Le Lézard
Classified in: Science and technology, Business, Covid-19 virus
Subject: ERN

Infosys: Strong growth of 13.7% in constant currency in a seasonally weak quarter


Strongest large deal wins in the last 8 quarters at $3.3 billion

Revenue guidance for FY23 revised to 16.0%-16.5%

BENGALURU, India, Jan. 12, 2023 /CNW/ -- Infosys (NSE: INFY) (BSE: INFY) (NYSE: INFY), a global leader in next-generation digital services and consulting, reported strong Q3 performance with year-on-year growth at 13.7% and sequential growth at 2.4% in constant currency. Year on year growth was in double digits for most business segments and geographical regions in constant currency terms. Large deal TCV for the quarter was the strongest in the last 8 quarters at $3.3 billion. Digital comprised 62.9% of overall revenues and grew at 21.7% in constant currency. Operating margin for the quarter remained resilient at 21.5%. FY23 revenue guidance revised to 16.0%-16.5%. FY23 operating margin guidance retained at 21%-22%.

Infosys_Logo

"Our revenue growth was strong in the quarter, with both digital business and core services growing. This is a clear reflection of our deep client relevance, industry-leading digital, cloud, and automation capabilities, and the unrelenting dedication of our employees", said Salil Parekh, CEO and MD. "As reflected in the large deals momentum, we continue to gain market share as a trusted transformation and operational partner for our clients. Our end-to-end capabilities and global scale make us a preferred choice as clients look at consolidating vendors. We remain focused on helping businesses accelerate their digital agenda to uncover new value and growth, as well as improve operational and cost effectiveness", he added.

21.7% YoY

13.7% YoY 
2.4% QoQ 

21.5 %

13.4% YoY

$3.3 bn  

CC Digital growth

CC Revenue growth

Operating margin

Increase in EPS
(INR terms) 

Large deal TCV

 

1.  Key highlights:

For the quarter ended December 31, 2022

For nine months ended December 31, 2022

  • Revenues in CC terms grew by 13.7% YoY and 2.4% QoQ
  • Reported revenues at $4,659 million, growth of 9.6% YoY 
  • Digital revenues at 62.9% of total revenues, YoY CC growth of 21.7%
  • Operating margin at 21.5%, decline of 2.0% YoY and stable QoQ 
  • Basic EPS at $0.19, growth of 3.3% YoY 
  • FCF at $576 million, decline of 19.9% YoY;
    FCF conversion at 72.0% of net profit
  • Revenues in CC terms grew by 17.8% YoY 
  • Reported revenues at $13,657 million, growth of 13.5% YoY 
  • Digital revenues at 61.9% of total revenues, YoY CC growth of 29.5% 
  • Operating margin at 21.0%, decline of 2.6% YoY 
  • Basic EPS at $0.53, growth of 1.7% YoY 
  • FCF at $1,821 million, decline of 20.6% YoY;
    FCF conversion at 81.4% of net profit

 

"Operating margins in Q3 remained resilient due to cost optimization benefits which offset the impact of seasonal weakness in operating parameters", said Nilanjan Roy, Chief Financial Officer. "Attrition reduced meaningfully during the quarter and is expected to decline further in the near-term," he added.

 

2.  Capital Allocation

Pursuant to the Board recommendation and subsequent to shareholders' approval through postal ballot, the company has started share buyback program through open market route from December 7, 2022 and till date, has bought back 31.3 million shares worth ?4,790 crore (app. $0.6 billion*) or 51.5% of total authorization of ?9,300 crore at an average price of approx. ?1,531 per share (compared to maximum Buyback Price of ?1,850 per share).

*USD-INR rate of 82.00

 

3.  Client wins & Testimonials

 

4.  Recognitions

 

About Infosys

Infosys is a global leader in next-generation digital services and consulting. Over 300,000 of our people work to amplify human potential and create the next opportunity for people, businesses and communities. With over four decades of experience in managing the systems and workings of global enterprises, we expertly steer clients, in more than 50 countries, as they navigate their digital transformation powered by the cloud. We enable them with an AI-powered core, empower the business with agile digital at scale and drive continuous improvement with always-on learning through the transfer of digital skills, expertise, and ideas from our innovation ecosystem. We are deeply committed to being a well-governed, environmentally sustainable organization where diverse talent thrives in an inclusive workplace.

Visit www.infosys.com to see how Infosys (NSE, BSE, NYSE: INFY) can help your enterprise navigate your next.

Safe Harbor

This Release contains 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), that involve substantial risks and uncertainties. Forward-looking statements generally relate to future events or our future financial or operating performance and that are based on our current expectations, assumptions, estimates and projections about the Company, our industry, economic conditions in the markets in which we operate, and certain other matters. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as 'may', 'anticipate', 'believe', 'estimate', 'expect', 'continue', 'intend', 'will', 'project', 'seek', 'could', 'would', 'should' and similar expressions. Those statements include, among other things, statements regarding our business strategy, our expectations concerning our market position, future operations, growth, margins, profitability, attrition, liquidity, and capital resources, our ESG vision, our capital allocation policy, the effects of COVID-19 on global economic conditions and our business and operations, wage increases, change in the regulations including immigration regulation and policies in the United States, and corporate actions including timely completion of the proposed buy-back of our equity shares. These statements are subject to known and unknown risks, uncertainties and other factors which may cause actual results or outcomes to differ materially from those implied by the forward-looking statements. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings including our Annual Report on Form 20-F for the fiscal year ended March 31, 2022. These filings are available at www.sec.gov. Infosys may, from time to time, make additional written and oral forward-looking statements, including statements contained in the Company's filings with the Securities and Exchange Commission and our reports to shareholders. The Company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company unless it is required by law.

