A widely held expectation on the Street was that the margin pressure for information technology (IT) services companies had bottomed out in the September quarter (Q2FY23). Accordingly, earnings before interest and taxes (Ebit) margins of IT companies were expected to improve from Q3 onwards. That has largely played out. Among tier-1 IT companies that announced their Q3 results, except Infosys Ltd, the others have seen their Ebit margins rise sequentially. The chart alongside shows the details.