IT midcaps pull away from delivery model linked to headcount

November 7, 2025

, By The Economic Times

IT midcaps pull away from delivery model linked to headcount

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Mid-tier IT firms such as Persistent Systems, Coforge, and Mphasis are pulling away from the traditional, headcount-driven delivery model that has long defined the sector while posting revenue gains that far outpace any increase in their workforces, as productivity gains from AI-led deals become more visible across select companies.

Persistent Systems‘ revenue rose 23.6% year-on-year to ₹3,580 crore in the September quarter, with headcount inching up just 1.1%. Coforge’s revenue jumped 31% in the same quarter and its headcount rose 2%. Mphasis…

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IT midcaps pull away from delivery model linked to headcount

November 7, 2025

, Published By The Economic Times

IT midcaps pull away from delivery model linked to headcount

Mid-tier IT firms such as Persistent Systems, Coforge, and Mphasis are pulling away from the traditional, headcount-driven delivery model that has long defined the sector while posting revenue gains that far outpace any increase in their workforces, as productivity gains from AI-led deals become more visible across select companies.

Persistent Systems‘ revenue rose 23.6% year-on-year to ₹3,580 crore in the September quarter, with headcount inching up just 1.1%. Coforge’s revenue jumped 31% in the same quarter and its headcount rose 2%. Mphasis…

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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Previous News

DoorDash shares drop as new investment plan unnerves investors

Next News

After its Portal XP nerf, Battlefield 6 brings bots back to servers with Verified Experiences — here’s how they work after the update

The Economic Times

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