Infosys pares initial gains to turn flat post Q3 results

The stock was trading 1% lower at Rs 994 falling 5% from its early morning high of Rs 1,040 on NSE

Infosys was trading 1% lower at Rs 994 falling 5% from its early morning high on the National Stock Exchange (NSE) after the company revised FY17 revenue guidance to 8.4% - 8.8% from 8.0% - 9.0% in constant currency.

The company now expects its dollar revenue to grow between 7.2% and 7.6%—down from its earlier expectation of growing between 7.5% and 8.5% in the current financial year.

The stock rallied 4% to Rs 1,040 in intra-day trade, hit a low of Rs 988 so far. It was ended 3% higher at Rs 1,000 on Thursday. A combined 7.7 million shares changed hands on the counter on the NSE and BSE till 10:07 am.

Meanwhile, Infosys reported 1.4% quarter on quarter (QoQ) decline in its revenues at $ 2,551 million for the quarter ended December 31, 2016 in USD terms. It decline 0.3% in constant currency terms.

On rupee terms, revenues decline 0.2% at Rs 17,273 crore, while net profit grew 2.8% at Rs 3,708 crore on QoQ basis.

Analysts on an average had expected profit of Rs 3,493 crore on revenues of Rs 17,205 crore for the quarter.

“Taking into account seasonal and other additional headwinds for the quarter, our Q3 revenue performance was broadly in line with our expectations, said  Vishal Sikka, CEO and MD in a statement.