The latest earnings season has sparked mixed reactions across India’s IT sector, with investors expressing concern over weaker-than-expected margins and conservative growth guidance. However, market experts believe the broader picture may not be as discouraging as it initially appears.

Speaking to ET Now, market expert Sandip Agarwal from Sowilo Investment Managers acknowledged the short-term disappointment but urged investors to take a more measured view.

“So, as you rightly mentioned, there was some underperformance versus whatever was the street estimate. But let me give you a little more perspective.”

Agarwal emphasized that company guidance must be viewed in the context of recent volatility in the IT services space. Over the past few months, the industry has faced significant disruption, largely driven by fears surrounding artificial intelligence.

“You all know that the last three to six months have been very, very disrupting for the IT services space because there was a point of time where every day there were articles coming and saying that 70%, 80%, 90%, or even 100% of the IT services will not be required.”

According to him, sentiment has since stabilized, with extreme predictions giving way to more realistic expectations of gradual efficiency gains rather than outright disruption.
“At least people are saying there will be deflation, and I agree… 20% to 30% effort reduction because of AI spread over four to five years means 4–5% annual deflation.”Growth Guidance: Conservative but Not Weak
The industry’s projected growth range of 1.5% to 3.5% has been seen as underwhelming by the market. However, Agarwal argues that when adjusted for AI-led efficiency gains, the outlook appears more reasonable.

“If you take the upper end of the guidance, then it means like 8–9% kind of dollar growth… and if you take the lower end, we are talking about 5–6% growth.”

He added that such growth levels are sustainable and realistic for the sector over the next few years, especially for large companies.

“This is not an industry where you should look at double-digit growth… 6–7% growth for large companies and 8–10% for mid-sized companies is what you should build in.”

Currency Volatility and Margin Pressure
Another key concern has been the limited benefit from currency depreciation, particularly in companies like Infosys, where forex tailwinds failed to significantly boost margins.

Agarwal attributed this to the nature of hedging strategies and sudden currency movements.

“Whenever such sharp changes have happened in the currency, that quarter they have not been able to get much benefit because it is sudden.”

He explained that currency gains typically take time to reflect in financials and are often offset by short-term disruptions and increased costs.

“So, we should not expect magic in margins due to currency in one quarter. It takes time to flow.”

Additionally, seasonal factors such as furloughs and fewer working days also played a role in dampening performance.

“December quarter has a huge furlough impact and March quarter has a lesser number of working days… so that also has an impact.”

Sector Outlook: Patience Required
Despite near-term challenges, Agarwal remains optimistic about the sector’s medium-term trajectory.

“In my opinion, the sector should see 13–14% EPS growth for the next two years at least.” He also pointed out that IT companies historically tend to meet or exceed their guidance, barring major crises.

“Generally, they have always made their guidance at the upper end and sometimes have beaten guidance.”

However, he cautioned that investors should avoid overanalyzing short-term fluctuations in a business that is inherently complex and client-driven.

“In B2B business, things change so fast… your top client contributes 4–5% sometimes, and they can have a decision delay.”

Valuations and Investment Strategy
On valuations, Agarwal noted that much of the excess optimism has already been corrected, making the sector more attractive now than in recent months.

“A lot of froth is behind… we are maybe at the bottom of the prices of the stock.” He advised investors to focus on the broader sector rather than individual stock picks.

“Money is made when your call on the sector goes right rather than on the micro.” That said, he expressed some caution regarding the ER&D (Engineering Research & Development) segment, citing concerns around valuation excess.

The Bottom Line
While the IT sector may face short-term pressure from margin compression, currency volatility, and cautious client spending, the long-term fundamentals remain intact. Stable growth expectations, improving efficiency, and reasonable valuations suggest that patient investors could still find meaningful opportunities.

As Agarwal summed it up: “At the sector level, prices are good, things have corrected, and they are looking much more reasonable… the sector call is looking good right now.”

PERTH — Western Australia is finally set to join the digital age for driver identification, with the Cook Labor Government announcing Thursday it will introduce optional digital driver’s licences by late 2027 after allocating $28.2 million in the upcoming state budget.

The initiative, unveiled in Perth, includes a trial beginning mid-2027 and full rollout by the end of that year. Digital licences will initially live in the ServiceWA app’s digital wallet, with plans to expand compatibility to Apple Wallet and Google Wallet for broader convenience.

Science and Innovation Minister Stephen Dawson described the move as a significant step toward modern, secure government services. “These changes are designed around how people live and work today,” Dawson said. “Having key credentials available digitally means less paperwork, fewer delays, and greater convenience.”

Assistant Transport Minister Jessica Stojkovski emphasized that the digital licence would remain optional. Physical cards will stay available “for the foreseeable future,” addressing concerns from residents wary of fully digitizing sensitive documents.

“You can choose to have a digital driver’s licence if that suits your circumstances and lifestyle, but equally if you like having a physical driver’s licence, you can do that as well,” Stojkovski said.

The funding comes from the Digital Capability Fund and will support not only driver’s licences but also a broader State Digital Identity system. This will enable Western Australians to access more online services and secure transactions while maintaining control over their personal data.

