Infosys report dismal numbers; refrains revenue guidance

Infosys reported its last quarter numbers for FY20 on Monday. Its revenue for the quarter came in at Rs 23,267 crore as compared to Rs 23,092 crore in the preceding quarter.

The company’s digital revenue in the quarter was at US$ 1,341 million (41.9 per cent of total revenue), representing 2.6 per cent QoQ growth in constant currency term.

Operating profit for Q4FY20 dipped marginally to Rs 4,927 crore from Rs 5,064 crore in Q3FY20 with a corresponding margin contraction of 70 bps.

Net profit for the period was Rs 4,321 crore, down by 3.1 per cent from its previous quarter.

In the year FY20, the company generated a free cash flow of US$ 2.15 billion, which indicates free cash flow to a net profit conversion of 92 per cent. Furthermore, the management refrains from giving guidance amid the business uncertainty emanating from COVID-19. It is being said that the company will provide annual guidance after the situation improves.

During the quarter, the company signed a deal worth US$ 1.65 billion, taking total contract value signed in FY20 to US$ 9 billion.

Besides, utilisation of total employees for the quarter was at 83.5 per cent as compared to 84.4 per cent in the previous quarter while, attrition level was 20.7 per cent compared to 19.6 per cent in Q3FY20. The company said that 93 per cent of its global workforce is now working from home.

The board has recommended a final dividend of Rs 9.50 per equity share for FY20.