Patni's 4Q 09 revenues guidance implies modest sequential growth, ranging between 0.5% - 1.1%. This is lower than its 3Q 09 growth performance on account of fewer working days in the quarter. Management's 4Q 09 guidance also trails guidance provided by larger peers. We believe this growth will be achieved mainly through volumes as we expect pricing pressure to continue and have not ruled out the possibility of further re-negotiations…

Patni has guided to 3Q 09 revenues of US$163 mn – US$165.5 mn, implying sequential growth ranging between 0.7% and 2.2%. We believe this growth will be achieved mainly through volumes as we expect pricing pressure to continue to hold and have not ruled out the possibility of further renegotiations by IT clients. Our outlook for the Indian IT services sector is tilting in favor of the positive and factors driving this change are present at both the macro level and company…

The weak demand environment and prevailing economic uncertainty have again led Patni to guide to mute top-line growth in 2Q 09. We expect organizations to continue to rationalize IT budgets as part of wider cost cutting measures, which will result in lower volume growth. This, coupled with the downward pressure on pricing is expected to result in mute overall growth over the medium term. Pricing declines are expected to be partially offset by modest increases in…