Infosys ups revenue forecast as profit beats street estimates
The company’s net profit for the three months to December rose 23.5 percent to 44.57 billion rupees ($628.2 million)
Infosys Ltd, India's second-biggest IT company, raised its revenue forecast range for the year due to upbeat demand for its software services from Western clients.
Bengaluru-headquartered Infosys said it expected revenue to grow between 10 percent and 10.5 percent on a constant currency basis in the year ending March 2020, compared with its previous forecast of between 9 percent and 10 percent.
The company's net profit for the three months to December rose 23.5 percent to 44.57 billion rupees ($628.2 million), thanks to deal wins. That compared with a profit of 36.09 billion rupees a year earlier.
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Analysts on average had expected Infosys to post a profit of 42.06 billion rupees, according to Refinitiv data.
Sales were 7.9 percent higher at 230.92 billion rupees.
"Overall performance during the quarter was satisfactory on multiple counts – broad-based growth, steady increase in client metrics and healthy large deal wins", Pravin Rao, the company's chief operating officer, said in a statement.
Infosys signed large deals worth $1.8 billion in the quarter, it said.
Separately, Infosys said its audit committee found no evidence of financial impropriety or executive misconduct, following a whistleblower letter last year which alleged that Chief Executive Officer Salil Parekh asked employees to bypass approvals for large deals. Infosys shares closed 1.5 percent higher in a broader Mumbai market which edged 0.3 percent up.
($1 = 70.95 rupees)
