Infosys Profit Rises 7% To Rs 5,809 Crore In December Quarter, Raises Revenue Guidance

Infosys, the country's second largest information technology company, on Wednesday reported that its net profit in December quarter rose 7.15 per cent, quarter-on-quarter, to Rs 5,809 crore on the back of robust deal momentum and digital transformation scaling across verticals and regions, the company said. Infosys increased its revenue growth guidance for current financial year to 19.5-20 per cent from growth guidance of 16.5-17 per cent in the previous quarter. 

Infosys' revenue from operations jumped 7.65 per cent to Rs 31,867 crore and in constant currency terms Infosys revenue grew 21.5 per cent annually and 7 per cent sequentially.  Revenue from digital services was 58.5 per cent of total revenue with growth of 42.6 per cent annually, Infosys said in a press release. 

Large deal wins accelerated with total contract value (TCV) of $2.53 billion in Q3. Operating margin for the quarter was healthy at 23.5 per cent, with free cash flow conversion at 92.7 per cent. Our talent strategy continued to be a key focus area marked by efforts to further strengthen employee skilling and well-being while nurturing our workforce to fulfil client requirements, Infosys said. 

"Our strong performance and market share gains are a testament to the enormous confidence our clients have in us to help them in their digital transformation. This stems from four years of sustained strategic focus on areas of relevance for our clients in digital and cloud, continued re-skilling of our people, and deep relationships of trust that our clients have with us. This is reflected in an upgrade in our revenue guidance to 19.5 per cent-20.0 per cent for FY22. We expect the healthy technology spend to continue with large enterprises progressing on their digital transformations”, said Salil Parekh, Infosys’ CEO and MD. 

During the quarter, Infosys accelerated Daimler’s transition to sustainable mobility by transferring its High Performance Computing (HPC) workloads used to design vehicles and automated driving technologies to one of Europe’s greenest data centers, Lefdal Mine Datacenter, in Norway. 

Its total employee count at the end of December quarter stood at 2,92,067 with attrition at 25.5 per cent.

Infosys shares ended 1.16 per cent higher at Rs 1,878, ahead of its earnings announcement.