Infosys Q1 profit up 23%; raises revenue outlook for FY22

IT services major Infosys on Wednesday posted a 22.7 per cent rise in net profit to Rs 5,195 crore for the April-June quarter of 2021-22, and raised its revenue growth outlook for the full fiscal.

The Bengaluru-based company's net profit (after minority interest) was at Rs 4,233 crore in April-June 2020.

Its revenue from operations grew 17.8 per cent to Rs 27,896 crore in the first quarter of FY22 from Rs 23,665 crore in the year-ago period, Infosys said in a regulatory filing.

Infosys has raised its revenue guidance for FY22 to 14-16 per cent from the previous outlook of 12-14 per cent.

Large deal flows remained strong with total contract value (TCV) of USD 2.6 billion in the first quarter.

"Driven by the dedication of our employees and the trust of our clients, we grew at the fastest pace in Q1 in a decade, at 16.9 per cent year-on-year and 4.8 per cent quarter-on-quarter in constant currency...This gives us confidence to increase our revenue growth guidance to 14-16 per cent," Infosys CEO and managing director Salil Parekh said.

Infosys chief operating officer Pravin Rao said as the demand for digital talent explodes, rising attrition in the industry poses a near-term challenge.

“We plan to meet this demand by expanding our hiring programme of college graduates for FY22 to about 35,000 globally,” he added.

Infosys' digital revenues stood at 53.9 per cent of total revenues, a year-on-year constant currency growth of 42.1 per cent, the filing said.

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