ENTERED SHARE SALE AND PURCHASE AGREEMENT WITH MIDAD COMPANY

• ACQUISITION OF MIDAD’S STAKE OF 20% EQUITY SHARES IN TECH MAHINDRA ARABIA

• TO BUY 20% STAKE IN TECH MAHINDRA ARABIA FROM MIDAD

• ACQUISITION COST 2.06 BLN RUPEES

Source text: [ID:]

Further company coverage: TEML.NS

((Reuters.Briefs@thomsonreuters.com;;))

March 9 (Reuters) - Tech Mahindra Ltd TEML.NS:

• TECH MAHINDRA - NOTES MARKET RUMOURS OF SIGNIFICANT HEADCOUNT REDUCTION

• TECH MAHINDRA - DENIES PROPOSAL FOR SIGNIFICANT HEADCOUNT REDUCTION

Source text: ID:nBSE8G4Szz

Further company coverage: TEML.NS

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March 5 (Reuters) - Tech Mahindra TEML.NS:

• PARTNERS WITH MICROSOFT FOR AGENTIC AI PLATFORM FOR TELECOM, DATA MESH TRANSFORMATION

Further company coverage: MSFT.O

((Reuters.Briefs@thomsonreuters.com;;))

By Bharath Rajeswaran

Feb 25 (Reuters) - Indian shares have lagged their Asian and emerging market peers so far in February, pressured by a $68.6 billion rout in the market value of information technology stocks, as investors fretted over disruptions linked to artificial intelligence.

The Nifty 50 index .NSEI has risen 0.4% so far this month, while the Sensex .BSESN edged 0.1% lower, underperforming both the MSCI Asia ex-Japan and MSCI Emerging Markets indexes.

The 10 Nifty IT constituents .NIFTYIT have lost a combined $68.6 billion in market capitalisation in February, as of the last close, with the index down 21% and on course for its worst monthly performance in nearly 23 years.

All 10 index members have fallen between 16.8% and 27% in February to date. Coforge COFO.NS is the steepest percentage decliner, down 26.8%, while Tata Consultancy Services TCS.NS and Infosys INFY.NS have led the value erosion, losing about $21.9 billion and $16.3 billion in market value, respectively.

The selloff reflects growing concerns that rapidly advancing automation tools could compress project timelines and disrupt the labour-intensive delivery model underpinning India's roughly $300-billion IT services industry.

Investors have zeroed in on the AI-driven automation push from U.S. firms such as Anthropic and Palantir, heightening concerns over faster project execution, pricing pressure and reduced billable hours.

Brokerages warn the Indian IT sector could face further pressure if AI starts to eat into application services revenue, which typically accounts for 40% to 70% of total revenue for these companies.

"There are no easy answers to whether AI eventually renders IT services obsolete over the long term," said analysts led by Abhishek Pathak of Motilal Oswal.

"The narrative that AI is coming for not just IT but large swathes of the economy could be too strong to shake, at least in the short term," Motilal Oswal analysts said.

A slowdown or contraction in India's IT sector, whether through layoffs or reduced hiring, can have immediate consequences on both residential and commercial real estate demand. The Nifty Realty index .NIFTYREAL has risen roughly 2% in February, following a nearly 18% decline over the past three months.

Concerns over Indian IT companies have also accelerated foreign selling in the sector in 2026 so far.

While FPIs have turned buyers of Indian stocks in February on an overall basis, they pulled out about 110 billion rupees ($1.21 billion) from IT stocks in the first half of February, following a record 750 billion rupees of net selling in 2025.

($1 = 90.8980 Indian rupees)

(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Sherry Jacob-Phillips)

((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))

Feb 17 (Reuters) - NVIDIA Corp NVDA.O:

• NVIDIA: TECH MAHINDRA DEPLOYING LARGE TELCO MODEL TO POWER AUTONOMOUS NETWORK OPERATIONS USING NVIDIA NIM

• NVIDIA: PERSISTENT ACCELERATES AI‑DRIVEN MOLECULAR DISCOVERY WITH NVIDIA BIONEMO AND NEMO AGENT TOOLKIT

• NVIDIA: INFOSYS BUILDS AN ENTERPRISE-GRADE CODING SMALL LANGUAGE MODEL WITH NVIDIA AI ENTERPRISE

• NVIDIA: RELIANCE NEW ENERGY EXPANDS COLLABORATION WITH CO & SIEMENS BY COMBINING SIEMENS’ DIGITAL TWIN TECHNOLOGY WITH CO'S OMNIVERSE LIBRARIES

