Infosys net profit down 1.8 per cent to Rs 4,037 crore

Infosys has posted a 1.8 per cent decrease in net profit to Rs 4,037 crore for the second quarter of this fiscal on a year on year basis, while on a sequential basis, it rose 6.2 per cent.

It has increased the lower end of FY 20 revenue guidance, with revised guidance is 9 per cent -10 per cent in constant currency.

The IT major's revenues rose 9.8 per cent to Rs 22,629 crore on a year-on-year basis. The operating margin of the company was at 21.7 per cent. The company's attrition rate was down to 19.4 per cent on an annualised standalone basis. 

'Robust performance'

“Our performance was robust on multiple dimensions – revenue growth, digital growth, operating margins, operational efficiencies, large deal signings and reduction in attrition”, said Salil Parekh, CEO and MD. “All these are clear signs that we are progressing well in our journey of client-centricity and maximizing value for our stakeholders.”

The Q2 FY20 revenues for the company grew year-on-year by 9.9 per cent in dollar terms; 11.4 per cent in constant currency. The Q2 FY 20 revenues grew sequentially by 2.5 per cent in dollar terms;  3.3 per cent in constant currency.

The Q2 FY20 digital revenues at $1.23 billion with a year-on-year growth of 38.4 per cent and sequential growth of 10.7 per cent in constant currency.

The Q2 20 operating margin was at 21.7 per cent, which is a 1.2 per cent improvement over Q1 FY20.

The company has declared an interim dividend of Rs 8 per share (approximately $0.11 per ADS*).   It has maintained FY20 operating margin guidance range of 21 per cent-23 per cent.