Infosys second quarter earnings deliver on all fronts led by highest ever deal wins worth $3.15 billion — raises annual guidance to 2% to 3%
- Infosys net profits are up by 16.2% and revenue jumped by 4% over the last three months
- The Indian IT services company raked in deal wins worth $3.15 billion between July and September.
- Infosys has also declared an interim dividend of ₹12 per equity share and revised revenue guidance for the current fiscal to between 2% to 3%
It has declared an interim dividend of ₹12 per equity share and revenue growth guidance has been increased to to 2% to 3% for the current fiscal in constant currency .
Margins were also stable, expanding by 270 basis points (bps) — one hundred bps make 1% — to hit 25.4% in the second quarter.
Infosys CFO Nilanjan Roy attributed Infosys’ success to the company’s three pronged strategy to defer costs, cutting down on discrete expenditure and optimising the strategic cost levers of onsite offshore pyramid, automation and subcontractors.
“Going into the second half, some of these cost increases will now come back like wage hikes, promotions, hiring etc,” said Roy.
This is marked improvement over last quarter when in profit was down by 4.5% and revenue saw a 2% hit quarter-on-quarter (QoQ).
Even so, the choppy trade in Indian stock markets, led by profit booking in Wipro weighed on Infosys today. The company’s share price ended lower by nearly 2%. However, overall, the stock has gained 54.4% this year so far overcoming the impact of the coronavirus pandemic.
Here’s a full list of deals that Infosys announced over the last three months:
|Old National Bank||Infrastructure modernisation||BFSI|
|Vanguard||Digital transformation and BPO||BFSI|
|Lanxess||Information management system (IMS)||Manufacturing|
|National Bank of Bahrain||Finacle||BFSI|
|Essential Utilities||Enterprise solutions||Utilities|
|Prabhu Bank||Finacle Core Banking Solution||BFSI|
|French Tennis Federation||Digital transformation||Media|
TCS announces ₹16,000 crore buyback — strong show in Q2 with 7% rise in profit, margins near two-year high
Wipro’s share price dips by over 6% after earnings — analysts believe it will take a while to catch up to TCS and HCL Technologies
Wipro CEO Thierry Delaporte outlines five-point strategy for growth — looking at more acquisitions and larger deals
- Jeff Bezos and Mukesh Ambani's legal battle - a possible verdict on Monday will decide the fate of Reliance-Future Retail's deal
- Taproot dentsu launches a film as an ode to #MeToo and to every single woman who had the courage to speak up
- The Milky Way is recycling its gases to form a clumpy halo
- SoftBank-backed True Balance is set to close its Series D funding round – founder says they are focussed on lending in India
- IBM reports revenue declines for third straight quarter