Persistent Systems, Zensar, eClerx, Firstsource Sol: What IT firms say at JMF Conference 2023

Persistent Systems, Zensar, eClerx, Firstsource Sol: What IT firms say at JMF Conference 2023

Persistent Systems has not seen any major ramp-downs in the past couple of quarters, reflecting stable TCV to revenue leakage, it while noting that the improvement is not material.

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Zensar Technologies reiterated its mid teens margin guidance despite a higher margin in H1. It intends to keep a buffer for future investments, JM Financial said.Zensar Technologies reiterated its mid teens margin guidance despite a higher margin in H1. It intends to keep a buffer for future investments, JM Financial said.
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Amit Mudgill
  • Nov 24, 2023,
  • Updated Nov 24, 2023 11:48 AM IST

The managements of a handful of IT firms namely Persistent Systems Ltd, Zensar Technologies Ltd, eClerx Services Ltd and Firstsource Solutions Ltd attended JM Financial India Conference 2023.  In its takeaways note, JM Financial said the IT sector commentary remained muted, as it is exposed to the external sector. Here's what IT managements told JM Financial at the conference:

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Firstsource aims to deliver top-quartile industry growth and margin expansion, JM Financial said. Ritesh Idnani, the newly appointed CEO, is keen on execution in terms of cross-sell and upsell, it said. Client relationship officer is designated for top accounts to drive growth through cross-selling and upselling, it added.

Organisational change in terms of realignment of responsibilities is underway. All business units are working together on their offerings to the clients. Operating environment under the new leadership is now more focused.

The FY24 revenue guidance cut to 0-2 per cent from 2-4 per cent earlier was on account of  general economic slowdown impacting client volumes. Business pickup was not as sharp as company was expecting," JM Financial said.

Capacity addition for Firstsource Solutions will be in sync with demand environment. Company is looking to fill white spaces in terms of offerings.

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Zensar Technologies

As per JM Financial, the Zensar management thinks is no change in the overall demand environment. The December quarter, it said, will though be impacted by furloughs.

"The company is working on making certain structural changes: Improving pyramidisation – e.g., any attrition is being replaced with n-1 level resource. The focus is on making recently hired freshers billable," JM Financial said.

The IT firm reiterated its mid teens margin guidance despite a higher margin in H1. It intends to keep a buffer for future investments, JM Financial said. Deal tenure has lengthened and so has deal-to-revenue conversion timelines,JM Financial said.

Also read: Stock recommendations for November 24, 2023: CDSL, Bajaj Auto and Star Health

Also read: Mamaearth-parent Honasa Consumer shares jump 38% in two sessions; here's what analysts say

Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.

The managements of a handful of IT firms namely Persistent Systems Ltd, Zensar Technologies Ltd, eClerx Services Ltd and Firstsource Solutions Ltd attended JM Financial India Conference 2023.  In its takeaways note, JM Financial said the IT sector commentary remained muted, as it is exposed to the external sector. Here's what IT managements told JM Financial at the conference:

Advertisement

Firstsource aims to deliver top-quartile industry growth and margin expansion, JM Financial said. Ritesh Idnani, the newly appointed CEO, is keen on execution in terms of cross-sell and upsell, it said. Client relationship officer is designated for top accounts to drive growth through cross-selling and upselling, it added.

Organisational change in terms of realignment of responsibilities is underway. All business units are working together on their offerings to the clients. Operating environment under the new leadership is now more focused.

The FY24 revenue guidance cut to 0-2 per cent from 2-4 per cent earlier was on account of  general economic slowdown impacting client volumes. Business pickup was not as sharp as company was expecting," JM Financial said.

Capacity addition for Firstsource Solutions will be in sync with demand environment. Company is looking to fill white spaces in terms of offerings.

Advertisement

Zensar Technologies

As per JM Financial, the Zensar management thinks is no change in the overall demand environment. The December quarter, it said, will though be impacted by furloughs.

"The company is working on making certain structural changes: Improving pyramidisation – e.g., any attrition is being replaced with n-1 level resource. The focus is on making recently hired freshers billable," JM Financial said.

The IT firm reiterated its mid teens margin guidance despite a higher margin in H1. It intends to keep a buffer for future investments, JM Financial said. Deal tenure has lengthened and so has deal-to-revenue conversion timelines,JM Financial said.

Also read: Stock recommendations for November 24, 2023: CDSL, Bajaj Auto and Star Health

Also read: Mamaearth-parent Honasa Consumer shares jump 38% in two sessions; here's what analysts say

Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
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