InvestorQ : What is your detailed take on the quarterly results of Infosys for Sep-20 quarter?
diksha shah made post

What is your detailed take on the quarterly results of Infosys for Sep-20 quarter?

Answer
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2 weeks ago


Here are the important facets you need to know about the Infosys quarterly results for the Sep-20 quarter.

· For the September 2020 quarter, Infosys reported 20.5% YOY rise in net profits at Rs.4845. Profits were also up by 14.5% on a sequential basis over Jun-20.

· If you look at total sales revenues of Infosys for Sep-20 quarter, it was up 8.5% on a yoy basis at Rs.24,750 crore. Even on a sequential basis, it showed growth of 3.8% over June.

· What is more interesting is the guidance given by Infosys on revenue growth. Guidance for revenues for the full year was raised from the range of 0-2% to 2-3%.

· Not just the revenue guidance but even the guidance on operating margins for the full year was revised upwards to 23-24% for the full year, and was over 25% in Q2.

· In absolute terms, the operating profit for the quarter was 26% higher on a YOY basis. That supported a record OPM of 25.4% for the Sep-20 quarter.

· The company added 5 clients in the premium $100 million plus category and 6 clients in the middle-end $10 million plus category during the quarter.

· During the quarter, Infosys also had signed up the record deal with a total contract value or TCV of nearly $3.15 billion, its biggest in history.

· Digital offerings accounted for 47% of the total revenues of the company and that share has been consistently growing in line with the global trend emerging.

· With the US accounting for 50% of its business, Infy is also recruiting heavily this quarter. Pay hikes have been aggressive across the board this quarter.

· Finally, the worker attrition fell to an all-time low of 7.8% from as high as 15% a year ago, one of the big changes since Salil Parekh took over.