Infosys: Lower cost pressure, digital business may aid profit margins

Infosys won contracts worth over $2 billion in Q2, its highest ever, indicating brighter growth prospects

The September quarter (Q2) results of Infosys indicate the company may be seeing a turnaround in its growth trajectory. While this is a positive, Infosys will need to do a lot more to win back investor confidence.

After three quarters of dismal performance as compared to TCS, Infosys reported healthy revenue growth of 4.2 per cent in constant currency (CC) terms on a sequential basis on Tuesday, after market hours, ahead of TCS’ 3.7 per cent. Revenues at Rs 206.1 billion also beat Street expectations of about Rs 203 billion.

Moreover, it was a broad-based sturdy quarter on the revenue