Business: Oct 7, 2011

(Reuters) - Indian software services companies are reported strong revenue growth, as they kick off their quarterly earnings next week, but the slowing U.S. economy and the debt crisis of the European press orders.

While the sluggish global economy could threaten the prices and new orders, a weak rupee may help to increase the margins of the market leader Tata Consultancy Services and Infosys.

Indian industry will showcase a $ 76000000000 for more than 90 percent of their revenue, and providing technology services to overseas customers in the United States and European hopes of its biggest markets.

"We expect the results to be decent, but attention will be given their instructions in order to gain a sense of whether the customers are delaying spending, or wait for price cuts," said Mohit Mirchandani Head of Religare Equity Portfolio Management, IT stocks in its portfolio, which holds about $ 250 million.

Most of these customers by companies that manage computer networks and keep the activity of several Fortune 500 companies, usually within its budget for next year in November.

Infosys, India's No.2 software company, which kicks off with pay on Wednesday and some analysts expect the company to cut its dollar revenue growth in 2011/12 target as demand tapers.

April-June quarter, the company's new customer additions and the lowest in at least four years it had warned in July that he faced with the volatile global economy, which can slow the customer's expense.

"NO SURPRISES dramatic"

Tata Consultancy and Infosys are reported revenue growth of 16.5 percent and 8.9 percent, respectively, for the three months ended in September, thanks to a healthy deal pipeline.

They would also benefit from a 8.8 percent drop in value of rupee against the dollar during the quarter.

Third-ranked Wipro, which reorganized its management earlier this year, a marginal decrease in expected earnings in salary and $ 150 million acquisition in April, he made a pressure on margins.

Nasdaq-listed Infosys, whose clients include Goldman Sachs and BT Group, provides a grim economic situation in Europe, their biggest concern, and diversifying into high-growth markets such as China, co-chairman of its executive told Reuters last month.

CEO bigger rival Tata Consultancy, has said overall spending in the United States and Europe remains weak, but it would be opportunities for customers to embrace new technology.

"We do not expect any dramatic surprises, but somebody needs to watch out for all the careful reading of the demand going forward," said Shah, intellectuals were shot, IT sector analyst at Mumbai Nirmal Bang Shares.

"We may see some delay budgets for FY13," he said.

Technology outsourcing and consulting firm Accenture reported last week, beating market forecasts of a strong 2012 results, and allaying the fears of industry-wide slowdown.

Oracle Corp., the world's No.3 software maker, also forecast higher-than-expected earnings in the second quarter of this year, as well as strong software sales.

But India's services sector contracted for the first time in over two years in September as new business all but dried up and expectations are concerned about the flagging global economy weakened in the middle of the survey released this week showed.

CURRENCY IMPACT

JPMorgan Infosys expects margins for the September quarter increased by 200 basis points compared to the previous quarter and the TCS '50 basis points, as the rupee depreciation.

Rupee, which had suffered its biggest quarterly decline in nearly three years, leading to mark-to-market losses on currency hedges by companies.

Investors will also look at hiring plans, considered as the main indicator of demand for the company.

Infosys shares, valued at nearly $ 30 billion, has lost about 26 percent this year, TCS and Wipro have lost 9 percent lost more than 30 percent.

The indexes are down about 24 percent a year, the date and the broader market has fallen more than 21 percent.

After the September quarter, a Reuters poll forecast of the 13th Mediation TCS and Infosys and Wipro 12 ratings.