Infosys Q1 PAT jumps 23% YoY to Rs 5,195 cr; ups FY22 guidance

Topics Infosys  | Salil Parekh | Q1 results

Information technology (IT) major Infosys on Wednesday reported a 22.7 per cent year-on-year (YoY) jump in June 2021 (Q1FY22) consolidated profit at Rs 5,195 crore, over Rs 4,233 crore posted in corresponding quarter year-ago. Sequentially, the figure grew 2.3 per cent as against Rs 5,076 crore. 

The company's Q1 consolidated revenue came in at Rs 27,896 crore, up 17.87 per cent YoY, as against Rs 23,665 crore posted in the June quarter of FY21. The topline grew 6 per cent on a quarter-on-quarter basis, compared with Rs 26,311 crore reported in the preceding quarter. 

The figure missed analysts' expectations as analysts had pegged bottom line growth at 27-30 per cent. Earlier, the revenue guidance for FY22 stood at 13-15 per cent.

“Driven by the dedication of our employees and the trust of our clients, we grew at the fastest pace in Q1 in a decade, at 16.9 per cent year-on-year and 4.8% quarter-on-quarter in constant currency. I am proud of our employees, who as ‘One Infosys’ demonstrate resilience and commitment in delivering for our clients. This gives us confidence to increase our revenue growth guidance to 14%-16 per cent," said Salil Parekh, CEO and MD.

EBIT margin for the quarter stood at 23.7 per cent as against 22.7 per cent a year-ago. On QoQ basis, it declined 0.8 per cent from 24.5 per cent reported in the preceding quarter.

“We remain confident of delivering on the margin guidance, underpinned by our comprehensive cost optimization program, despite increasing cost headwinds arising largely from compensation review, talent acquisition and retention," said Nilanjan Roy, Chief Financial Officer.

Dollar revenue for the June quarter grew 21.2 per cent YoY and 4.7 per cent QoQ to $3,782 million, the company said in a release to the exchanges. Revenue growth in Constant Currency (CC) terms stood at 16.9 per cent YoY and 4.8 per cent QoQ.

Large deal flows remained strong with TCV of $2.6 billion in Q1, the company added.

Infosys highlights



Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel