The ten share Nifty IT index dipped 5.6% trading at 26,997 points as Accenture Plc shaved revenue guidance on macro uncertainty and the West Asian conflict in its Q3 FY2026.

Infosys dipped the most (7.7%) among its peers. TCS, LTM, and Tech Mahindra fell nearly 5%. Oracle (OFSS) is the only stock traded in the positive territory.

Accenture PLc delivered its quarterly returns for Q3 fiscal 2026 in which it highlighted that it had a $100 million impact due to the uncertainties that came from the West Asian conflict and it expects the impact to be more in the next quarter. “For the full fiscal ‘26, we now expect our revenue to be in the range of 3% to 4% growth in local currency over fiscal 2025, including an estimated 1% impact from our federal business,” Angie Park , CFO of Accenture Plc told analysts in the Q3 earnings call held June 18. This is a revision from the full fiscal year revenue growth guidance of 3% to 5% that the company gave in its Q2 earning call.

“We were impacted by the conflict in the Middle East. We saw a revenue impact of approximately $100 million compared to our expectations, which is all consulting type of work, split evenly between the direct impact on our Middle East business and indirect effects outside of the region. In the last few weeks of the quarter, we saw this indirect impact globally in products and to a lesser degree in resources, mostly in discretionary spend. In addition, sales in the Middle East were impacted by approximately $400 million and also in EMEA due to longer decision-making,” said Julie T. Sweet, CEO and Chairperson of the company. “The indirect impact really started in the last few weeks and mostly in discretionary spend, we do think that there will be more impact in Q4, which is why we’re saying that more of the range is in play,” she continued.

She said that Accenture also moved some of its large managed services decision to fiscal 2027, due to “company specific reasons.”

Besides the crisis in West Asia burgeoning AI costs were also a reasons behind the missed revenue targets. “Client budgets remain broadly stable, with enterprises reallocating cost-takeout savings toward AI rather than materially expanding budgets. Accenture also sees rising AI infrastructure and token costs creating a new optimization services opportunity, similar to initial period of cloud adoption,” said Ashis Dash , research analyst of IT and Internet sector at Systematix Group in a research note.