Software major Infosys Technologies is sitting on huge cash reserves. As on December 31, 2001, the company has $180 million in cash and cash equivalents and another $229.7 million as working capital.
According to the company's recent filing with the Securities and Exchanges Commission of the US, net cash provided by operating activities was $149.3 million in the nine months ended December.
This is considerably higher than the $91.5 million provided during the nine months ended December 31, 2000.
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Accounts receivable as a percentage of total revenues, represented 12 per cent as on December 31, 2001. Another interesting aspect of the company's performance in the nine months of the current financial year is that the average days outstanding of accounts receivable has increased in the 0-30 days period and decreased in the 31-60 days, 61-90 days and greater than 90 days as on December 31, 2001 compared to December 31, 2000.
Infosys's unearned revenue as of December 31, 2001, has come down to $5.8 million compared to $10.6 million as of December 31, 2000. The unearned revenues comprise primarily of advance client billings on fixed-price, fixed-time frame contracts for which related costs were not yet incurred.
The proportion of fixed-price contracts under which the company was entitled to bill clients in advance decreased as of December 31, 2001 over the previous year.
As of December 31, 2001, the company had contractual commitments for capital expenditure of $13.6 million.
The company has also used $66.1 million for investments in the nine months ended December 31, 2001 and this has come down from $79.8 million in the nine months ended December 31, 2000.
Cash used in investments in the nine months ended December 31, 2001 comprised primarily $60 million for property, plant and equipment and $4.2 million as loans to employees.
The company intends to spend approximately $12 million on various capital acquisitions for the rest of fiscal 2002 and will use its internal accruals to fund this expansion.
Besides, the company has also invested $2.2 million to purchase the capital stock of Workadia Inc, during the nine months ended December 31, 2001. The company invested $5.9 million to purchase stock in M-Commerce Ventures Pte Ltd ($0.4 million), Asia Net Media BVI Limited ($1.5 million), Alpha Thinx Mobile Services AG ($0.5 million), Purple Yogi Inc. ($0.5 million) and CiDRA Corporation ($3 million) during the nine months ended December 31, 2000.
The company has also paid cash dividends of $23.1 million in the nine months ended December 31, 2001.