Infosys raises revenue growth guidance on robust demand
BENGALURU/MUMBAI: Infosys, India’s second-biggest IT services company, raised its revenue growth forecast on the back of robust demand for its core services as well as its latest digital offerings from its Western clients.
Bengaluru-headquartered Infosys upped its revenue growth guidance to 8.5-9 per cent in constant currency terms for the fiscal year ending March 2019, from 6-8 per cent previously.
The company has a healthy pipeline of projects and deal wins across all its segments, Chief Executive Salil Parikh told a news conference.
“Our segments are doing well, both of our main digital and core services are doing well and that’s giving us some confidence for the guidance for revenue,” Parikh said.
For the quarter to the end of December, Infosys reported a 29.6 per cent fall in net profit to Rs36.09 billion ($512 million). That compared with the 41.31 billion rupees average of 25 analyst estimates compiled by Refinitiv Eikon.
A year earlier, Infosys made a profit of Rs51.29 billion, helped by tax benefits from the company’s deal with the US Internal Revenue Service, it said in a statement.
On Thursday, Infosys’ bigger rival Tata Consultancy Services reported a record quarterly profit for October-december.
Infosys said revenue from operations in the quarter rose 20.3 per cent year-on-year to 214 billion rupees in what is usually a seasonally weak period for Indian IT firms due to a long holiday season in the West.