Earnings Season Kickoff: What to Expect from TCS, Infosys, and HCL Q3 Results

The January 12-14 window marks the start of a crucial earnings season for India’s IT sector, with major players like TCS, Infosys, and HCL reporting their Q3 FY26 results. This period will set the tone for the broader market in 2026, especially since these companies are heavyweights in the Nifty index. Investors, traders, and portfolio managers closely watch these results to gauge the health of the IT industry and adjust their strategies accordingly.

This blog post breaks down what to expect from the Q3 earnings announcements, key metrics to focus on, and how these results could influence market sentiment in the coming weeks.

TCS Leads the Charge on January 12

TCS will be the first among the major IT firms to report, releasing its Q3 results on January 12. Alongside the earnings, investors will also watch for the company’s interim dividend decision. TCS’s performance often acts as a benchmark for the sector, so its numbers will be under intense scrutiny.

Key points to watch in TCS’s report include:

• Revenue growth compared to previous quarters and analyst expectations

• Margin percentage, which reflects operational efficiency

• Deal wins and client additions, indicating business momentum

• Attrition rates, as employee retention impacts delivery and costs

• Guidance for the next quarter and full fiscal year, which shapes market expectations

  
  

If TCS beats expectations on these fronts, it could trigger positive stock movement and lift the entire IT sector. Conversely, any misses or cautious guidance might weigh on sentiment.

Infosys, HCL, and Others Follow from January 13 to 15

Following TCS, Infosys, HCL, and other IT companies will report their Q3 results between January 13 and 15. These companies will provide additional data points to confirm or challenge the trends seen in TCS’s report.

Investors should focus on:

• Comparative revenue growth across these firms to identify sector-wide trends

• Margin trends, especially if rising costs or pricing pressures emerge

• Deal pipeline strength, which signals future revenue streams

• Client additions and attrition, which affect long-term stability

• Earnings surprises, where beating or missing expectations can cause sharp stock price moves

  
  

The combined results from January 12-14 will act as a market tone-setter. Since IT companies are Nifty heavyweights, their performance will influence broader market sentiment and trading patterns.

How the IT Sector Results Influence the Market

The IT sector’s Q3 earnings season is critical because it reflects global demand for technology services and digital transformation. Strong results often indicate healthy corporate spending and a stable global economy, which can boost investor confidence.

Key ways the IT earnings season impacts markets include:

• Setting the tone for Nifty and broader indices due to the sector’s weightage

• Driving sector rotation as investors adjust allocations based on earnings surprises

• Influencing currency and foreign investment flows, since IT firms earn a significant portion of revenue from overseas clients

• Providing clues on wage inflation and attrition trends, which affect margins and profitability

  
  

Traders who buy on expectations and sell on news will find this period particularly active. Portfolio managers may rebalance holdings based on the guidance and performance revealed during these reports.

Broader Q3 Earnings Season Outlook

The IT sector’s January 12-14 results kick off a broader Q3 earnings season. Following the IT companies, the banking sector will report between January 18 and 25, with FMCG and auto sectors following later.

This sequence means the market will digest IT results first, which could influence expectations for other sectors. For example, strong IT earnings might signal robust corporate spending, benefiting banks and consumer-focused companies.

What Investors Should Watch Closely

To make informed decisions during this earnings season, investors and traders should focus on these key metrics:

• Revenue growth: Indicates demand strength and pricing power

• Margin percentage: Shows cost control and operational efficiency

• Deal wins and client additions: Reflect future revenue potential

• Attrition rates: High attrition can signal workforce challenges

• Guidance: Forward-looking statements shape market expectations

• Earnings surprises: Beat or miss on estimates drives stock price volatility

  
  

Monitoring these factors across TCS, Infosys, HCL, and others will provide a clear picture of the IT sector’s health and its impact on the broader market.

Final Thoughts on the January 12-14 Earnings Season Kickoff

The January 12-14 period is a critical moment for IT sector investors and market watchers. TCS’s Q3 results and interim dividend decision on January 12 will set the initial tone, followed by Infosys, HCL, and others from January 13 to 15. These reports will reveal how well the sector is navigating global challenges and growth opportunities.

Strong revenue growth, stable margins, and positive guidance could boost IT stocks and lift the broader market. On the other hand, any earnings surprises on the downside might prompt caution and portfolio adjustments.