5 takeaways from the Infosys FY Q2 results
1) Net profits marginally lower then expectations due to exceptional items
The net profits at the company for Q2 FY 2014 at Rs 2410 crores were marginally lower then expectations, due to exceptional items. Otherwise, the net profits would have been around Rs 2600 crores, bang in line with what analysts were expecting.
2) Ups the dollar revenue guidance
The company has upped its dollar revenue guidance for the full year to 8-10% from the earlier estimate of 6-10% given in the previous quarter. Dollar revenue guidance is one of the key data points eagerly watched by analysts and the upward revision suggests an improving business environment.
3) Revenues above expectations
The consolidated revenue of Rs 12,965 crores were way above street estimates of around Rs 12,700 crores.
4) Robust growth
The company witnessed broad based growth across geographical areas and verticals.
"During the quarter we witnessed broad-based volume growth, robust client additions, five large deal wins and increased sales momentum of our big data and cloud offerings. This growth is a result of our focus on execution, which helps our clients achieve their objectives." said S. D. Shibulal, CEO of the company.
5) Stock up 3% in trade
The markets were pleased with the company's results and the stock was up 3 per cent in trade. Analysts say that at the current market price of Rs 3225, Infosys is fairly valued, even considering the robust growth going ahead, since the stock has rallied substantially in the last few months.
GoodReturns.in