Security has been a key focus during development. WA deliberately took longer than eastern states to ensure the system meets top national and international standards. Stojkovski highlighted enhanced safety features, particularly for proof-of-age scenarios at licensed venues.

When scanned for age verification, the digital licence will share only necessary confirmation — such as “over 18” — without revealing full personal details. This contrasts with current physical cards, where venues may capture and store complete information with uncertain data practices.

Transport Minister Rita Saffioti noted most Western Australians already carry their phones daily, making the digital option a natural extension of modern life. The system builds on recent innovations like phone-based SmartRider public transport tagging.

WA has lagged behind other Australian jurisdictions. New South Wales, South Australia, Victoria and others rolled out digital licences years ago, while Tasmania and the Northern Territory advanced plans for 2026 launches. The state’s cautious approach prioritized robust cybersecurity to protect the personal data of roughly 2.2 million licence holders.

The digital credential will allow near real-time verification, ensuring information stays current and accurate. This promises faster licence issuance and replacements, reducing visits to physical service centres. Upgrades to the WA Relationship Authorisation Manager will also improve business-government interactions.

For everyday users, the benefits are clear. Forgot your physical licence? Pull out your phone. Need to prove age quickly? A secure scan does the job with minimal data exposure. The system aligns with national efforts to harmonize digital identities across Australia.

Privacy advocates and older residents have raised questions about digital access and data security. The government has stressed inclusivity, with physical options remaining and strong safeguards against theft or fraud. Dawson noted the project lowers chances of identity theft through better-controlled sharing.

The ServiceWA app already supports Digital ID setup for those over 15 with compatible smartphones. Users link documents like driver’s licences, birth certificates or passports through the myID platform (formerly myGovID) for stronger verification.

Implementation will involve collaboration with licensed venues, police and other stakeholders to ensure smooth acceptance. The pilot phase mid-2027 will test functionality, user experience and verification processes before wider availability.

This rollout forms part of a broader digital transformation under the Cook Government. It complements other initiatives aimed at making services smarter, more efficient and user-friendly while supporting economic growth through reduced administrative burdens.

Industry groups have welcomed the news. Road safety organizations see potential for better compliance checks, while tech sectors view it as boosting WA’s digital credentials. For businesses, real-time verification could streamline hiring, age-restricted sales and insurance processes.

Challenges remain. Not everyone owns a compatible smartphone, and network coverage in regional WA could affect reliability. The government has committed to addressing these through the trial phase and ongoing consultation.

As WA catches up, the digital licence represents more than convenience — it signals a shift toward secure, privacy-focused identity management. With $28.2 million committed, the state aims to deliver one of the strongest systems nationally.

Motorists are encouraged to stay informed via the ServiceWA app and Department of Transport channels. While physical licences continue unchanged for now, the optional digital version promises to make carrying identification simpler and safer for those who choose it.

The announcement comes as Australia moves toward greater digital integration. With most states already offering or planning mobile licences, WA’s entry completes the national picture and positions the state for future interoperable systems.

For millions of Western Australian drivers, the phone in their pocket could soon serve as their official licence — a practical evolution in how identity travels in the 21st century. The mid-2027 trial will provide the first real test of this long-awaited technology.

Ford is recalling more than 140,000 Ranger trucks in the U.S. after federal safety regulators warned a wiring issue could elevate the risk of fire, as well as potential crashes or injuries.

The recall affects 140,201 vehicles spanning the 2024 through 2026 model years, according to the National Highway Traffic Safety Administration (NHTSA).

The agency said the problem is linked to wiring associated with the sun visor and headliner that may be routed incorrectly or wrapped with too much tape, conditions that can cause the wires to degrade and potentially trigger an electrical short near the A-pillar.

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To address the issue, Ford dealers will examine the wiring and update the vehicle’s body control module software. Harnesses showing signs of damage will be replaced at no cost to owners, the agency said.

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The recall is being rolled out in phases, beginning with certain 2025 model-year trucks. Owner notification letters are scheduled to start the week of May 31, followed by additional rounds in late June for 2026 models and late July for 2024 models.

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Regulators said interim notices alerting drivers to the safety risk are expected to be mailed April 27, with a final repair solution anticipated later in the summer. The campaign is identified as 26S29, and affected VINs have been searchable on NHTSA’s website since mid-April.

Reuters contributed to this report. 

Gold and silver prices opened sharply lower on the Multi-Commodity Exchange of India on Friday as oil prices surged back towards $110 per barrel, intensifying inflation concerns and raising expectations that interest rates may stay higher for longer.

Tensions escalated further after Iran released footage of commandos boarding a cargo vessel in the Strait of Hormuz, along with reports that its air defence systems had engaged what were described as “hostile targets.”

In the domestic market, MCX silver futures for May 2026 delivery fell Rs 2,300 or 1%, to Rs 2,39,200 per kg. Gold futures for June 2026 delivery declined Rs 600 or 0.4% to 1,51,159 per 10 grams. In the previous session, silver and gold ended higher by 0.25% each.