• NVIDIA: COLLABORATING WITH NEXT‑GENERATION CLOUD PROVIDERS YOTTA, L&T AND E2E NETWORKS

• NVIDIA: DEVELOPERS BUILDING SOVEREIGN AI SYSTEMS CAN ACCESS NVIDIA NEMOTRON & NEMO TODAY

• NVIDIA: TATA CONSULTING ENGINEERS LAUNCHES COGNITIVE TWIN PLATFORM, BUILT ON NVIDIA OMNIVERSE

• NVIDIA: TO OFFER ANUSANDHAN NATIONAL RESEARCH FOUNDATION GRANTEE INSTITUTIONS COMPLIMENTARY ACCESS TO NVIDIA AI ENTERPRISE SOFTWARE

• NVIDIA: PARTNERING WITH VENTURE CAPITAL FIRMS INCLUDING PEAK XV, ELEVATION CAPITAL, ACCEL INDIA & OTHERS TO IDENTIFY & FUND AI STARTUPS

Source text: [ID:]

Further company coverage: NVDA.O

((Reuters.Briefs@thomsonreuters.com;))

Feb 9 (Reuters) - Tech Mahindra Ltd TEML.NS:

• SYNAXG AND TECH MAHINDRA PARTNER TO ADVANCE AI-NATIVE, 6G-READY NETWORK SOLUTIONS

Source text: ID:nPn9Sc9JGa

Further company coverage: TEML.NS

((Reuters.Briefs@thomsonreuters.com;))

Updates levels, adds graphic after paragraph 11

Feb 5 (Reuters) - Rapid advances in artificial intelligence, triggered in part by Anthropic's latest automation push, could structurally erode the IT sector's high-margin application services revenues, creating downside risks to earnings and valuations, analysts warn.

Shares in India's software exporters .NIFTYIT settled 0.6% lower on Thursday, a day after plunging 6% in their worst session for nearly six years, as AI-driven automation from U.S.-based Anthropic and Palantir fuelled fears of compressed project timelines and disruption to the industry's labour-intensive business model.

The weakness has echoed across global IT stocks this week, extending a broader selloff in companies seen as most exposed to potential AI disruption.

"There is more pain ahead for Indian IT," Jefferies said, adding that Anthropic's and Palantir's claims highlight how AI could potentially erode application service revenues for IT firms.

"With application services accounting for 40–70% of revenues, firms face growth pressures, and consensus growth estimates do not fully reflect this, posing downside risks to valuations."

DISRUPTION

Indian IT firms have been ramping up AI investments and re-skilling efforts, even as weak global tech spending, delayed client decision-making and pricing pressure have weighed on the sector. Foreign investors offloaded a record $8.5 billion worth of Indian IT stocks in 2025.

However, some analysts said the sharp selloff may be overdone.

JPMorgan said that while concerns around AI disruption were not without merit, it was illogical to extrapolate the launch of some tools to an expectation that companies will replace every layer of mission-critical enterprise software.

Domestic brokerage Kotak Institutional Equities described the decline as a case of "plenty of panic over a little flutter".

Among large IT firms, Tata Consultancy Services TCS.NS, Tech Mahindra TEML.NS and LTIMindtree LTIM.NS have higher exposure to application services, which account for about 55%–60% of revenues, while HCL Tech HCLT.NS has the lowest exposure at around 40%.

Their stocks fell between 4% and 7% % on Wednesday, and extended losses on Thursday.

Brokerage Motilal Oswal estimates that 9%-12% of industry revenues could be eliminated over the next four years due to AI-led disruption.

Jefferies expects AI to weigh on IT-sector revenue growth over the next one to two years, arguing that deflation in legacy service-line revenues will more than offset gains from AI-related opportunities.

The IT sub-index has lost 17% since the start of 2025, including Wednesday's selloff, and is on track for its worst week in over four months.

