INFOSYS Q2: PAT at Rs 3,726 cr, FY18 revenue guidance cut

Live updates of Infosys' September-quarter earnings

SI Reporter  |  New Delhi 

In a snub to Murthy, Infosys gives Sikka thumbs up; cuts FY18 guidance
Non-Executive Chairman, Infosys Nandan Nilekani addresses a press conference at Infosys campus in Bengaluru. BS photo by Saggere Radhakrishna

The country's second-largest software services firm, Infosys, reported its September quarter numbers post market hours today. 

During the quarter under review, profit after tax came in at Rs 3,762 crore, as compared to Rs 3,483 crore in the previous quarter. Revenue at Rs 17,567 crore during the quarter was 2.9% higher as compared to Rs 17,078 crore (q-o-q).

Revenue of the Bengaluru-based firm grew 1.4 per cent to Rs 17,567 crore in the September quarter of the current fiscal, as against Rs 17,310 crore in the year-ago period.

The company lowered its revenue growth forecast for 2017 -18 to the 5.5-6.5 per cent range, from the earlier 6.5-8.5 per cent in constant currency.

"During the quarter, we responded quickly to the management and Board changes through proactive communication with all stakeholders minimising any negative impact to the business and allowing us to deliver growth across all our large industry units," Infosys Interim CEO and Managing Director UB Pravin Rao said in a statement.

On a sequential basis, the company's net profit rose 6.9 per cent and revenues by 2.8 per cent in rupee terms.

The Infosys board, under new chairman Nandan Nilekani, gave clean chit to Panaya acquisition, saying there was no wrongdoing.

"After careful consideration led by our Chairman, the Board reaffirms the previous findings of external investigations that there is no merit to the allegations of wrongdoing," the statement said.

The earnings for this quarter holds significance as this will be the first result announcement after co-founder Nandan Nilekani took charge as the company's new non-executive chairman after the sudden resignation of then CEO Vishal Sikka and the exit of four board members, including then chairman R Seshasayee. 

CATCH ALL THE LIVE UPDATES

4:55 PM

Infosys Q2
 
Infosys has identified opportunities for improvements in processes and practices, which have been implemented.

4:53 PM

Infosys Q2
 
Infosys "now globally benchmarked its severance pay and revised its senior management employment contracts

4:40 PM

Infosys Q2
 
September quarter annualized consolidated employee attrition at 21.4 per cent

4:39 PM

Infosys Q2
 
Infosys to appointed D. Sundaram as chairperson of audit committee with effect from Oct 24

4:37 PM Infosys rules out irregularities in Panaya deal, severance pay to Bansal

4:31 PM

Infosys Q2
 
Infosys management says, "we ended Q2 with highest ever cash on books of over Rs 41,000 crore; see account specific softness in Q3

4:30 PM

M. D. Ranganath, CFO, Infosys on Q2FY18 numbers
 
Our focus on improving operational efficiencies enabled us to deliver stable margins in the quarter and at the same time provide compensation increases and higher variable payouts to our employees. We have taken several steps during the quarter towards our capital allocation policy covering Rs 13,000 crore share buyback, coupled with interim dividend of `13 per share for enhancing shareholder returns.

4:30 PM

Infosys Q2
 
Infosys management says current company strategy is relevant and will continue

4:29 PM

U B Pravin Rao, interim CEO and MD on September quarter results
 
We continue to focus on executing on the theme of software enabled services and on accelerating growth of our new services portfolio. During the quarter, we responded quickly to the management and Board changes through proactive communication with all stakeholders minimizing any negative impact to the business and allowing us to deliver growth across all our large industry units.

(Source: Company release)

4:28 PM

Infosys Q2
 
Infosys management says have revised revenue guidance given typical softness in Q2

4:25 PM

Infosys Q2
 
Infosys management says customer relationships have been stable in Q2.

4:24 PM

Infosys Q2
 
Infosys management says total contract value at $731 million

4:24 PM

Infosys Q2
 
Infosys says process of identifying the next CEO and shareholder consultation outreach have been initiated and are progressing well.

4:23 PM

Infosys Q2
 
Gross client additions of 72 in Sept quarter
 
Infosys says September quarter annualized standalone employee attrition at 17.2 percent

4:22 PM

Infosys on Panaya probe

Nilekani led Infosys board concurs with stand of former CEO Vishal Sikka on not disclosing full investigation report on Panaya deal.
Infosys on Panaya probe

4:19 PM Vishal Sikka resigned as the CEO and MD of Infosys and subsequently resigned as the Executive Vice-Chairman of the Board with effect from August 24, 2017

4:16 PM Infosys Q2

Infosys Q2 North America grew by 2.0% sequentially & 1.9% in constant currency

4:14 PM Infosys Q2

Infosys Q2 Europe grew by 6.6% sequentially & 4.1% in constant currency

4:12 PM Infosys earnings: Geographic growth QoQ (cc terms) - North America 1.9%, Europe 4.1%, India 5.1%, RoW 2.3%

4:11 PM Infosys has been facing challenges in achieving faster digital business growth, a key metric for its global peers in IT services industry.