Rising crude oil prices tend to fuel inflation by increasing transportation and production costs, which in turn raises the likelihood of higher interest rates. Although gold is traditionally seen as a hedge against inflation, higher interest rates reduce its appeal by making yield-bearing assets more attractive.

Globally, yellow metal was little changed on Friday but remained on course for a weekly decline. Spot gold edged up 0.1% to $4,697 per ounce as of 0105 GMT, though it has fallen 2.6% so far this week, snapping a four-week winning streak. U.S. gold futures for June delivery slipped 0.2% to $4,712.50. Spot silver also eased 0.1% to $75.36 per ounce.

How should you trade gold?

Manoj Kumar Jain of Prithvi Finmart said gold and silver are likely to remain volatile in today’s session due to fluctuations in the dollar index, swings in crude oil prices and uncertainty around the US-Iran peace deal.
He sees gold support at $4,681–4,640 and resistance at $4,755–4,790 per troy ounce. Silver has support at $72–68 and resistance at $78–80.40 per troy ounce for the day.
On MCX, gold has support at Rs 1,55,000–1,49,800 and resistance at Rs 1,52,350–1,53,100, while silver has support at Rs 2,38,800–2,34,000 and resistance at Rs 2,45,000–2,48,500.

He advises waiting for stability in bullion markets before taking fresh positions.

Gold rates in physical markets

Gold Price today in Delhi

Standard gold (22 carat) prices in Delhi stand at Rs 1,12,712/8 grams while pure gold (24 carat) prices stand at Rs 1,22,952/8 grams.

Gold Price today in Mumbai

Standard gold (22 carat) prices in Mumbai stand at Rs 1,12,592/8 grams while pure gold (24 carat) prices stand at Rs 1,22,832/8 grams.

Gold Price today in Chennai

Standard gold (22 carat) prices in Chennai stand at Rs 1,13,272/8 grams while pure gold (24carat) prices stand at Rs 1,23,576/8 grams.

Gold Price today in Hyderabad

Standard gold (22 carat) prices in Hyderabad stand at Rs 1,12,592/8 grams while pure gold (24 carat) prices stand at Rs 1,22,832/8 grams.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Roughly 1,400 people across Nike’s Global Operations team will be laid off, the company announced Thursday.

In a memo to employees, Chief Operating Officer Venkatesh Alagirisamy said the cuts will primarily affect Nike’s technology division and span North America, Asia and Europe, representing just under 2% of the company’s global workforce.

“This is not a new direction,” Alagirisamy wrote. “It is the next phase of the work already underway.”

The announcement follows a series of recent job cuts as Nike restructures its operations.

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In January, the company said it would cut 775 jobs as part of an automation push at distribution centers. 

In February 2024, Nike announced plans to reduce its workforce by about 2%, or more than 1,600 employees, and a few months later, in August, said it would cut less than 1% of corporate staff as part of a broader turnaround effort under CEO Elliott Hill.

Shares rose about 0.5% in after-hours trading, though Nike stock has lost more than half its value over the past three years.

According to Alagirisamy’s memo, the layoffs are aimed at streamlining supply chains for materials, footwear and apparel, and centralizing technology operations in two hubs: Beaverton, Oregon, and the Nike India Technology Center.

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Nike also plans to move some Converse manufacturing and engineering operations closer to factory partners.

“These changes are meant to make the company less complex and more responsive,” Alagirisamy said. “As we look ahead, that means simplifying parts of how we operate, using more advanced automation where it helps us work better, and building an even stronger end-to-end foundation for future growth.”

Ticker	Security	Last	Change	Change %
NKE	NIKE INC.	44.78	-0.90	-1.97%

Hill, who became CEO in 2024, has pledged to refocus the Nike brand on core sports, such as running and soccer, while accelerating new product launches.

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Nike forecast a 2% to 4% drop in sales this quarter, with China, a key market, expected to decline about 20%, the company said.

Nike referred FOX Business to Alagirisamy’s memo when asked for comment.

FOX Business’ Eric Revell and Reuters contributed to this report.

Operator

Good day, and welcome to the Enova International First Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note, this event is being recorded.

I would now like to turn the conference over to Lindsay Savarese, Investor Relations for Enova. Please go ahead.

Lindsay Savarese
Investor Relations

Thank you, operator, and good afternoon, everyone. Enova released results for the first quarter 2026 ended March 31, 2026, this afternoon after market close. If you did not receive a copy of our earnings press release, you may obtain it from the Investor Relations section of our website at ir.enova.com.

With me on today’s call are Steve Cunningham, Chief Executive Officer; and Scott Cornelis, Chief Financial Officer. This call is being webcast and will be archived on the Investor Relations section of our website.

Before I turn the call over to Steve, I’d like to note that today’s discussion will contain forward-looking statements, and as such, is subject to risks and uncertainties. Actual results may differ materially as a result from various important risk factors, including those discussed in our earnings press release and in our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Forms 8-K. Please note that any forward-looking statements that are made on this call are based on assumptions as of today, and we undertake no obligation to update these statements as a result of new information