(Reporting by Kashish Tandon and Bharath Rajeswaran in Bengaluru; Writing by Chandini Monnappa; Editing by Mark Potter and Louise Heavens)

((Kashish.Tandon@thomsonreuters.com; 8800437922;))

**Shares of Tech Mahindra TEML.NS up 3.3% at 1,725.5 rupees

** India's fifth-largest IT firm posted bigger-than-expected third-quarter revenue; rose 8.3% to 143.93 billion rupees ($1.59 billion)

** ICICI Securities ("Hold"; PT: 1,600 rupees) says growth was better in a seasonally soft quarter and in the context of muted revenue growth for past several quarters

** BOB Capital Markets ("Hold"; PT: 1,783 rupees) says faster growth in top accounts (>$20 mln TTM revenue) vs the company average is viewed as a structural strength

** Systematix ("Sell"; PT: 1,367 rupees) says communications vertical continues to be a key growth driver on market share gains and TECHM's full-stack capabilities, with consolidation opportunities in Europe and Asia and improving U.S. sentiment

** Stock rated as "Hold" on average by 41 analysts; median PT at 1,707 rupees - data compiled by LSEG

** Stock is top gainer on Nifty IT index

** Stock fell 6.8% in 2025 vs Nifty IT index .NIFTYIT fell 12.6% in 2025

($1 = 90.6663 Indian rupees)

(Reporting by Mridula Kumar in Bengaluru)

((Mridula.Kumar@thomsonreuters.com;))

** IT services provider Tech Mahindra TEML.NS up 2.4% to 1,627 rupees ahead of Q3 results

** Analysts expect TEML's quarterly consol net profit to rise 41.2% to 13.89 bln rupees ($153.7 mln), rev to grow 6.6% to 141.58 bln rupees - LSEG data

** Ambit Capital notes FY26 EBIT margin trajectory appears on track, with exit at 13%+, anything below could be taken negatively

** TEML's USD rev expected to grow 0.4% Q/Q, driven by few deal ramp-ups, offset by furloughs and seasonal weakness - Systematix Shares and Stocks

** KRChoksey Research expects TEML's Q3 rev to rise by steady execution across communications, BFSI, manufacturing verticals, partially offset by continued macro headwinds, discretionary spend constraints

** Market leader TCS TCS.NS beat qtrly rev estimate and Infosys INFY.NS unexpectedly raised its rev forecast, while HCLTech HCLT.NS narrowed its annual revenue growth forecast

** TEML, one of five stocks with average "hold" rating on 10 member Nifty IT index .NIFTYIT, which is up 2.5%

($1 = 90.3720 Indian rupees)

(Reporting by Meenakshi Maidas in Bengaluru)

((meenakshi.maidas@thomsonreuters.com;))

By Bharath Rajeswaran and Sai Ishwarbharath B

Jan 8 (Reuters) - India's information technology firms are expected to report another muted quarter, as tepid demand in the U.S. and holiday-period client shutdowns continue to weigh on tech spending, nine brokerages said ahead of earnings.

Brokerages expect the top six IT firms by revenue to post about 4% year-on-year revenue growth and a 5% rise in profit for the December quarter on average, reflecting prolonged demand softness, compared with 6.5% revenue growth in the September quarter.

Indian software exporters last reported double-digit revenue growth in the March quarter of 2023, when digital transformation, cloud adoption and remote-work demand surged in the post-pandemic period.

The broader $283 billion Indian IT industry continues to face macro headwinds, including uncertainty over U.S. tariffs, challenges from proposed $100,000 visa fees, and subdued client spending on concerns about growth in the world's largest economy.

India's IT companies earn a significant share of their revenue from the United States, making the world's largest economy crucial for the sector.

Sector bellwether Accenture's ACN.N recent earnings beat Wall Street expectations on AI-led demand, though its unchanged growth outlook underscores the cautious near-term environment.

Although India has no pure-play AI firms, IT companies are beginning to shape AI strategies through acquisitions and partnerships. Brokerages expect AI momentum to build over the next six months and demand to pick up into 2026.

"Clients remain cautious about committing incremental spending to large programs amid macro and tariff uncertainty and a new tech cycle," said Abhishek Pathak, research analyst at Motilal Oswal Financial Services.

