Stocks

Infosys shares decline 5% after earnings

PTI New Delhi | Updated on January 14, 2021 Published on January 14, 2021

The company posted a 16.6% rise in consolidated net profit for the December 2020 quarter

Shares of Infosys on Thursday early trade dropped 5 per cent even after the company posted a 16.6 per cent rise in consolidated net profit for the December 2020 quarter, and increased its revenue growth guidance for FY21.

The stock plunged 5 per cent to ₹1,318.05 on BSE.

On NSE, it declined 4.95 per cent to ₹1,318.45.

Infosys on Wednesday posted a 16.6 per cent rise in consolidated net profit at ₹5,197 crore for the December 2020 quarter, and increased its revenue growth guidance for FY21 to 4.5-5 per cent on the back of large project wins and strong deal pipeline.

The Bengaluru-based company, whose large deal total contract value rose to an all-time high of $7.13 billion in the quarter under review, had registered a net profit (after minority interest) of ₹4,457 crore in the year-ago period.

Infosys' revenue grew 12.3 per cent to ₹25,927 crore in the quarter ended December 2020 from ₹23,092 crore in the year-ago period.

Buoyed by the strong performance, Infosys increased its FY21 revenue growth forecast to 4.5-5 per cent in constant currency terms from its previous guidance of 2-3 per cent growth.

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Published on January 14, 2021
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