Bengaluru-based IT bellwether Infosys for the October-December quarter reported revenue of Rs 41,764 crore, a 7.6 percent year-on-year (YoY) growth. Zee Business Research estimates the revenue at Rs 41,370 crore. The same for the last September quarter was Rs 40,986 crore.
In the reporting quarter, the consolidated profit of the company came in at Rs 6,806 crore, while the same in the previous quarter was Rs 6,506 crore. The profit figure came in higher than analysts’ estimates of Rs 6,770 crore.
Furthermore, during the October-December quarter, revenue in constant currency (CC) terms – i.e. revenue excluding the impact of currency fluctuations – grew by 6.1 percent year-on-year while the same grew by 1.7 percent quarter-on-quarter (QoQ).
Free cash flow for Q3 was an all-time high of $1,263 million, up 90 percent year over year, the company’s press release revealed.
The TCV of major contract wins was $2.5 billion, with 63 percent growing 57 percent sequentially, it added.
Operational performance
The operating margin for the period under review reached 21.3 percent, recording an increase of 0.8 percent, while it was 0.2 percent sequentially.
Guidance
For FY25, the company has raised its revenue growth guidance in constant currency terms to 4.5-5 percent, while the operating margin has been pegged between 20-22 percent.
Our strong sequential revenue growth in a weak seasonal and year-over-year quarter based broadly on year-over-year growth, as well as strong operating margins and margins, is a clear reflection of the success of our diverse digital offerings, market positioning, and key strategic initiatives. We continue to strengthen our AI business capabilities, especially focusing on productive AI, which is witnessing an increase in customer demand,” said Salil Parekh, CEO and MD. “This led to another quarter of major deal wins and an improved deal pipeline which gives us great confidence as we look forward”, he added.
Ahead of the company’s earnings today, the stock settled over 1 percent lower at Rs 1,926.2 apiece on the BSE.
