BANGALORE: Infosys Technologies Ltd. posted better than expected results for
the second quarter ended September 30, 2001. It reported a 45.74 per cent
increase in its total income during the period against the corresponding period
of 2000. The total income touched Rs 650.13 crore, while net profit jumped by
30.87 per cent to Rs 201.56 crore. However, compared to the first quarter of
2001, both net income and net profit grew by a marginal 6 per cent.
The company chairman and CEO, N R Narayanamurthy, said, "At this point
in time, we reiterate our estimate of revenues and earnings per share for the
quarter ending December 31, 2001 and the year ending March 31, 2002. There may
be a business impact due to the extraordinary situation arising out of the
escalating tensions in Afghanistan. In such an event, we will, proactively
inform."
The company has announced an interim dividend of 150 per cent (Rs 7.50 per
share). Announcing the result, Infosys managing director Nandan Nilekani said
that the net profit of Rs 201.56 crore is the highest posted by the company in
any quarter. Earnings per share from ordinary activities increased from Rs 23.28
to Rs 30.47.
Significantly, Infosys added 28 new customers during the second quarter.
Interestingly it has added 11 new clients post September 11 attacks. While
strengthening its presence in the financial services industry through strategic
services, it won its first consulting engagement in the government sector with
an assignment for UK government's National Health Service.
The company expects a flat quarter ahead. It said that in the third quarter
ending December 31, 2001, it expected a total income to be between Rs 640 crore
and Rs 656 crore. Earnings per share is expected to be between Rs 29 and Rs 31.
Contrary to the expectations, Infosys managed to hold on to its billing rates during the quarter. According to the company, software revenue grew by 5.2 per cent in dollar terms, to which volume growth and price growth contributed equally.
Infosys said that its total income during the year is expected to be between
Rs 2,540 crore and Rs 2590 crore. At the upper end, this means an increase of 36
per cent against the total income of Rs 1,900 crore posted during 2000-2001.
When reports last came in, the scrip was being traded at Rs 2565.60 on the
Bombay Stock Exchange against yesterday’s close of Rs 2415.40.