Indian engineering R&D firms anticipate a mixed third quarter due to subdued auto demand, with revenue growth projected between 1-2.8%. While macro uncertainties impacted spending, a gradual increase in electric and hybrid vehicle R&D offers support. Companies with higher European exposure are expected to perform better than those focused on the US market, which may see a rebound later. Tata Elxsi is projected to lead growth, benefiting from EV and hybrid R&D investments.