U.S. tariff uncertainty, visa worries and weak spending drove record foreign outflows of $8.5 billion from IT stocks in 2025, nearly half of total foreign exits from Indian equities.

The Nifty IT index .NIFTYIT fell 12.6% in 2025, making it the worst-performing sector as Indian markets lagged Asian and emerging-market peers.

Tata Consultancy Services TCS.NS, the country's largest IT firm, will kick off the earnings season on January 12. Its revenue is expected to rise about 4.2% year-on-year, slower than the 5.6% growth reported last year.

Infosys INFY.NS and HCLTech HCLT.NS are forecast to report year-on-year revenue growth of about 8.1% and 4.6%, respectively, compared with 7.6% and 5.1% in the year-ago period.

Most brokerages do not expect HCLTech to upgrade its fiscal 2026 annual revenue forecast of 2%–3%, or Infosys to raise its forecast of 3%–5%.

Earnings across domestic equities are expected to improve in the December quarter on tax cuts, policy easing, stable growth and benign inflation, even as the period remains structurally weak for IT firms.

Fewer working days due to global client holidays weigh on billing and revenue, while brokerages flag margin pressure from furloughs and wage hikes at firms such as TCS and Wipro WIPR.NS.

However, resilience in the BFSI (banking, financial services and insurance) segment, deal ramp-ups, early signs of artificial intelligence strategy formation and rupee depreciation could offer support by mid-2026, six brokerages said.

(Reporting by Bharath Rajeswaran and Sai Ishwarbharath B in Bengaluru; Editing by Sherry Jacob-Phillips)

((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))

Dec 19 (Reuters) - Tech Mahindra Ltd TEML.NS:

• COMPANY ORDERED TO REMIT 12.87 BILLION RUPEES FOR PF CONTRIBUTION

• ORDER DOES NOT HAVE MATERIAL FINANCIAL IMPACT

Source text: ID:nBSE6dBSXY

Further company coverage: TEML.NS

((Reuters.Briefs@thomsonreuters.com;))

Recasts throughout; adds analyst reaction

By Haripriya Suresh and Sai Ishwarbharath B

BENGALURU, Oct 16 (Reuters) - Indian IT firms Infosys INFY.NS, Wipro WIPR.NS and LTIMindtree LTIM.NS beat estimates for quarterly revenue on Thursday and pointed to improving demand in the back half of the year as clients show more willingness to fund AI projects.

Their upbeat results follow a strong showing by market leader Tata Consultancy Services > last week and bode well for the $283 billion sector, which has struggled in the past few quarters as customers cut discretionary spending amid tariff-related uncertainty.

"We are benefiting from consolidation plays on automation and on using AI for efficiency. That's the big focus that we see from our clients across industries," Infosys CEO Salil Parekh said on a conference call, noting there was a "huge" opportunity in the enterprise AI space.

Buzz around artificial intelligence is prompting more companies to consider funding projects tied to the technology to improve efficiency and drive automation, potentially opening up a major revenue stream for Indian IT firms.

Infosys, which topped analyst estimates for profit and revenue in the second quarter, sees full-year revenue growth of 2-3%, compared with its prior view of 1-3%.

Jefferies analysts said the forecast was achievable due to its "strong" deal bookings.

Smaller peer Wipro, which expects its revenue to range between a 0.5% decline and a 1.5% rise for the third quarter, is also gaining from clients warming up to AI projects.

"New demand that's picking up is AI," Wipro CEO Srini Pallia said. "Clients want to move away from proof of concepts to implementing AI and agentic AI across business processes and workflows."

RISING TIDE LIFTS ALL BOATS

Analysts viewed the quarter as a signal that the IT sector had put the worst behind it.

"The results highlight a stabilizing IT sector gradually regaining traction amid shifting client priorities toward AI and digital acceleration," StoxBox analyst Sagar Shetty said.

Anand Rathi's Sushovon Nayak confirmed that most of the IT firms, which had reported results, had shown "green shoots."

The sector has particularly gained from a recovery in spending by financial services firms.

