Infosys under pressure as company likely to slash revenue guidance

Infosys may have to cut its revenue guidance for FY17 for the second time in as many years due to risk emanating out of BSFI vertical, courtesy BREXIT and cancellation of projects.

However, Vishal Sikka, CEO, Infosys affirmed that Q2 would be a better period as compared to April-June quarte, at the time of JP Morgan India Investor Summit. "We see that our Q2 growth is going to be higher than Q1 growth. But we do see risks that would get us toward territory of downward revision of guidance because the atmosphere during the course of Q2 has worsened compared to what we saw in the beginning of Q2, you see the example of RBS," Sikka said.

Infosys had earlier said it will ramp-down about 3,000 jobs following Royal Bank of Scotland's decision to cancel its project to set up a separate bank in the UK.

In another development Infosys' executive vice presidents and former head of consulting, Sanjay Purohit has resigned, the company confirmed, marking the seventh top executive to have quit since CEO Vishal Sikka joined.

Shares of Infosys have been a rank underperformer in the markets, since its Q1 numbers, which were way below analysts’ estimates.