Q4 Results Reflect Market Trends, Says NLB Services on IT Giants’ Performance

By Sachin Alug, CEO, NLB Services

“Despite ongoing global uncertainties, FY25 has marked a recovery phase for major Indian IT firms, following the historic headcount decline of FY24. However, hiring remained measured in Q4, reflecting continued caution in client spending and persistent macroeconomic headwinds. Attrition rates have stabilized across the industry at an average of 13–15%, indicating a more balanced yet evolving talent landscape.

While some IT majors have deferred wage hikes this year due to pricing pressures and shifting client priorities, hiring in niche and emerging tech domains remains active, both in India and globally. Several firms have also announced plans to on-board over 10,000 freshers in FY26—signalling long-term confidence despite short-term challenges.

Key investments are being directed towards AI and Generative AI, supported by large-scale upskilling across service lines. Cloud modernization, cybersecurity, and data engineering continue to be core capabilities, with a strong push toward consulting-led, outcome-driven engagements. Firms are also deepening their vertical expertise in BFSI, healthcare, retail, and sustainability tech, including ESG reporting and carbon tracking.

Roles such as AI/ML Engineers, Data Scientists, Cloud Architects, DevOps Engineers, and ESG Analysts remain in high demand, often commanding 8-10% premium in compensation. As clients adopt a more measured approach to large-scale transformation and discretionary spending, IT companies are scaling thoughtfully to build high-impact, future-ready talent.”