Infosys posts 13% rise in Q3 net, raises revenue guidance

“Our revenue growth was strong in the quarter, with both digital business and core services growing. This is a clear reflection of our deep client relevance, industry-leading digital, cloud, and automation capabilities, and the unrelenting dedication of our employees,” said Salil Parekh, Chief Executive Officer and Managing Director, Infosys.

The Bengaluru-based IT company revised its FY23 revenue guidance to 16-16.5 per cent, compared to the growth of 15%-16% it had projected earlier.

The company said year-on-year growth was in double digits for most business segments and geographical regions in constant currency terms. Digital comprised 62.9 per cent of overall revenues and grew at 21.7 per cent in constant currency.

“As reflected in the large deals momentum, we continue to gain market share as a trusted transformation and operational partner for our clients. We remain focused on helping businesses accelerate their digital agenda to uncover new value and growth, as well as improve operational and cost effectiveness”, Parikh said.

The company’s operating margin for the quarter remained resilient at 21.5 per cent and it has retained the full year’s operating margin guidance at 21-22 per cent. Its Chief Financial Officer, Nilanjan Roy, said that the operating margins in the reporting quarter remained resilient due to cost optimization benefits which offset the impact of seasonal weakness in operating parameters.

“Attrition reduced meaningfully during the quarter and is expected to decline further in the near-term,”  he said.

The company said it has bought back 31.3 million shares worth Rs 4,790 crore at an average price of around Rs 1,531 per share (maximum buyback price is Rs 1,850 per share).