HCLT reported a solid quarter, with USD revenue up 1.4% QoQ (2.1% CC vs. our estimate of 1.6%) at US$ 1,566mn (our estimate US$ 1,559mn). App services revenue was subdued ( 0.4% QoQ) in comparison to IMS?s growth trajectory ( 2.6% QoQ, 3.4% CC). Rupee depreciation and higher utilisation drove a 65bps QoQ rise in EBIT margin to 20%.