We see digital disruption as a big opportunity: Salil Parekh, Infosys Limited.

We see digital disruption as a big opportunity: Salil Parekh, Infosys Limited.

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Infosys Limited

 

Infosys Limited, a global leader in technology services and consulting with clients across 45 countries, today announced it third quarter results.

Yash Ved of NewsBarons provides you the highlights of a media interaction, where Salil Parekh, CEO & MD, Infosys says, “We are progressing towards stability and are well positioned to serve our clients.”

NB: Brief us about your Financials?

Salil: For the third quarter ended 31st December 2017, the company reported year-on-year revenue growth of 8% in USD terms and 24.3% operating margin. Revenues were $ 2,755 million while Operating profit stood at $ 669 million for the quarter ended December 31, 2017.

In rupee terms, Revenues stood at INR 17,794 crore for the quarter ended December 31, 2017. The Operating profit was at INR 4,319 crore for the quarter and Net profit stood at INR 5,129 crore.

NB: How was the quarter as a whole?

Salil: It is a privilege to lead Infosys. We have trust of over 1100 clients have high operating margins and strong balance sheet. There are exciting opportunities in IT services market. Over the next 3 months, We will come with layout and strategic priorities by April.

We have added 79 clients this quarter. We are progressing towards stability and are well positioned to serve our clients in the new areas of demand.

Salil Parekh, CEO & MD, InfosysNB: What is your Outlook for FY 2018?

Salil: For the fiscal year ending March 31, 2018, Revenues are expected to grow 2.1%-3.1% in INR terms based on the exchange rates as of December 31, 2017.

What will be immediate priority for Infosys?

Salil : The immediate priority to connect with people and clients. The environment we see growth in areas such as cloud, IOT and data but the challenge is to make sure that business is well positioned. We see digital disruption as a big opportunity.

NB: Brief us about the update on share buyback?

Salil: The Board, at its meeting on August 19, 2017, approved a proposal for the Company to buyback its fully paid-up equity shares of face value of INR 5 each from the eligible equity shareholders of the Company for an amount not exceeding INR 13,000 crore. The shareholders approved the said proposal through the postal ballot that concluded on October 7, 2017. The Buyback offer comprised a purchase of 11,30,43,478 Equity Shares aggregating 4.92% of the paid-up equity share capital of the Company at a price of INR 1,150 per Equity share.

In accordance with section 69 of the Companies Act, 2013, the Company has created ‘Capital Redemption Reserve of INR 56 crore equal to the nominal value of the shares bought back as an appropriation from general reserve.

NB: Brief us about your global business performance?

Salil: North America grew by 0.7% both sequentially and in constant currency, while Europe grew by 5.9% sequentially; and 4.7% in constant currency. India declined by 6.1% sequentially and 5.9% in constant currency and Rest of the world declined by 4.6% sequentially and 4.0% in constant currency.