New Delhi: IT major Infosys on Monday (April 20) reported a net profit of Rs 4,335 crore for the quarter ended March 2020, up 6.3 per cent from Rs 4,078 crore in the corresponding period of previous fiscal, according to the company's regulatory filing with the BSE. The IT major, however, suspended the standard practice of giving revenue outlook citing business uncertainty amid COVID-19's global economic impact. The firm also announced a final dividend of Rs 9.50 per share.
Revenue during Q4 FY20 stood at Rs 23,267 crore as compared to Rs 21,539 crore in Q4 FY19, clocking a growth of 8 per cent year-on-year and 0.8 per cent quarter-on-quarter. The operating profit was Rs 4,927 crore, showing an increase of 6.7 per cent year-on-year but a decrease of 2.7 per cent quarter-on-quarter.
The company said considering the business uncertainty emanating from COVID-19, it is unable to provide guidance on revenues and margins for FY 21 at this stage. It will provide guidance after visibility improves.
Infosys' Managing Director and CEO Salil Parekh, "We had an exceptional year in the financial year 2020 with the growth of 9.8 per cent and operating margin of 21.3 per cent," adding "While the immediate short-term will be challenging, looking ahead, we can see that there is a strong interest to consolidate with partners with high-quality and agile service delivery and strong financial resilience. I am confident we will emerge from this stronger."
Infosys said its Q4 20 digital revenues at 1.34 billion (41.9 per cent of total revenues) marked year-on-year growth of 31.7 per cent and sequential growth of 2.6 per cent in constant currency.
Chief Operating Officer Pravin Rao said, "We demonstrated what a `Live Enterprise` truly is by improving the infrastructure and technology enablement for our employees in a short time span and ensuring business continuity for clients."
Chief Financial Officer (CFO) Nilanjan Roy said: "We continue to remain focused on execution excellence in a period of high uncertainty. Our relentless focus on liquidity will be supported by our strong balance sheet of 3.6 billion dollars cash, backed by accelerated cost take-outs and operational rigour."
Infosys also announced the appointment of Uri Levine as an independent director of the company from today. The appointment is for a period of three years and is subject to the approval of shareholders.
Key Highlights
- FY 20 revenues grew by 9.8% in INR; 9.8% in constant currency
- FY 20 operating margin at 21.3%
- FY 20 Free Cash Flow at Rs 15,250 crore; Free Cash Flow to net profit conversion at 92%
- Q4 20 revenues grew year-on-year by 8.0% in INR; 6.4% in constant currency
- