Infosys Q4 earnings: The IT major announced its results for the quarter ended March 2016 with 3.81 per cent quarter-on-quarter bottomline growth and 4.07 per cent qoq topline growth.
Here are 10 key takeaways from the Infosys results:
Net Profit: The company reported a consolidated net profit of Rs 3,597 crore for the quarter ended March 2016 against Rs 3,465 crore in the sequential quarter ended December 2015. Net profit was Rs 3,097 crore in the corresponding quarter last year.
Revenue: Revenue of the IT bellwether grew 4.07 per cent qoq and 23.40 per cent year-on-year (yoy) to Rs 16,550 crore.
“We will continue to focus on leveraging operational efficiency levers for consistent profitable growth.” said MD Ranganath, CFO. “During the quarter, cash generation was strong. We managed a volatile currency environment effectively.”
Guidance: Infosys sees revenues growth of 11.5-13.5 per cent in constant currency terms and 11.8-13.8 per cent growth in dollar terms in 2016-17.
Operating Profit: Consolidated operating profit jumped 6.59 per cent qoq and 22.35 per cent yoy to Rs 4,220 crore.
Dividend: Infosys announced a final dividend of Rs 14.25 per share for fiscal 2016. This translates to a final dividend of $0.22 per share (at USD-INR rate of 66.26).
For Employees: The company consolidated net attrition rate declined to 17.3 per cent against 18.1 per cent in the sequential quarter ended Dec, 2015.
UB Pravin Rao, COO, Infosys in a release said, “Employee attrition reduced further in Q4, and is reflective of increased engagement with our people all through the year, and our steps to make Infosys an exciting place for the world’s best talent. We continue to reimagine our internal processes to increase organisational agility.”
However, net addition of employees in Q4 was a mere 661 in comparison with 5,407 and 6,549 employees in Q3FY16 and Q4FY15, respectively.
For the financial year ended March 2016, the company had 1,94,044 employees against 1,76,187 in March 2015.
Management Changes: The company announced that Mohit Joshi, Ravi Kumar S and Sandeep Dadlani have been appointed as presidents of the company effective immediately.
Cash and cash equivalent: The cash and cash equivalent of Infosys stood at Rs 32,699.3 cr at the end of March 2016 (at exchange rate of Rs 66.26 a dollar as taken by Infosys in its results). In the year ending March 31, 2015, the cash and cash equivalent stood at Rs 32,195.7 cr.
From the desk of CEO: Vishal Sikka is bullish on the year ahead and says alot needs to be done to create value for every business.
Beyond Business: As part of broader social commitment, Infosys contributed Rs 216 crore for healthcare, education, culture, destitute care and rural development. The company has spent Rs 86 crore ($13 million) on multiple initiatives including Chennai flood disaster relief, environment sustainability and conservation of natural resources aimed at long term sustainability of ecosystem.