Nitin Padmanabhan: Sure, fair enough. Lastly, in terms of the headwinds on discretionary, which verticals really stand out in terms of where you are seeing the maximum pressure? That’s the last question, thank you.
Nilanjan Roy: Yes, I think as we mentioned, the three verticals, I think you can see it both sequentially, you can see it year-on-year, you can see it with the peer group, it is financial services, it’s mortgages, it’s asset management, it’s [indiscernible] retail, it’s communication, and I don’t think we are any different from any of our peers. I think everybody is calling out these three verticals as being soft.
Nitin Padmanabhan: Sure, fair enough. Thank you so much, and all the very best.
Operator: Thank you. The next question is from the line of Vibhor Singhal from Nuvama Equities. Please go ahead.
Vibhor Singhal: Yes, hi. Thanks for taking my question. Starting off, just a few questions from my side. We started the year with guidance of 47% for [indiscernible], so does–I mean, in the last call, this call you had mentioned that maybe in the first guidance, there was only one [indiscernible] which did not play out, and you had a fair bit of [indiscernible] guidance which you had given last time. So just want to understand that – I mean, we have been [indiscernible] good deals all along, especially in this quarter, and as you mentioned that [indiscernible], so what has changed from the time that you gave the first guidance to this time in terms of what was it that we have–that we are already [indiscernible]. Is that [indiscernible] part of that which is being put on hold much larger than anticipated?
Is there any one single or a couple of large projects which have kind of stopped [indiscernible] the amount that we had expected? Anything on that color would be really helpful.
Salil Parekh: There is no one project or one specific client that is where this is coming from. I think as we look at each quarter, we look at the combination of the two streams on discretionary work and on digital transformation and other programs, how that’s slowing down, where it’s slowing down, what the volume implications are, and then we look at how the large and mega deals are coming into the revenue stream. That’s what’s leading us–as we look out, when we see changes in the discretionary work or we see some slowing down of decision making for closing deals or slowing down in the start or ramp-up, those are the factors that come into play as we look at the revenue outlook. Then as we come into this time of the year especially, we look at the seasonality in Q3 and Q4, and our thinking is in the client buying environment, so that’s really the combination of things that we do. There’s not any one activity which has led to that change for us.
Vibhor Singhal: Got it. Any specific pockets of weakness that you have seen [indiscernible] much harder rate than anticipated? It could be maybe vertical [indiscernible] or maybe a specific domain, let’s say cloud adoption or any of those domains? How it is across the board?
Salil Parekh: The way we see in terms of industries, we have a similar sort of view from last quarter, the ones that Nilanjan outlined within financial services, mortgages, asset management, if you look at high tech, telco, some parts of retail, so those are the ones. We have not seen any sort of dramatic changes in that, but those are the ones where we see the impact.
Vibhor Singhal: Got it, sure. Thank you so much for the opportunity, and wish you all the best.
Operator: Thank you. The next question is from the line of Ashwin Mehta from Ambit Capital Private Limited. Please go ahead.
Ashwin Mehta: Yes, thanks for the opportunity. Nilanjan, just one question in terms of the third party bought out items – that seems to have added almost $75 million-odd this quarter, so do you see this item sustaining or it kind of falls off, and is this one of the reasons for your weak guidance?
Nilanjan Roy: Yes, so like I said, this is sometimes integral to our strategy as well, because we are doing large scale transformations and sometimes they have elements of licenses of software/hardware inside, and therefore our guidance takes into account both volumes and any impact of–you know, any of that kind of–the portfolio [indiscernible] headcount portfolio as well.
Ashwin Mehta: Okay, okay. In terms of wage hikes next quarter, what is the impact on margins that you see, or the quantum of wage hikes that you are giving out?
Nilanjan Roy: We have rolled it out. We cannot say what is going to be the impact, but like we said, it’s effective November 1.
Ashwin Mehta: Okay, fair enough. All the best.
Operator: Thank you. The next question is from the line of Gaurav Rateria from Morgan Stanley. Please go ahead.
Gaurav Rateria: Hi, thanks for taking my questions. The first one is that does your guidance factor in the current environment remaining similar in the next two quarters, or it kind of further deteriorates from here, because it’s kind of implying a decline sequentially over the next two quarters, so just trying to understand what’s the underlying assumption on the current environment.
