Infosys first quarter results out, profits up 4.24%

GOOD SHOW: Net profit numbers are above markets' expectations, sales are in line with estimates.

Featured Blog

Rajdeep Sardesai

Television, for politicians with a vision

Featured Slideshows

Related Headlines

powered by

• Infosys to declare Q4 results today
• Infosys Q3 net profit up at Rs 1,231 crore
• Infosys Q2 profit beats estimates

Keywords: Profits, Results

Mumbai: Infosys Technologies has announced its first quarter numbers. It has posted 4.24 per cent growth in its first quarter consolidated net profit of Rs 1,302 crore as against Rs 1,249 crore in previous quarter.

Net profit numbers are above markets' expectations while sales are in line with estimates.

Consolidated net sales shot up by 6.87 per cent at Rs 4,854 crore from Rs 4,542 crore QoQ. Earning Per share for the first quarter stood at Rs 22.71 versus Rs 21.79. Operating profit margin declined at 30.47 per cent versus 32.5 per cent QoQ.

Q1FY09 net profit has included reversal of tax provision of Rs 31 crore. Excluding reversal of tax provision, Q1FY09 EPS stood at Rs 22.2.

The company has added 49 clients and 3,192 employees in Q1.

Guidance

• FY09 revenues guidance revised to Rs 21,278-21,622 crore
• FY09 EPS guidance at Rs 99.34-101.06
• Q2 revenue seen at Rs 5,229-5,272 crore
• Q2 EPS guidance of Rs 23.50 23.95
• Q2 revenue guidance implies growth of 7.7-8.6 per cent (QoQ)
• Dollar revenue guidance maintained at $4.97-5.05 billion
• Dollar EPS guidance increased to $2.32-2.36 Vs $2.31-2.35

Infosys says pricing environment is stable for first quarter. Exchange rate for FY09 guidances taken at 43.04 per dollar. Dollar revenue guidance has not increased. North America contributed 62.6 per cent while Europe 27.3 per cent to revenues.

Q1 margins impacted by salary hikes and visa costs. Margin pressure partially offset by rupee depreciation, the company said. They also say uncertain global economy could hit short-term IT spend.

Offshore contributed 52.5 per cent and telecom 19.7 per cent to revenues. Q1 net utilisation rate stood at 72.2 per cent.

Infosys has added two $ 90 million plus clients in Q1. Its offshore billing increased by 2 per cent and onsite billing by 1 per cent.