Infosys Q4 profit up 29 per cent, beats market forecast
Infosys Technologies Ltd, India’s No. 2 software services exporter, posted a 29 percent rise in quarterly profit, beating market forecasts, boosted by a weaker rupee. Infosys said net profit rose to 16.13 billion rupees in January-March.india Updated: Apr 15, 2009 12:11 IST
Infosys Technologies Ltd, India’s No. 2 software services exporter, posted a 29 percent rise in quarterly profit, beating market forecasts, boosted by a weaker rupee.
Infosys, which develops applications, designs supply chains and offers back-office services, said net profit rose to 16.13 billion rupees ($323 million) in January-March, its fiscal fourth quarter, from 12.49 billion reported a year ago.
A Reuters poll of 13 brokerages had estimated a net profit of 15.66 billion rupees for Infosys, which counts ABN AMRO, Goldman Sachs, Philips Electronics, and British telecommunications carrier BT Group Plc among its clients.
An army of English-speaking engineers and cheaper wages drove an outsourcing boom in India, but turmoil in global markets and a recession in the United States, which accounts for more than half the sector’s revenue, have halted the scorching pace of growth.
The outsourcing sector has also been dented by the large accounting fraud at Satyam Computer Services, which on Monday said mid-sized Indian outsourcer Tech Mahindra had made the highest bid for a controlling stake in it.
Shares in Infosys, which the market values at more than $16 billion, surged 18.5 percent in the March quarter, outperforming a 2.6 percent rise in the sector index and 0.6 percent in the main index.