Indian outsourcing supplier Tata Consultancy Services (TCS) saw sales slow and profits stagnate during its last quarter.
Tata's experience is now an emerging pattern among Indian outsourcing suppliers, with the likes of Infosys also seeing its sales and profits growth slow recently. Wipro and Satyam have also warned of slowing profits growth.
Many outsourcing firms in India have been hit by the global slump in financial services, and the situation is set to worsen as western economies spiral into recession.
For the quarter ended 30 September, Tata saw sales increase almost 15% to around £923m. For the same quarter last year the firm saw sales growth of around 45%.
Profits growth was also well down at just over 3% when compared to the same quarter last year, at around £168m.
Tata said profits were affected by unsuccessful currency hedging by the firm.
TCS recently announced it was buying the business process outsourcing arm of Citigroup.