Infosys Q1 Results: PAT rises 11% YoY to Rs 5,945 cr; firm sharply trims FY24 revenue growth guidance

economictimes.indiatimes.com:

Infosys on Thursday reported nearly 11% year-on-year (YoY) growth in consolidated net profit for the June quarter to Rs 5,945 crore. The bottomline was lower than the ET Now poll of Rs 6,150 crore. Consolidated revenue for the quarter increased by 10% YoY to Rs 37,933 crore.

Taking note of the uncertain global environment, the software major sharply cut its FY24 revenue growth estimate. Infosys now sees revenue growing just 1-3.5% in constant currency terms, against 4-7% earlier. India’s second-largest software services exporter, however, retained its operating margin guidance of 20-22% for FY24.

Infosys’ earnings remained muted on a sequential basis in the June quarter, given a significant slowdown in business amid global macroeconomic headwinds. Consolidated sales grew a mere 1.3% sequentially, while the net profit dipped about 3%. In constant currency terms, the revenue rose just 1% quarter-on-quarter (QoQ).

The consolidated operating margin came in at 20.8%, down 20 basis points sequentially. “Q1 operating margins were resilient in an uncertain macro environment on the back of our continued focus on cost optimization. Company’s rigorous operational discipline, including improved productivity measures and higher utilization helped margins for the quarter,” said Nilanjan Roy, CFO at Infosys.Deal WinsIn the June quarter, Infosys bagged large deals worth $2.3 billion, a tad higher than $2.1 billion worth of deals won in the March quarter.