More Stories

Informist, Thursday, Apr. 17, 2025

 

Please click here to read all liners published on this story

-- Infosys Jan-Mar consol net profit INR 70.33 bln vs INR 68.06 bln qtr ago
-- Analysts saw Infosys Jan-Mar consol net profit INR 66.67 bln
-- Infosys Jan-Mar consol revenue INR 409.25 bln vs INR 417.64 bln qtr ago
-- Infosys to pay INR 22 per share final dividend
-- Infosys FY25 consol net profit INR 267.13 bln vs INR 262.33 bln year ago
-- Infosys FY25 consol revenue INR 1.63 tln vs INR 1.54 tln year ago
-- Infosys: See FY26 operating margin 20-22%
-- Infosys Jan-Mar revenue dn 3.5% on qtr in constant currency, up 4.8% YoY
-- Infosys FY25 revenue up 4.2% on year in constant currency
-- Infosys Jan-Mar operating margin 21% vs 21.3% quarter ago
-- Infosys Jan-Mar large deal total contract value $2.6 bln
-- Infosys last 12-month attrition 14.1% vs 13.7% quarter ago
-- Infosys employee utilisation including trainees 81.9% vs 83.4% qtr ago
-- Infosys Jan-Mar free cash flow $900 mln
-- Infosys employee headcount 323,578 as on Mar 31 vs 323,379 on Dec 31
-- Infosys Jan-Mar revenue from Europe 31.2% of sales vs 28.6% year ago
-- Infosys Jan-Mar Europe sales up 15% on year in constant currency
-- Infosys Jan-Mar revenue from N America 57.1% of sales vs 59.6% year ago
-- Infosys Jan-Mar N America sales down 0.4% on year in constant currency
-- Infosys Jan-Mar fincl svcs sales up 12.6% on year in constant currency
-- Infosys Jan-Mar retail segment sales down 2.6% on yr in constant currency
-- Infosys Jan-Mar communication sales unchanged on yr in constant currency
-- Infosys Jan-Mar mfg segment sales up 14% on year in constant currency
 

 

By Rajesh Gajra

 

NEW DELHI – The top line of information technology major Infosys Ltd. for the March quarter missed the Street view on sequential growth, but the company surpassed analyst expectations on net profit. The revenue was hit by weakness in three key verticals--retail, energy, utilities, resources and services, and life sciences. The company's revenue from North America was also affected adversely. The revenue share of India business also declined during the quarter. The operating margin also declined, contracting to 21% in the March quarter from 21.3% in the previous quarter.

 

In constant currency terms, Infosys's consolidated revenue for the March quarter fell 3.5% sequentially. In rupee terms, the revenue was down 2% on quarter to INR 409.25 billion, missing analysts' estimate of INR 419.68 billion by a wide margin. Infosys's consolidated net profit increased 3.3% on quarter to INR 70.33 bilion, and was above the consensus estimate of INR 66.67 billion.

 

The company guided for revenue growth of 0-3% in constant currency terms and operating margin of 20-22% for the financial year 2025-26 (Apr-Jun). The operating margin guidance was in a 20-22?nd for the ninth quarter in a row.

 

Infosys's bottom line performance for the March quarter on a sequential basis was boosted by a 39% rise in other income to INR 11.90 billion and a fall of 8% in tax expenses to INR 26.25 billion.

 

The company's March quarter revenue was affected negatively by weak demand from clients in North America. Sequentially, the revenue share of North America fell to 57.1% in the reporting quarter from 58.1% in the December quarter. Revenue from North America in constant currency terms was also down 0.4% on year.

 

The revenue share of Europe rose to 31.2% from 29.8% in the December quarter, partly offsetting the impact of weak North America business. Revenue from Europe in constant currency terms rose by 15% on year. The India revenue share declined to 2.9% in the March quarter from 3.1% in the previous quarter, while that from the rest of the world increased marginally to 8.8% from 8.7%.

 

Among the company's verticals, retail witnessed weakness with its revenue share declining to 13.3% in the March quarter from 13.8% in the previous quarter. The revenue share of the energy, utilities, resources and services vertical also declined by 50 basis points sequentially to 13% from 13.5%. The life sciences vertical's revenue share fell even more sharply to 6.8% from 7.6%.

 

The revenue share of other verticals went up sequentially in the March quarter. For the financial services vertical, it rose to 28.4% from 27.8%, while the manufacturing segment's share went up to 15.9% from 15.5%. The communication vertical saw its revenue share go up to 11.7% from 11.2%, and the share of the hi-tech vertical increased to 8.3% from 7.9%.

 

The total contract value of large deals in the March quarter was $2.6 billion. The 12-month employee attrition rate rose to 14.1% in the March quarter from 13.7% in the December quarter. The number of total employees inched up to 323,578 as of Mar. 31, from 323,379 as of Dec. 31. There was a fall in employee utilisation, including trainees, to 81.9% from 83.4%.

 

Infosys generated free cash flow of $892 million in the March quarter as compared to $1.26 billion in the previous quarter. The consolidated cash and investments was $5.56 billion as of Mar. 31, up from $4.65 billion a quarter ago.

 

For the financial year ended Mar. 31, Infosys's consolidated net profit increased by only 1.8% to INR 267.13 billion. Its consolidated revenue from operations was up 6% to INR 1.63 trillion. In constant currency terms, the company's revenue in FY25 was up by 4.2%.

 

The company also announced a final dividend of INR 22 per share Thursday. Shares of Infosys ended 0.5% lower at INR 1,419.50 on the National Stock Exchange.  End

 

US$1 = INR 85.36

 

Edited by Rajeev Pai

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

 

Informist Media Tel +91 (11) 4220-1000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2025. All rights reserved.