Infosys was up 0.17% to Rs 1,080.20 at 11:52 IST on BSE after the company reported good Q3 December 2017 results after market hours on Friday, 12 January 2018.
Meanwhile, the S&P BSE Sensex was up up 323.59 points, or 0.94% to 34,915.98.On the BSE, 1.38 lakh shares were traded in the counter so far, compared with average daily volumes of 3.77 lakh shares in the past two weeks. The stock had hit a high of Rs 1,092.05 so far during the day, which is also a 52-week high for the counter. The stock had hit a low of Rs 1,065.50 so far during the day. The stock hit a 52-week low of Rs 861.50 on 22 August 2017.
Infosys' consolidated net profit rose 37.65% to Rs 5129 crore on 1.29% growth in net sales to Rs 17794 crore in Q3 December 2017 over Q2 September 2017. The result is as per Indian Accounting Standards (Ind-AS).
An increase in Q3 net profit is mainly on account of the conclusion of an advance pricing agreement (APA) with the US Internal Revenue Service (IRS). This has also led to an increase in basic earnings per share (EPS) by Rs 6.29 for the quarter.
Under the APA, Infosys and the IRS have agreed on the methodology to allocate revenues and compute the taxable income of the company's US operations. This agreement covers financial years from 2011 to 2021. The APA will enhance predictability of Infosys' tax obligations in respect of its US operations.
On a consolidated basis, Infosys expects its revenues for the fiscal year ending 31 March 2018 (FY 2018), under International Financial Reporting Standards (IFRS), to grow 5.5%-6.5% in constant currency. The guidance in constant currency is unchanged compared with the revenue growth guidance issued by the company at the time of announcing Q2 September 2017 earnings.
More From This Section
The consolidated revenue is expected to grow 2.1%-3.1% in Rupee terms in FY 2018 based on the exchange rates as of 31 December 2017. The guidance in Rupee terms is lower than the revenue growth guidance of 3%-4% issued by the company at the time of announcing Q2 September 2017 earnings.
The company expects its consolidated revenue to grow 6.5%-7.5% in Dollar terms in FY 2018 based on the exchange rates as of 31 December 2017. The guidance in Dollar terms is unchanged compared with the revenue growth guidance issued by the company at the time of announcing Q2 September 2017 earnings.
Infosys is a global leader in technology services and consulting.
Powered by Capital Market - Live News