Stock Fundamentals

Reality Check: Infosys results disappoint

Rajalakshmi Nirmal | Updated on March 10, 2018 Published on April 16, 2017

1504Infosys_c_col



Infosys closed the fiscal 2017 with a revenue growth of 8.3 per cent in constant currency terms. This is much below the growth of 11.5-13.5 per cent pegged for the software major at the beginning of the fiscal. In the latest March quarter, revenues were flat over the December 2016 quarter in constant currency terms. The company’s largest geography, North America, saw revenue grow 1.2 per cent sequentially in constant currency terms; in Europe, it declined by 1.6 per cent. Revenue from the banking and financial services vertical recorded growth of 0.5 per cent sequentially in constant currency terms. The manufacturing and hi-tech verticals saw flat revenue. The company added 71 clients during the March 2017 quarter. This is lower than the addition of 77 clients in the December quarter. Operating profit margin in the March quarter was 24.6 per cent, lower than the 25.1 per cent recorded in the December 2016 quarter. The stock dipped nearly 4 per cent on Thursday after the declaration of results.

Published on April 16, 2017

A letter from the Editor


Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Sincerely,

Support Quality Journalism
This article is closed for comments.
Please Email the Editor
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.