Infosys and LTIMindtree beat second-quarter revenue estimates, driven by strength in the banking segment.
($1 = 87.8590 Indian rupees)

(Reporting by Haripriya Suresh and Sai Ishwarbharath B; Additional reporting by Kashish Tandon; Editing by Nivedita Bhattacharjee, Dhanya Skariachan and Anil D'Silva)

((Haripriya.Suresh@thomsonreuters.com;))

Oct 14 (Reuters) - Tech Mahindra Ltd TEML.NS:

• TECH MAHINDRA Q2 CONSOL NET PROFIT 11.95 BILLION RUPEES; IBES EST. 12.87 BILLION RUPEES

Source text: [ID:]

Further company coverage: TEML.NS

(Reuters.Briefs@thomsonreuters.com)

Adds reporters' bylines

By Sai Ishwarbharath B and Haripriya Suresh

BENGALURU, Aug 8 (Reuters) - Indian outsourcing giant Tata Consultancy Services' TCS.NS decision to cut over 12,000 jobs signals the start of a broader AI-fueled trend that could end up eliminating around half a million jobs over the next two to three years from the $283 billion sector, experts said.

While TCS pegged the move to shed 2% of its workforce to skill mismatches rather than AI-related productivity gains, experts viewed the largest-ever layoffs by India's top private employer as the beginning of things to come in the labour-intensive sector. Roughly 12,200 TCS middle and senior management jobs will be lost.

The industry, which has played a crucial role in creating a middle class in India, is increasingly seeing AI being used for everything from basic coding to manual testing and customer support.

The sector employed 5.67 million people as of March 2025 and accounted for over 7% of India's GDP. It has a huge multiplier effect due to the direct and indirect jobs it creates and the cars-to-homes consumption it drives in the world's fifth-largest economy.

It has historically absorbed a majority of India's engineers but that will change as rising AI use ekes out more efficiencies and demands newer skills that many current employees lack, according to half a dozen industry veterans, analysts, and staffing firms.

"We are in the midst of a massive transition that will transform white-collar work as we know it," said Silicon Valley-based Constellation Research founder and chairman Ray Wang, echoing other experts who warned that more layoffs are likely on the cards.

The most vulnerable employees include pure people managers with minimal tech knowledge, those in charge of testing or identifying bugs and ensuring user-friendliness before delivering software to clients, and infrastructure management staff who provide basic tech support and ensure networks and servers are working well, experts said.

"About 400,000 to 500,000 professionals are at risk of being laid off over the next two to three years as their skills don't match client demands," tech market intelligence firm UnearthInsight's founder Gaurav Vasu said, adding that about 70% of those layoffs would impact workers with 4-12 years' experience.

"This (fear stemming from TCS layoffs) may hurt consumer demand for tourism, luxury shopping and even delay long-term investments such as real estate," Vasu said.

TCS and its peers Infosys INFY.NS, HCLTech HCLT.NS, Tech Mahindra TEML.NS, Wipro WIPR.NS, LTIMindtree LTIM.NS, and Cognizant CTSH.O collectively employ over 430,000 workers with 13 to 25 years of experience, according to staffing firm Xpheno.

"At the moment, they may appear like the big fat middle layer," Xpheno's co-founder Kamal Karanth said. None of the IT firms responded to Reuters queries seeking comment.

"With cost optimization being the key driver for new deal wins, clients are asking for productivity benefits - a trend which is also growing due to the rise in AI adoption. This requires IT firms to do more work with the same number of employees or the same work with fewer employees," Jefferies analyst Akshat Agarwal said in a research note.

ADAPT OR PERISH

TCS, which had more than 613,000 workers before the layoffs, said in its late July announcement it was gearing up to be "future-ready" by investing in new technologies, entering new markets, deploying AI at scale for its clients and itself, and realigning its workforce model. It did not answer Reuters queries on how many layoffs were tied to AI adoption and why it could not redeploy the affected employees.

"This is very devastating news," said a 45-year-old, Kolkata-based TCS employee affected by the latest layoffs. "It is very difficult for people my age to get new jobs."

Some others who are still at TCS fretted over its mediocre performance bonuses for senior employees in recent quarters, a new "bench policy" that limits the time somebody could be without a project regardless of personal circumstances or past performance, on-boarding delays, and the emotional turmoil caused by the layoffs.

"All these developments have tanked the morale of mid-career folks like me," a Pune-based TCS employee said.

