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The company posted income of Rs 5,472 crore for the quarter endingJune 30, 2009 while PAT stood at Rs 1,527 crore. Earnings per shareincreased to Rs 26.66 from Rs 22.75 in the corresponding quarter ofthe previous year, a YoY growth of 17.2 per cent. Sequentially
though, the firm took a hit of 2.9 per cent in revenue and 5.3 per cent in PAT in Q1 of FY10.
The revised guidance expects total income to be in the range of Rs21,416-21,747 crore, (-1.3 to 0.3 per cent YOY). In dollar terms,Infosys marginally raised itsannual forecast, predicting the consolidated revenue to fall by 3.1-4.6 per centto $4.45-$4.52 billion in fiscal 2009-10, riding on appreciation ofEuropean currencies against the dollar.
S Gopalakrishnan, CEO and MD of Infosys, said that the revision was mainlydue to the cross-currency volatility and gains.
Said IT analyst Dipen Shah of Kotak Securities,"The change in thedollar and rupee based guidance came in largelydue to the currency movements.’’
For the second quarter (July-September), the guided income is expectedto be in the range of Rs 5,318- 5,413 crore (1.9-0.1 per cent YoYdecline).
“We believe that in the short term the global economic environmentwill continue to be challenging but there are many opportunities forthe IT sector in mid-to-long term. Our clients are saying thatrecovery could be in middle of 2010,’’ the CMD said.
Added Ashok Vemuri, senior vice president and head of Banking andCapital Markets, Infosys Technologies, ``There is lot of uncertaintyin the market because of contradictory data about global situation andclients are still unwilling to spend.’’
During the quarter, project rampdowns saw contribution by Infosys’ topclient by revenue come down below its general $300 million levels. Topfive clients accounted for 16.3 per cent of total revenues, a dip from17.2 per cent levels in the previous quarter and 19.9 per cent in Q1of FY09. Gopalakrishnan attributed the variation mainly to currencymovement and some project rampdowns.
The number of active clients also came down to 569, a sequentialdecrease of 10 though the Bangalore-based firm added 27 new clients in Q1.
S D Shibulal, COO of the firm said that pricing continues to be challenging. ``A majority of the pricing settlements with clients have been completed but that doesn’t mean that there won’t be any renegotiations if situation warrants it,’’ he added.Infosys as a group added 3,538 employees on a gross basis but saw aet decline of 945 people for the quarter. Total workforce stood at1.03 lakh as on June 30, 2009. Attrition continued at previous quarterlevels of 11. 1 per cent but involuntary attrition went up by 1 percent to 2.9 per cent, according to T V Mohandas Pai, Member of theBoard and Head – HRD and Education & Research.
