Information Technology services company Infosys on Wednesday reported a 11.4% increase in its consolidated net profit at Rs 4,233 crore in the June quarter. It had posted a net profit of Rs 3,798 crore in the same period last year.
The IT company’s consolidated revenues were Rs 23,665 crore, growth of 8.5% YoY and 1.7% QoQ. Its Digital revenues were $1,389 million (44.5% of total revenues), year-on-year growth of 25.5% in constant currency.
“Our Q1 results, especially growth, are a clear testimony to the relevance of our service offerings and deep understanding of clients’ business priorities which is resonating with them in these times. It also demonstrates the remarkable dedication of our employees and leadership during this period”, said Infosys CEO and MD Salil Parekh.
“Our confidence and visibility for the rest of the year is improving driven by our Q1 performance and large deal wins,” he added.
Infosys projected FY 21 Revenue growth guidance in the range of 0%-2% in constant currency.
“During the last few months, we took multiple steps aimed at employee safety and well-being while providing seamless services to our clients. Clients have recognised us for the speed, security and effectiveness of our remote enablement efforts”, said Infosys COO Pravin Rao.
“The strength and diversity of our portfolio was evident in good revenue performance, sizeable large deal wins, high focus on operating metrics and significant decline in attrition,” he added.
Operating margin expanded to 22.7% driven by preemptive deployment of our strategic cost levers along
with tactical opportunities triggered by the COVID situation, said the company’s CFO Nilanjan Roy.
“Collections were robust and capex was focused, which led to 50% year on year increase in Free Cash Flows. Our liquid and debt free Balance Sheet is a huge source of strength in these times,” he added.
The company in its filings to the BSE said The Board, based on the recommendation of the Nomination and Remuneration Committee, appointed Bobby Parikh as an additional and Independent Director of the Company effective July 15, 2020 for a period of 3 years, subject to the approval of the shareholders.