• AI pricing dynamics: AI adoption is expected to boost industry demand, leading to lower project-level costs but higher individual billable rates as smaller, higher-skilled teams replace larger fresher-led teams.
• Order book seasonality: The sequential decline in order bookings is attributed to typical Q1 seasonality for client renewals and a strong prior quarter, with net new business contributing about 50% compared to the normal 30% to 35%.
• BFSI segment momentum: Growth in the BFSI vertical remains broad-based and secular rather than dependent on a single mega deal, offering healthy visibility for the rest of the year.
• Non-BFSI vertical performance: TMT is performing well excluding its largest account, healthcare and life sciences is recovering after earlier client consolidations, while manufacturing and consumer services continue to show weakness.