Thanks to the large deal wins, Infosys for Q2FY19 posted very encouraging numbers. Net profit for the quarter rose 10% (YoY) at Rs.4110 crore on a 17% increase in revenue at Rs.20,609 crore.
Its revenue in dollar terms rose 3% (QoQ) at $2921 million. EBITDA was up 15% at Rs.4894 crore while margins, unlike TCS which reported a 110bps jump, was largely flat at 23.7%
Infosys’ attrition rate fell marginally to 22.2% during the quarter. The company added a net of 73 new clients during the quarter: six in the $1 million-plus band, five in $10 million-plus band, two in the $50 million-plus band and one in the $100 million-plus band.
In terms of guidance, Infosys retained its operating margin at 22-24% and revenue for FY19 in constant currency at 6-8%.
In a Press Release issued by the company, CEO Salil Parekh said, “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. The large deal wins will have an impact on revenue for the next several quarters.”
The market has given a thumbs up to the earnings and the stock opened higher today morning, rising over 3.5% to Rs.721. Its 52-week high stands at Rs.754.95.