The Indian outsourcing sector has been a key employment engine since the 1990s, offering upward mobility to millions of engineers. But revenue growth has weakened recently as its clients, stung by inflation and U.S. tariff uncertainty, defer discretionary spending and demand better cost management.

"The tech industry is at an inflection point, as AI and automation move to the very core of how businesses operate," industry body Nasscom said.

During past tech revolutions, disruption was felt at the organisational level.

"With AI, for the first time, the onus is on the individual to reinvent or re-skill themselves," former Tech Mahindra CEO CP Gurnani said.

(Reporting by Sai Ishwarbharath B and Haripriya Suresh; Editing by Dhanya Skariachan and Kim Coghill)

((saiishwarbharath.b@thomsonreuters.com))

BENGALURU, July 23 (Reuters) - India's Infosys INFY.NS narrowed its forecast for the current fiscal year on Wednesday, after posting bigger-than-expected first-quarter revenue on a boost from Europe market.

The Bengaluru-based firm changed its annual forecast to 1%-3% from the flat-to-up-3% range announced in the previous quarter.

Analysts were largely expecting the firm to lift the bottom end of the range to 1%.

The company's consolidated sales rose 7.5% year-on-year to 422.79 billion rupees ($4.89 billion) in the June quarter.

Analysts, on average, expected 418.06 billion rupees, as per data compiled by LSEG.

($1 = 86.3880 Indian rupees)

(Reporting by Sai Ishwarbharath B ; Editing by Nivedita Bhattacharjee )

((saiishwarbharath.b@thomsonreuters.com;))

Corrects syntax in paragraph 1

July 17 (Reuters) - Indian shares were muted on Thursday, tracking Asian peers, as uncertainty over Federal Reserve Chair Jerome Powell's tenure dampened sentiment, while Tech Mahindra dropped after a marginal revenue miss.

The Nifty 50 .NSEI and the BSE Sensex .BSESN were down 0.2% each at 25,153.4 points and 82,434.4 points, respectively, as of 10:19 a.m. IST.

The broader, more domestically focussed small-caps .NIFSMCP100 and mid-caps .NIFMDCP100 traded flat.

MSCI's broadest index for Asia-Pacific stocks outside Japan .MIAPJ0000PUS were flat, while the U.S. dollar and Treasury yields fell after President Donald Trump said he was "highly unlikely" to fire Fed Chair Jerome Powell. MKTS/GLOB

Market anxiety over Powell’s tenure and a potential shift in monetary policy could impact the U.S. dollar, influence the interest rate trajectory, and affect capital flows into emerging markets including India.

In tariff-related news, Trump said the U.S. is very close to a trade deal with India, although analysts noted that markets are unlikely to swing sharply on comments around trade deals until there is more clarity.

"A surprise factor that can trigger a rally is a tariff rate much below 20%, say 15% (on India), which the market has not discounted," said VK Vijayakumar, chief investment strategist at Geojit Investments.

Meanwhile, Tech Mahindra slipped 1.5% and was the biggest loser on the Nifty 50 and IT index .NIFTYIT, which fell 0.5%, after it reported a marginally lower-than-expected quarterly revenue.

"Results of IT (companies) continue to disappoint, and this could be a drag on the overall market," Vijayakumar said.

While IT was the biggest drag on the benchmarks, marginal gains in healthcare, automobile and mining stocks offset the losses.

Among other individual stocks, travel booking platform Ixigo's parent Le Travenues Technology LETR.NS soared 11% and hit a one-year high after it posted a higher profit.

(Reporting by Vivek Kumar M and Bharath Rajeswaran; Editing by Sumana Nandy, Nivedita Bhattacharjee and Sonia Cheema)

((VivekKumar.M@thomsonreuters.com;))

** Tech Mahindra TEML.NS rises 1% ahead of first-quarter results later in the day

** Analysts, on average, expect IT exporter to post 2.9% y/y revenue growth, 38% y/y jump in profit on a low base, per data compiled by LSEG

** Motilal Oswal says outlook on segments, such as U.S. banking and financial service (BFS), and order book key to monitor

** Kotak says EBIT margins to improve as co's cost cutting programme gathers pace; expects "a solid FY26 on profitability"

