IT Sector Q4 FY26 Earnings: Key Dates & Muted Growth Ahead

Introduction to the Q4 Earnings Season

The Indian IT sector is bracing for a subdued fourth quarter for the fiscal year 2026. As the financial year concludes, top software exporters including Tata Consultancy Services (TCS), Infosys, Wipro, HCL Technologies, and Tech Mahindra are preparing to announce their results. These announcements, scheduled throughout April 2026, are highly anticipated by investors for insights into the sector's health, client spending trends in key Western markets, and the crucial outlook for the upcoming fiscal year, FY27. While revenue growth is expected to be modest, a sharp depreciation in the Indian rupee against the US dollar is anticipated to help most tech companies report double-digit earnings growth on a year-on-year basis.

Analyst Expectations and Projections

Market analysts have set a cautious tone for the quarter. Kotak Institutional Equities noted in a preview report, "We expect muted 4QFY26 revenue growth across many companies in the sector, although the yoy growth profile should improve for several companies." The quarter is expected to see some benefit from the absence of seasonal furloughs that typically impact the third quarter, particularly in the Banking, Financial Services, and Insurance (BFSI) and retail segments. For Tier-1 IT companies, revenue growth is projected to be in a narrow range of 0.5% to 1.5% quarter-on-quarter. In contrast, Tier-2 companies such as LTIMindtree, LTTS, Coforge, and Persistent Systems are expected to outperform their larger peers.

Analysts at Centrum have provided specific quarter-on-quarter USD revenue growth predictions for Tier-1 firms: TCS at 1.2%, Infosys at 0.2%, and Wipro at 1.0%. HCL Tech and Tech Mahindra are expected to see a slight decline of 0.5% and 0.1%, respectively. Among the top players, TCS is forecasted to lead revenue growth, while Persistent Systems is expected to be the frontrunner among mid-tier companies.

The Crucial FY27 Guidance

Beyond the Q4 numbers, the market's primary focus will be on the management guidance for the fiscal year 2027. This outlook comes amidst a challenging and uncertain global macroeconomic environment, exacerbated by ongoing geopolitical conflicts in the Middle East. The guidance will be a key indicator of whether the industry is on a path to recovery and how companies are navigating client spending hesitations.

Analysts have projected specific guidance ranges for major firms. Infosys is expected to provide a revenue growth guidance of 3-6% for FY27, with an EBIT margin target of 20-22%. This includes an approximate 75 basis points contribution from its acquisition of Versent. HCL Technologies is anticipated to guide for organic revenue growth between 4.0% and 6.0%, with an EBIT margin of 17-18%. For Wipro, the guidance for the first quarter of FY27 is expected to be modest, in the range of 0% to +2%.

Q4 FY26 Earnings Calendar

Investors have marked their calendars for a series of important announcements spread across April and early May 2026. The earnings season will provide a clear direction for the sector's trajectory.

Company-Specific Announcements and Timelines

Tata Consultancy Services (TCS): As the industry bellwether, TCS will kick off the earnings season on April 9, 2026. The results will be announced after market hours, historically between 3:40 PM and 4:20 PM. The company's board will also consider a final dividend for FY26.

Infosys: The Bengaluru-based giant will announce its performance on April 23, following a two-day board meeting. The results are typically released around 3:45 PM. The board will also recommend a final dividend for FY26.

Wipro: Wipro is scheduled to declare its Q4 results on April 16. The announcement is expected in its usual post-market window between 3:30 PM and 4:00 PM.

HCL Technologies: HCL Tech will report its earnings on April 21. The company often releases its results later in the evening, between 5:00 PM and 6:00 PM. Notably, its board will consider an interim dividend for the next financial year, FY27.

Tech Mahindra: Rounding out the top five, Tech Mahindra will unveil its Q4 numbers on April 22, with the announcement expected post-market hours between 3:30 PM and 4:30 PM.

Market Impact and Sector Outlook

The upcoming results are more than just a reflection of the past quarter; they are a crucial barometer for the future. The management commentary accompanying the results will be scrutinized for clues on demand recovery, deal pipelines, and the impact of emerging technologies like Artificial Intelligence on business models. Dividend announcements will also be a key factor for investors. HCL Tech's decision to consider an interim dividend for FY27 is a unique point of interest, while TCS, Infosys, and others are expected to announce final dividends for FY26. The collective performance and outlook of these IT majors will significantly influence market sentiment and set the tone for the sector's performance in the new fiscal year.