Infosys second-quarter profit grows 10.3% to ₹4,110 crore
The country’s second-largest information technology firm Infosys Ltd on Tuesday reported a 10.3% growth in its consolidated net profit at ₹4,110 crore for the quarter ended September 2018.
It had posted a net profit of ₹3,726 crore in the year-ago period, Infosys said in a BSE filing.
The Bengaluru-based firm’s revenue grew 17.3% to ₹20,609 crore in the quarter under review as compared to ₹17,567 crore in the same period of 2017-18, it added.
“We are delighted with our broad-based growth across all business segments and geographies during the quarter. This is a testimony to our strong client relationships, digital-led full service capabilities, and intense focus on the needs of our clients,” Infosys chief executive officer and managing director Salil Parekh said.
He added that large deal wins at over $2 billion during the quarter “demonstrate our increased client relevance and also give us better growth visibility for the near-term”.
Digital revenues at $905 million make 31% of total revenues, itsaid.
The company retained its FY19 revenue guidance in constant currency at 6-8%.
Infosys also said it will comply with arbitration award asking it to pay ₹12.17 crore to former chief financial officer Rajiv Bansal.
“The company has received legal advice and will comply with the award and make the necessary payments,” the software services major said in a statement.
In September, the Arbitral Tribunal of Justice (retd) RV Raveendran had communicated the decision with regard to the
BEGNALURU: INFOSYS SAID IT WILL COMPLY WITH ARBITRATION AWARD ASKING IT TO PAY ₹12.17 CR TO FORMER CFO RAJIV BANSAL
dispute between Infosys and Bansal, Infosys said in a regulatory filing.
“The company has received a legal advice and will comply with the award and make the necessary payments,” it added.
Infosys had lost the arbitration over the severance package to Bansal and had been asked to pay outstanding amount of ₹12.17 crore with interest.
The company had earlier stated that “while the award acknowledges that Infosys had bona fide disputes, its counter claim for refund of previously paid severance amount of ₹5.2 crore and damages, has been rejected”.
It had also added that it will take legal advice for further action on the issue. The IT firm had agreed to pay Bansal a severance amount of ₹17.38 crore or 24 months of salary when he quit in 2015, but the company suspended payments after he got ₹5 crore.
This was done after co-founder NR Narayana Murthy and others had raised objections to the severance pay terming it excessive.
Following this, Bansal had dragged his former employer to arbitration to claim the remaining ₹12 crore of his severance pay.
Bansal’s severance payout has been one of the issues that Infosys founders had raised to allege governance lapses at the Bengaluru-based firm.
The company declared interim dividend of ₹7 per share.