Infosys refocus paying off
BANGALORE: Infosys Ltd's refocus on big-ticket contracts since the return of its founder has begun to pay off as India's No. 2 software services exporter crossed US$2 billion (RM6.3 billion) in quarterly sales for the first time and pushed up its revenue outlook.
Still, a one-off provision left Infosys reporting profit that missed analyst estimates in its first full-quarter earnings since Narayana Murthy came out of retirement, during which time the industry bellwether lost ground to rivals such as Tata Consultancy Services.
Infosys shares, which are often highly volatile after results statements, yesterday ended up a relatively muted 4.7 per cent at 3274.50 rupees after touching their highest since April 2011.
Under executive chairman Murthy, Infosys is increasing investment in sales and doing a better job at winning large outsourcing contracts to which it is devoting more senior management attention.
Infosys posted consolidated net profit for the three months to September 30 of 24.07 billion rupees (RM1.3 billion) from 23.69 billion rupees in the same period a year earlier.
It expects its operating margin to be steady at about 23.5 per cent if the rupee is stable. Reuters