• Good 4QFY10 fundamentals likely to be marred by adverse exchange rate movement: We expect US$ revenues to increase 3-4% Q/Q driven primarily by volume growth and helped by stable prices. GBP, Euro appreciation vs. US$ is likely to impact US$ revenues by 0.5-1% and rupee appreciation against US$ should lead to a ~1-2% Q/Q rupee-based revenue growth. EBITDA margins should be flat to slightly down Q/Q due to rupee appreciation and salary hikes (Wipro). EPS growth would vary depending on hedging losses/gains, in our view.