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132810
Wed, 07/14/2010 - 07:03
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https://oananews.org//node/132810
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Infosys Q1 net down 2.42% at Rs 1,488cr; outlook up for FY'11
Bangalore, July 13 (PTI) Infosys on Tuesday posted a 2.42
per cent drop in first quarter net profit to Rs 1,488 crore on
volatile currency and high staff cost, but raised full-year
revenue growth forecast by three percentage points to up to 21
per cent.
The company had a net profit of Rs 1,525 crore during the
April-June quarter of the previous fiscal (2009-10).
"The yearly guidance has been revised to 19-21 per cent
and there is cautious optimism. The caution is coming from
the concerns about Europe and currency momentum. But otherwise
it is a a good quarter," Infosys CEO and MD S Gopalakrishnan
said.
Earlier, the company's guidance was for 16-18 per cent
revenue growth in the current fiscal.
Shares of the company plunged following the announcement
of the result and were trading 3.49 per cent down at Rs
2794.05 at 1515 hours.
The Bangalore-based company expects its consolidated
revenues to be in the range of USD 5.72 billion to USD 5.81
billion for the fiscal year ending March 31, 2011.
For the second quarter ending September 30, 2010, the
company said its consolidated revenues are expected to be in
the range of USD 1.41 billion to USD 1.42 billion, which
translates into a growth rate of 22.4 per cent to 23.7 per
cent.
"While the global economic environment remains uncertain,
we continue to see greater demand for services from our
clients. The challenge for the industry is to enhance the
investment to grow the business, given the uncertainty in the
environment," Gopalakrishnan added.
Analysts said Infosys earnings were hit by volatility in
currency.
Infosys Technologies, India's second-largest software
exporter by sales, sets not only the mood of the sector, but
the entire market sentiment.
The Bangalore-based software major's consolidated revenue
rose 13.26 per cent to Rs 6,198 crore in the quarter under
review against Rs 5,472 crore over the year-ago period.
While North America contributed 67.3 per cent to the
company's revenues in the said quarter, Europe accounted for
20.3 per cent of the revenues.
Under the International Financial Regulatory System
(IFRS), net profit grew 4.2 per cent year-on-year to USD 326
million from USD 313 million. Consolidated revenue was up 21
per cent to USD 1.35 billion for the quarter ended June 30,
2010, from USD 1.12 billion in the year ago period.
Cash and cash equivalent on June 30, 2010, stood at Rs
16,005 crore in April-June quarter from Rs 12,030 crore in the
same period last year. MORE PTI
per cent drop in first quarter net profit to Rs 1,488 crore on
volatile currency and high staff cost, but raised full-year
revenue growth forecast by three percentage points to up to 21
per cent.
The company had a net profit of Rs 1,525 crore during the
April-June quarter of the previous fiscal (2009-10).
"The yearly guidance has been revised to 19-21 per cent
and there is cautious optimism. The caution is coming from
the concerns about Europe and currency momentum. But otherwise
it is a a good quarter," Infosys CEO and MD S Gopalakrishnan
said.
Earlier, the company's guidance was for 16-18 per cent
revenue growth in the current fiscal.
Shares of the company plunged following the announcement
of the result and were trading 3.49 per cent down at Rs
2794.05 at 1515 hours.
The Bangalore-based company expects its consolidated
revenues to be in the range of USD 5.72 billion to USD 5.81
billion for the fiscal year ending March 31, 2011.
For the second quarter ending September 30, 2010, the
company said its consolidated revenues are expected to be in
the range of USD 1.41 billion to USD 1.42 billion, which
translates into a growth rate of 22.4 per cent to 23.7 per
cent.
"While the global economic environment remains uncertain,
we continue to see greater demand for services from our
clients. The challenge for the industry is to enhance the
investment to grow the business, given the uncertainty in the
environment," Gopalakrishnan added.
Analysts said Infosys earnings were hit by volatility in
currency.
Infosys Technologies, India's second-largest software
exporter by sales, sets not only the mood of the sector, but
the entire market sentiment.
The Bangalore-based software major's consolidated revenue
rose 13.26 per cent to Rs 6,198 crore in the quarter under
review against Rs 5,472 crore over the year-ago period.
While North America contributed 67.3 per cent to the
company's revenues in the said quarter, Europe accounted for
20.3 per cent of the revenues.
Under the International Financial Regulatory System
(IFRS), net profit grew 4.2 per cent year-on-year to USD 326
million from USD 313 million. Consolidated revenue was up 21
per cent to USD 1.35 billion for the quarter ended June 30,
2010, from USD 1.12 billion in the year ago period.
Cash and cash equivalent on June 30, 2010, stood at Rs
16,005 crore in April-June quarter from Rs 12,030 crore in the
same period last year. MORE PTI
