Saturday, Apr 20, 2024 | Last Update : 12:12 AM IST
Infosys trims revenue forecast despite posting profit
Profit after tax rose 3.3 per cent to 37.26 billion rupees ($573 million) in the second quarter.
Bengaluru: Indian software services company Infosys Ltd trimmed its revenue forecast for the year despite reporting a surprise rise in quarterly profit.
It said it expected its full-year revenue to rise 5.5-6.5 per cent in constant currency, compared with its previous guidance of a 6.5-8.5 per cent increase.
Profit after tax rose 3.3 per cent to 37.26 billion rupees ($573 million) in the second quarter, beating the average analysts’ estimate of 35.23 billion rupees, according to Thomson Reuters data.
The results are the first since Vishal Sikka quit as chief executive in August after a lengthy feud between the board and the company founders that also led to a reorganisation of the board. Nandan Nilekani, a co-founder and a former CEO, was named chairman and the company continues to search for a new CEO.
Bengaluru-based Infosys said its revenue from operations rose 1.5 per cent to Rs 175.67 billion in the second quarter. Revenue from the financial services segment rose marginally to Rs 47.18 billion.
The Infosys board also reaffirmed that an investigation into alleged improprieties related to the acquisition of Israeli automation firm Panaya found no evidence of any wrongdoing.
