Q&A – IT Sector Special Points Video

1. Localization

There can be more reasons for localization, which includes because of US laws or
H1B visa restriction. But along with that the reason mentioned in video is to certain
extent can be perspective of IT companies which we could understand after reading
the transcripts of the meetings and other calls or press releases published by the
entities. So even if the cost must exceed due to localization in terms of salaries and
wages but the intangible benefits from that can be a good level like local talent can
more efficiently and effectively work in that geography, government law or
regulations compliance and many other things.

2. Utilization meaning clarification

Though there can be different meanings specifically in the sectors. We have

considered the meaning of utilization in general sense. But thanks to all for your
input specifically regarding IT sector which seems to be one of the specific meaning
in the sector.

Even if one consider above meaning based on no. of employees, on consolidated

level it indicates productivity of all the employees on consolidated basis. So, it’s
right that utilization is not for individual employee but it’s on overall basis.
3. FY20 & FY21 Clarification

FY meaning and use of 2020 & 2021 respectively based on that

Financial Year 2020 means 1st April 2019 to 31st March 2020 & same for 2021 i.e.
1st April 2020 to 31st March 2021.

Based on above, we have considered Q1 FY20 i.e. means Q1 of FY 2019-20 & Q1

FY21 i.e. Q1 of FY 2020-21.

4. Source of Information:

Source of all the data points used in the video:

i) Annual reports of the entities

ii) Key Fact Sheets

iii) Press releases

iv) Conference Calls or other board meeting calls – transcripts

v) Investor Presentations

All above can be easily available in investor section on the official websites of the companies.