On a sequential basis, Infosys’ net profit fell 4.7 per cent in the March quarter, while revenue declined by 2.8 per cent, the company reported today.
Brokers said, continued capital outflows by foreign funds on tax claims despite government’s clarification, muted earnings and forecast of a below-normal monsoon, were major factors behind the plunge.
Earlier in the day, on controversial tax issue faced by foreign investors, the CBDT said, claims coming under the ambit of DTAAs will be settled within a month of being filed.
Concerns of non-DTAA foreign investors, however, continue to weigh on sentiments.
Moreover, weakness in the rupee, which also fell to a fresh three-month low of 63.60 (intra-day), had a negative impact.
The 30-share BSE index tumbled by 297.08 points or 1.07 per cent to 27,437.94, a level last seen on January 14, when it closed at 27,346.82. Intra-day, the gauge shuttled between 27,829.11 and 27,344.70.
This is the seventh fall in last eight sessions.
On similar lines, the NSE Nifty dropped 93.05 points or 1.11 per cent at 8,305.25 after moving between 8,413.30 and 8,273.35, intraday.
Sectorwise, the BSE realty index suffered the most by falling 3.85 per cent, followed by consumer durables 3.18 per cent, IT 2.78 per cent, capital goods 2.57 per cent, tech 2.33 per cent, metal 1.65 per cent, banking 1.33 per cent, healthcare 1.09 per cent and power 0.96 per cent.
Selling pressure was also seen in smallcap and midcap indices as they fell 2.66 and 1.62 per cent, respectively.
Foreign Portfolio Investors sold shares worth Rs 276.83 crore, yesterday as per provisional data.
Globally, a mixed closing at other Asian markets and a better trends at European markets influenced sentiment stemmed losses to some extent, brokers said.