 

Infosys Limited and subsidiaries

Extracted from the Condensed Consolidated Balance Sheet under IFRS as at:                         (Dollars in millions)



December 31, 2022

March 31, 2022

ASSETS 



Current assets 



Cash and cash equivalents 

1,401

2,305

Current investments

1,055

880

Trade receivables

3,343

2,995

Unbilled revenue

1,588

1,526

Other Current assets

1,366

1,159

Total current assets

8,753

8,865

Non-current assets



Property, plant and equipment and Right-of-use assets

2,405

2,429

Goodwill and other Intangible assets

1,098

1,042

Non-current investments

1,497

1,801

Unbilled revenue

206

124

Other non-current assets

1,267

1,294

Total non-current assets

6,473

6,690

Total assets

15,226

15,555

LIABILITIES AND EQUITY 



Current liabilities 



Trade payables

579

545

Unearned revenue

861

834

Employee benefit obligations

290

288

Other current liabilities and provisions

3,251

2,766

Total current liabilities 

4,981

4,433

Non-current liabilities 



Lease liabilities

795

607

Other non-current liabilities 

424

521

Total non-current liabilities

1,219

1,128

Total liabilities 

6,200

5,561

Total equity attributable to equity holders of the company

8,975

9,941

Non-controlling interests

51

53

Total equity

9,026

9,994

Total liabilities and equity 

15,226

15,555




 

Extracted from the Condensed Consolidated statement of Comprehensive Income under IFRS for:

(Dollars in millions except per equity share data)







3 months ended
December 31,
2022

3 months ended
December 31,
2021

9 months ended
December 31,
2022

9 months ended
December 31,
2021

Revenues

4,659

4,250

13,657

12,031

Cost of sales

3,230

2,856

9,544

8,041

Gross profit

1,429

1,394

4,113

3,990

Operating expenses:





   Selling and marketing expenses

196

177

574

513

   Administrative expenses

232

219

671

642

Total operating expenses

428

396

1,245

1,155

Operating profit

1,001

998

2,868

2,835

Other income, net (3)

84

61

229

203

Profit before income taxes

1,085

1,059

3,097

3,038

Income tax expense 

285

283

859

823

Net profit (before minority interest)         

800

776

2,238

2,215

Net profit (after minority interest)

800

774

2,237

2,211

Basic EPS ($)

0.19

0.18

0.53

0.52

Diluted EPS ($)

0.19

0.18

0.53

0.52






 

NOTES:

  1. The above information is extracted from the audited condensed consolidated Balance sheet and Statement of Comprehensive Income for the quarter and nine months ended December 31, 2022, which have been taken on record at the Board meeting held on January 12, 2023.
  2. A Fact Sheet providing the operating metrics of the Company can be downloaded from www.infosys.com.
  3. Other income is net of Finance Cost.
  4. The quarter figures added up to the figures reported in previous quarters might not always add up to the nine months ended figures reported in this statement as all figures are taken from the source and rounded off to the nearest digits.

IFRS-INR Press Release: https://www.infosys.com/investors/reports-filings/quarterly-results/2022-2023/q3/documents/ifrs-inr-press-release.pdf

Fact sheet: https://www.infosys.com/investors/reports-filings/quarterly-results/2022-2023/q3/documents/fact-sheet.pdf

 

Logo: https://mma.prnewswire.com/media/633365/Infosys_Logo.jpg

SOURCE Infosys


These press releases may also interest you

at 04:33
Uxin Reports Unaudited Third Quarter of Fiscal Year 2024 Financial Results
Uxin Limited ("Uxin" or the "Company") , China's leading used car retailer, today announced its unaudited financial results for the third quarter ended December 31, 2023. Highlights for the Quarter Ended December 31, 2023 Transaction volume was...

at 03:45
Phoenix Motor Strengthens Capital Structure by Negotiating Key Waiver with Note Holder
Phoenix Motor Inc. (the "Company"), a leading manufacturer of heavy-duty transit buses and electrification solutions provider for medium-duty vehicles, today announced it signed a waiver agreement with JAK Opportunities II LLC, one of the...

at 03:05
Jack Mead Launches Vagaro Master Class to Help Salon & Beauty Professionals Grow Their Business
Vagaro, the leading international salon and spa software, and Jack Mead, award-winning hair stylist, salon owner, and educator, officially announced the release of their highly-anticipated Master Class series, delivering expert insights on using the...

at 02:30
Pension Administration Software Market to Reach $13 Billion, Globally, by 2032 at 11.4% CAGR: Allied Market Research
Allied Market Research published a report, titled, "Pension Administration Software Market by Component (Solution and Services), Deployment Mode (On-Premise and Cloud), Type (Public Pension and Private Pension), End User (Employers, Pension Plan...

at 02:05
Q1 2024 results
AstraZeneca: Revenue and EPS summary     Q1 2024 % Change $m Actual CER1 - Product Sales 12,177 15 18 - Alliance Revenue   457 59 59...

at 02:00
Hemogenyx Pharmaceuticals PLC Announces Final Results
Hemogenyx Pharmaceuticals plc (LSE:HEMO), the biopharmaceutical group developing new therapies and treatments for blood...

More news about Covid-19 virus...


News published on and distributed by: