IT stocks rise on positive read-through from Accenture results

Mumbai: Indian software companies gain as a better-than-expected rise in quarterly revenue by Accenture Plc sparks hopes of a robust demand environment, dealers say. Tata Consultancy Services Ltd up 2.7 per cent, Infosys gains 1.4 per cent, Wipro up 1.9 per cent, HCL Technologies rises 3.3 per cent and Tech Mahindra surges 2.3 per cent.

Accenture's net income rose to $881.8 million, or $1.26 per share, in the third quarter ended May 31 from $874.1 million, or $1.21 per share, a year earlier. Analysts had expected earnings of $1.21 per share.

Accenture reported a better-than-expected 7.5 per cent rise in quarterly net revenue, led by a rebound in demand for its consulting services, where it competes with Indian IT companies.