Infosys Posts A Revenue Growth Of 16% & PAT Growth Of 7.7% YoY, With Attrition Down At 20.9%

Infosys has posted a strong financial result, with revenue at Rs 37,441 crores and profit of Rs 6,134 crore before deducting minority interest, for the quarter ended on March 31, 2023. It was up by 16% and 7.7% over last year's values of Rs 32,276 crore and Rs 5,695 crore respectively.

The results were declared through a stock exchange filing after the market hours. On a quarterly basis the profit and revenue was down by 6.86%, and 2.49%.

For the full year FY23 ending in March, on consolidated basis the revenue increased by 20.7 % YoY to Rs 1,46,767 crore. On the other hand, net profit (after minority interest) declined 9% YoY to Rs 24,095 crore.

In constant currency terms, revenue growth quarter on quarter declined by 3.2%, but yearly it was up by 8.8% and for full year, it was also by 15.4%.

Accoring to the filing, the company delivered 18.2 billion USD in FY23 revenues with industry-leading growth of 15.4% in constant currency and operating margins of 21.0%. Growth was broad-based across industry verticals and geographical regions. Digital comprised 62.2% of overall revenues and grew at 25.6% in constant currency.

Eqmployee Metrics:

Continuing the recent trend, attrition declined further in Q4 to 20.9% from 27.7% last year and 24.3% from previous quarter. The total headcount of employees was down to 3,43,234 in March qaurter from 3,46,845 number in December.

Operating margins and cashflows:

Operating margin for the quarter was 21%, it was down from 21.5% in previous quarter. Even for full year it stood at 21%. Free cash flow conversion was 95.3% for Q4.

Revenue contribution Geographywise

North America and Europe region witnessed a growth of 5.7% and 13.9% year-on-year, while Indian and the rest of the world's revenue declined by 13.3 and 1.4%.

Client details:

"Our strong performance in FY23 is a testimony to the continued focus on digital, cloud and automation capabilities which resonated with our clients. We have launched exciting programs with our clients leveraging generative AI platforms" said Salil Parekh, CEO and MD about addition of clients.

The company's 100 Million dollar clientèle stood at 40 from the previous number of 38. It also saw a rise in 1 Million dollar and 10 Million dollar clients to 922 and 298 respectively for the quarter.

Salil further added, "As the environment has changed, we see strong interest from our clients for efficiency, cost and consolidation opportunities, resulting in a strong large deal pipeline. We have expanded our internal program on efficiency and cost to build a path to higher margins in the medium term. We continue to invest in our people and in supporting our clients".

The stock price of Infosys ended at Rs 1388.60 per share, it was down by 2.79% over previous day's closing.