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Infosys surges on high volumes

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Capital Market Mumbai
Last Updated : Apr 22 2013 | 2:44 PM IST

Meanwhile, the BSE Sensex was down 24.21 points, or 0.12%, to 19,639.34.

High volumes accompanied the rally in the counter. On BSE, 16.21 lakh shares were traded in the counter as against an average daily volume of 1.16 lakh shares in the past one quarter.

The stock hit a high of Rs 2,720 and a low of Rs 2,507.90 so far during the day. The stock had hit a 52-week high of Rs 2,990 on 22 February 2012. The stock had hit a 52-week low of Rs 2,101.65 on 26 July 2012.

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The stock had underperformed the market over the past one month till 10 January 2013, rising 0.47% compared with the Sensex's 1.31% rise. The scrip had also underperformed the market in past one quarter, falling 7.34% as against Sensex's 5.54% rise.

The large-cap IT company has an equity capital of Rs 287.12 crore. Face value per share is Rs 5.

Infosys' consolidated net profit as per International Financial Reporting Standards (IFRS) remained unchanged on sequential basis at Rs 2369 crore in Q3 December 2012. Revenue rose 5.7% to Rs 10424 crore in Q3 December 2012 over Q2 September 2012. Revenues excluding Lodestone rose 3.6% to Rs 10210 crore in Q3 December 2012 over Q2 September 2012. Infosys completed the acquisition of Lodestone Holding AG, a leading management consultancy based in Switzerland, in Q3 December 2012.

Commenting on the third quarter results, S. D. Shibulal, CEO and Managing Director, Infosys said: "We have done well in this quarter despite an uncertain environment. We continue to gain confidence from a strong pipeline of large deals. However, the broader economic environment remains difficult. Even so, we remain cautiously optimistic about the January-March quarter".

Rajiv Bansal, Chief Financial Officer, Infosys said: "We were able to maintain our margins through efficiency improvements despite increased operating expenses. We remain focused on making the right investments for profitable and sustainable growth in the longer term".

Due to addition of revenue from Lodestone, Infosys has raised revenue guidance for the year ending 31 March 2013 (FY 2013). With expected revenue of $104 million from Lodestone for FY 2013, Infosys has forecast total revenue at $7.45 billion for the company for FY 2013. At the time of announcement of Q2 September 2012 results on 12 October 2012, Infosys had forecast revenue of $7.343 billion for FY 2013 when Lodestone acquisition was yet to be completed. The company has retained guidance for earnings per American depository receipt (EPADS) for FY 2013 at a minimum $2.97.

In rupee terms, Infosys now expects revenue of Rs 40746 crore for FY 2013 which includes projected revenue of Rs 568 crore from Lodestone. At the time of announcement of Q2 September 2012 results on 12 October 2012, Infosys had forecast revenue of Rs 39582 for FY 2013 when Lodestone acquisition was yet to be completed. The company has raised the guidance for earnings per share for FY 2013 to Rs 162.80 from its October guidance of EPS of Rs 160.61.

Infosys won 8 large outsourcing deals amounting to $731 million of total contract value in Q3 December 2012.

Liquid assets including cash and cash equivalents, current available-for-sale financial assets, investment in certificates of deposits and government bonds were Rs 22501 crore versus Rs 22570 crore as on 30 September 2012.

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First Published: Jan 11 2013 | 11:32 PM IST

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