Will FY26 be much better than FY25 for IT and will the margins expand? Kunal Tayal answers

BofA Securities anticipates a subdued FY26 for the IT sector, projecting low single-digit growth around 3% due to tariff uncertainties. Margin management will be challenging amid slower growth, though cost takeout projects and banking sectors remain stable. Cement pricing shows early signs of improvement after a tough period, with potential for sustained increases if utilization rates rise.