India's Infosys fourth quarter profit jumps on deal wins

15 Apr, 2019

Infosys Ltd, India's second biggest software services exporter, reported a 10.4 percent rise in its fourth-quarter profit on Friday, helped by strong growth in its key financial services segment and large deal wins during the period. Net profit for the three months to end of March was 40.74 billion Indian rupees ($588.6 million), compared with 36.90 billion rupees in the year-earlier period.
The result was above the average estimate of 39.56 billion rupees by 33 analysts, Refinitiv Eikon data showed. Infosys expects its full-year revenue to rise by 7.5 to 9.5 percent on constant currency basis, while operating margin is expected to be in a 21-23 percent range.
The company, which said it won large deals worth over $1.5 billion in the quarter, has reported an expansion in revenue for 37 straight quarters. Revenue from operations grew 19.1 percent, while revenue from its largest segment, financial services, spiked 15.6 percent.
India's $180 billion IT industry as a whole is benefiting from moves by traditional businesses to transform their legacy systems to compete effectively against more nimble start-ups globally. Digital revenue jumped 41.1 percent to $1.04 billion, which accounted for 33.8 percent of total revenue, Infosys said.

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