The brokerage's analysts see revenue being impacted by extended furloughs, weak discretionary spending and cost cutting
Khemka said that investors "must evaluate threats instead of writing off a sector, because if we were to do that, the Indian IT services sector would have been written of at least 4-5 times over the past two decades."
The growth will be at par with the 9.1 percent growth achieved by the sector in FY19, according to industry lobby Nasscom.
Indian companies including Tata Consultancy Services (TCS), Infosys and Wipro have long used H1-B skilled worker visas to fly computer engineers to the U.S., their largest overseas market, temporarily to service clients.
For some quarters now the Indian BPO sector has managed to expand rapidly in contrast to the IT services sector which is still being rocked by global headwinds. So much so, that the BPO industry is now confident of surpassing NASSCOM's growth projections for the overall IT, ITeS industry for FY14.
Dolat Capital has come out with its report on IT sector. The research firm believes that IT sector has the potential to turn into billion dollar entities in the next few years.
Background: In light of the recently announced 1QFY13 results, this article compares the quarter-on-quarter (Q-o-Q) revenue drivers of the Big 4 Indian IT companies, with a view to understand which of these drivers were sector specific versus company specific. The Big 4 are, of course, HCL Tech, Infosys, TCS and Wipro.