4:11 PM Infosys dealt with management changes and exit of the first non-founder chief executive during the past four quarters

4:10 PM Also read: Infosys Q2 profit up 3.2% to Rs 3,726 cr, guidance for year ahead lowered

4:08 PM Click here for the Infosys Q2 earnings release

3:59 PM Infosys on Panaya probe: Publishing additonal details inhibit ability; releasing full investigation could impair cooperation

3:59 PM Infosys on Panaya probe: Reaffirms conclusion of independent investigation

3:59 PM

Infosys on Panaya probe: Reaffirms previous findings of external investigations; no merit to allegations of wrongdoing

3:55 PM Infosys: Process of identifying next CEO initiated

3:54 PM Infosys Q2

Dollar Revenue at $2728 million vs $2,651 million (QoQ)

3:53 PM Infosys Q2

EBIT at Rs 4,246 crore vs Rs 4,111 crore (QoQ)

EBIT Margin at 24.1%
 

3:52 PM Infosys Q2

Q2 revenues grew sequentially by 2.9% in $ terms; 2.2% in Constant Currency terms

3:52 PM Infosys cuts guidance

FY18 revenue guidance to 5.5-6.5% from 6.5-8.5% in constant currency terms
 
Operational margin guidance unchanged at 23-25%

3:51 PM Infosys: Endeavour to build trusting relationship with Murthy

3:47 PM Infosys Q2

Revenue at Rs 17,567 cr vs vs Rs 17,078 cr, up 2.9% QoQ

3:43 PM Infosys Q2

FY18 sales growth at 5.5%-6.6%

3:43 PM Infosys Q2

PAT at Rs 3,726 crore vs Rs 3,483 (QoQ)

3:34 PM

Q2 earnings: Nandan Nilekani in Infosys hot seat
 
Infosys, the information technology major, is to announce its second quarter results on Tuesday. Numbers apart, investors and analysts are keen to hear the strategy that co-founder Nandan Nilekani, recently having taken charge as chairman, will unveil for faster growth than industry peers READ MORE HERE

Nandan Nilekani
Nandan Nilekani

3:31 PM Infosys Q2 preview: What Dalal Street wishes to hear from Nandan Nilekani HERE ARE THE BROKERAGE VIEWS

3:27 PM Infosys Crisis And The Panaya Deal Fiasco: Was Narayana Murthy Wrong? Here is all you wanted to know about the deal

3:26 PM From strategy to new CEO names: 5 things to watch for in Infosys Q2 results 

Since Nilekani took charge at the Infosys board, he has tasked key members of the board – Ravi Venkatesan, D N Prahlad, and senior executives – with drawing up a growth plan for the next phase of Infosys. Nilekani, who has probably reviewed the strategy during the board meeting on Monday and Tuesday, will give an indication on whether Infosys will be able to break from the single-digit growth rates that the IT services industry is currently witnessing and grow faster by tapping newer business opportunities. READ MORE HERE

3:24 PM Welcome to Business Standard's special coverage on Infosys' September quarter (Q2FY18) results. 
First Published: Tue, October 24 2017. 18:35 IST

INFOSYS Q2: PAT at Rs 3,726 cr, FY18 revenue guidance cut

Live updates of Infosys' September-quarter earnings

Live updates of Infosys' September-quarter earnings
The country's second-largest software services firm, Infosys, reported its September quarter numbers post market hours today. 

During the quarter under review, profit after tax came in at Rs 3,762 crore, as compared to Rs 3,483 crore in the previous quarter. Revenue at Rs 17,567 crore during the quarter was 2.9% higher as compared to Rs 17,078 crore (q-o-q).

Revenue of the Bengaluru-based firm grew 1.4 per cent to Rs 17,567 crore in the September quarter of the current fiscal, as against Rs 17,310 crore in the year-ago period.

The company lowered its revenue growth forecast for 2017 -18 to the 5.5-6.5 per cent range, from the earlier 6.5-8.5 per cent in constant currency.

"During the quarter, we responded quickly to the management and Board changes through proactive communication with all stakeholders minimising any negative impact to the business and allowing us to deliver growth across all our large industry units," Infosys Interim CEO and Managing Director UB Pravin Rao said in a statement.

On a sequential basis, the company's net profit rose 6.9 per cent and revenues by 2.8 per cent in rupee terms.

The Infosys board, under new chairman Nandan Nilekani, gave clean chit to Panaya acquisition, saying there was no wrongdoing.

"After careful consideration led by our Chairman, the Board reaffirms the previous findings of external investigations that there is no merit to the allegations of wrongdoing," the statement said.

The earnings for this quarter holds significance as this will be the first result announcement after co-founder Nandan Nilekani took charge as the company's new non-executive chairman after the sudden resignation of then CEO Vishal Sikka and the exit of four board members, including then chairman R Seshasayee. 

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