IT bellwether Infosys Technologies on Tuesday reported 8.48 per cent decline in its consolidated net profit at Rs 1,488 crore for the first quarter ended June 30, 2010.
The company had a net profit of Rs 1,626 crore in the June quarter of the previous fiscal (2009-10), Infosys said in a filing to the Bombay Stock Exchange.
However, the consolidated revenue of the country’s second largest software exporter rose to Rs 6,198 crore against Rs 5,472 crore over the year-ago period.
Infosys today plunged as much as 2.6 per cent on the Bombay Stock Exchange in the morning trade after the company posted a dip in first quarter numbers. Shares of the company, which carries maximum weight on the Sensex after Reliance Industries Limited, fell to Rs 2,820.25, down 2.6 per cent on the BSE.
“The results are marginally down which was expected due to pressure on company’s revenues in terms of squeezed margins. The stock had already seen a huge run-up in the past few trading sessions, so now it may see some erosion as the markets were expecting better results but stock will remain strong in the long run,” BNP Paribas Financial Services Assistant Vice-President Gaurang Shah said.
Witnessing a similar fall on National Stock Exchange, shares of the company declined 2.62 per cent to hit a low of Rs 2,820.
Reacting to Infosys results, the broader gauge Sensex fell by 0.15 per cent to 17,910.80 in early trade.
The Infosys stock dragged the entire BSE-IT index down by 2.22 per cent to 5,423.52.