High attrition rate

Infosys saw a large number of employees leaving. The attrition rate for the quarter was as high as 21%.

The company had to introduce employee stock options to prevent employees from leaving.

Revenue guidance cut

One of the biggest indicators that analysts watch out for is the revenue guidance for the year.

The company has cut the revenue guidance in constant currency terms to a range of 10.5-12% from the earlier guidance of 11.5% to 13.5%. This is certainly not good news.

Dollar Revenues misses estimates

The Dollar revenues saw a big miss at $2501 million, as against street estimates of $2550 million. The stock markets did not like the big dollar revenue miss and the stock fell 9% per cent.

Rupee Revenues Miss

Infosys reported rupee revenues in Q1 of Rs 16,782 crores, as against a revenue expectation of Rs 17,000 crores.

This was slightly below estimates.

Commentary was a little disappointing

Infosys CEO had this to say on the numbers. "We had unanticipated headwinds in discretionary spending in consulting services and package implementations as well as slower project ramp-ups in large deals that we had won in earlier quarters, resulting in a lower than expected growth in Q1," said Dr. Vishal Sikka.

Not very encouraging.

Stocks Falls 9%

The stock was last trading at Rs 1072, down 9.67% in trade. At one stage it fell 11 per cent in trade.
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