Infosys Technologies, the countrys second largest software exporter, today said it will stick to its revenue guidance for the third quarter and the fiscal, as it does not see any reason to revise it after doing it once in the wake of the global financial crisis.
"We don't give revised guidance in the middle of the quarter. The next guidance will be at the end of Q3... Whatever revision we had to do, we have already done that," Infosys Technologies CEO Kris Gopalkrishnan said on the sidelines of the World Economic Forum.
Analysts said there is a risk to the company's guidance after the dollar further strengthened against the pound, euro and Australian dollar in the current economic crisis and also due to slowing IT spending by the US companies.
Infosys had earlier scaled down its dollar guidance (revenue projection in dollars) by about three per cent for the full year to 13.1-15.2 per cent, perhaps its lowest revenue growth since inception from 19-20 per cent.
The company is also likely to see some impact on its third-quarter results due to significant rupee depreciation vis-a-vis the dollar, but to what extent that will happen will be difficult to ascertain as other currencies have also depreciated against the greenback, which could offset the gains.
The rupee has depreciated at about 20 per cent over the last few months.
"The currency movements will have an impact... With each depreciation of the rupee the impact on margin is 50 basis points. Rupee depreciation is positive for us... But it is offset by other currencies also depreciating," Gopalakrishnan said.