** TEML and five other stocks on 10-member Nifty IT index .NIFTYIT rated "hold", per data compiled by LSEG

** Earlier this month, market leader TCS' TCS.NS revenue missed estimates; HCLTech HCLT.NS, which topped estimates, narrowed revenue forecast

** Since July 10, when TCS' results indicated prolonged lull in demand, TEML down 0.4% vs NIFTYIT's ~2% drop

(Reporting by Nandan Mandayam in Bengaluru)

((Nandan.Mandayam@thomsonreuters.com; Mobile: +91 9591011727;))

June 26 (Reuters) - Pininfarina SpA PNNI.MI:

• TECH MAHINDRA AND PININFARINA SIGN 6 MILLION EURO FINANCING AGREEMENT

• FINANCING TO LAST 12 MONTH

Further company coverage: PNNI.MI

(Reporting by Gdansk Newsroom)

((gdansk.newsroom@thomsonreuters.com; +48587696600;))

** Tech Mahindra, India's No. 5 IT services firm, missed analysts' estimates for fourth-quarter revenue on Thursday

** Stock down 2%, pulling back from from initial decline of 4%

FISCAL 2027 TARGET APPEARS "STEEP"

** Emkay Global ("add"; PT: 1,600 rupees) says TEML's Q4 results were a "mixed bag" as margins showed slight improvement but revenue was a miss, adding that prolonged macro risks pose risk to management's turnaround plans by FY27

** Morgan Stanley ("equal-weight", PT: 1,550 rupees) says TEML's Q4 miss is not "material negative" as most large-cap peers missed Q4 estimates, but co may push FY27 goals due to macro uncertainty and that it requires "flawless execution" to achieve these goals

** Nuvama ("reduce", PT: 1,300 rupees) says TEML "plucked low-hanging fruits" with modest growth in Q4, however, co's FY27 target still appears a "tall ask"

** Brokerage adds, while delivering better-than-industry average growth might appear closer, due to the industry average itself coming down, it will make margin expansion difficult

(Reporting by Kashish Tandon in Bengaluru)

((Kashish.tandon@thomsonreuters.com))

Adds analyst comment, recasts throughout

HYDERABAD, April 24 (Reuters) - India's Tech Mahindra TEML.NS missed analyst estimates for fourth-quarter revenue on Thursday, as economic uncertainty weighed on spends by the software services exporter's clients, especially in its telecom vertical.

The company's communications vertical, which generates a third of its total revenue, has been struggling for the past several quarters as persistently high inflation in several countries has weighed on consumer spending, forcing clients to tighten their budgets. Revenue from the segment fell 2.2% year-on-year.

U.S. President Donald Trump's unpredictable tariff policies have further fueled concerns about the India's IT sector, with some of the largest companies flagging delays in technology spending decisions by clients.

"Global economic conditions continue to present challenges," chief executive Mohit Joshi said.

He added the company was seeing volatility in some of its large sectors, especially manufacturing.

Growth had not come back in its telecom vertical, but there were "signs of stability returning" in Europe and Asia Pacific, Joshi said.

Tech Mahindra's consolidated revenue rose 4% year-on-year to 133.84 billion rupees ($1.57 billion) in the quarter ended March 31, but missed estimates of 134.52 billion rupees.

The IT services firm, which has lagged its peers and is undergoing a turnaround under Joshi, also saw revenue decline in its manufacturing and hi-tech verticals, while its other segments grew.

"I do feel that comparatively, we are in a much stronger position than we were maybe a year ago," Joshi said.

Tech Mahindra's profit for the quarter rose 76.5% to 11.67 billion rupees, largely due to lower subcontracting expenses and a deferred tax gain.

Its order bookings rose to $798 million from $500 million, a year earlier.

"Deal wins being better sequentially is also a good sign. However, the exposure of the telecom vertical has again increased from a revenue perspective. This may not be construed positively, but the BFSI exposure increasing is a good sign," Sushovon Nayak, an IT analyst at Anand Rathi, said.

($1 = 85.2750 Indian rupees)

(Reporting by Haripriya Suresh; Editing by Leroy Leo, Nivedita Bhattacharjee and Sonia Cheema)

((Haripriya.Suresh@thomsonreuters.com;))