- Infosys reported a net income of 70.3 billion rupees, a 12% decline year-over-year, but exceeded the estimate of 66.98 billion rupees.
- Revenue stood at 409.25 billion rupees, marking a 7.9% increase year-over-year, although it fell short of the estimated 421.17 billion rupees.
- The Financial Services sector performed strongly, generating revenue of 116.14 billion rupees, up by 16% year-over-year, and beating the estimate of 115.68 billion rupees.
- Retail business revenue saw a slight increase of 0.2% year-over-year, totalling 54.40 billion rupees, but did not meet the forecast of 58.38 billion rupees.
- Communications revenue increased by 2.7% year-over-year to 47.98 billion rupees, slightly above the estimate of 47.81 billion rupees.
- The Energy and Utilities segment reported revenue of 53.08 billion rupees, up by 4.7% year-over-year, but below the projected 56.86 billion rupees.
- The Manufacturing segment saw a 17% year-over-year increase in revenue, reaching 65.27 billion rupees, surpassing the estimate of 65.07 billion rupees.
- Hi-tech sector revenue grew by 2.3% to 33.97 billion rupees, just over the expected 33.8 billion rupees.
- Life sciences revenue experienced a minor growth of 0.2% year-over-year, totalling 27.65 billion rupees, and underperformed against the 32.23 billion rupees estimate.
- Operating margin improved to 21%, up from 20.1% year-over-year, surpassing the expected 20.8%.
- Attrition rate for the period was reported at 14.1%.
- Cost of sales increased by 6.8% year-over-year, totalling 285.75 billion rupees, slightly below the estimated 290.23 billion rupees.
- Total operating expenses amounted to 37.75 billion rupees, less than the 38.77 billion rupees estimated.
- Selling and marketing expenses were higher than expected, totaling 19.57 billion rupees against an estimate of 18.92 billion rupees.
- Administrative expenses were lower than projected, at 18.18 billion rupees, compared to the anticipated 19.86 billion rupees.
- The analyst consensus for Infosys stands at 33 buys, 9 holds, and 5 sells.
A look at Infosys Ltd Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 5 | |
| Growth | 3 | |
| Resilience | 5 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Infosys Ltd is looking at a positive long-term outlook. With high scores in Dividend and Resilience, the company demonstrates stability and commitment to rewarding its shareholders. Additionally, Infosys has a moderate score in Growth, indicating potential for expansion and development in the future. The company’s services in IT consulting and software solutions cater to various industries, including insurance, banking, telecommunication, and manufacturing sectors, positioning itself for sustained growth.
Overall, Infosys Ltd seems well-positioned for the long term with a good balance of value, dividend payouts, and resilience. While there is room for improvement in growth and momentum, the company’s focus on providing essential IT services to key industries bodes well for its future prospects in the ever-evolving tech landscape.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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