Infosys Q4 net up 3.5% at Rs 3,097 crore

The Bengaluru-based company acquires US-based Kallidus Inc for $120 million

April 24, 2015 02:42 pm | Updated 03:03 pm IST - Bengaluru

India's second largest IT services provider Infosys on Friday said the company's net profit for the fourth quarter ending on March 31, 2015 stood at Rs. 3,097 crore registering a growth of 3.5 per cent when compared to the same period last year.

The total revenue of the company for the January-March period stood at Rs. 13,411 crore registering a growth of 4.2 per cent as against same period last, the company said in a filing to BSE.

The net profit of the company for the full year of FY 15 stood at Rs 12,329 crores up 15.8 per cent YoY, while the revenue stood at Rs 53, 319 registering a YoY growth of 6.4 per cent crore.

In dollar terms, the net profit for Q4 was $498 million registering a growth of 2.3 per cent when compared to the same period last year. The revenue stood at $2,159 million up 3.2 per cent when compared to same period last year.

“We see the industry going through a fundamental and structural transition. Despite being a challenging quarter, I am encouraged by the early successes in executing our Renew-New strategy, on a foundation of learning”, said CEO & MD Vishal Sikka in a press release.

During the full year the company made a gross employee additions over 50,000, while quarterly annualized attrition declines to 13.4 per cent in Q4. The Board of Directors recommended a final dividend of RS 29.50 per share for fiscal 2015.

“Services growth in the fourth quarter was lower than we expected, though we saw healthy growth in Finacle and our Edge suite. Pricing continues to be under pressure due to increasing commoditization in the traditional outsourcing business, requiring us to ramp up productivity through automation, and enhance our differentiation in large engagements”, said U.B. Pravin Rao, Chief Operating Officer of Infosys.

Going forward, the company’s outlook for the fiscal year ending March 31, 2016, the company expects its revenues to grow 10 per cent-12 per cent in constant currency terms.

Acquires Kallidus Inc

The company in the regulatory filing also said it has signed a definitive agreement to acquire US-based Kallidus Inc. (d.b.a Skava) and its affiliate in an all-cash deal for a total consideration of $120 million including retention bonus and a deferred component.

Infosys has entered into a definitive agreement for an early-stage investment of $ 2 million in Airviz, to acquire a minority share. Airviz is a personal air quality monitoring startup and spinout from Carnegie Mellon University.

“This investment was made out of the $ 500 million Innovation Fund earmarked for investments in disruptive new technologies,” the filing added.

In afternoon trade, the shares of Infosys was trading at Rs 2010 down 5.30 per cent.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.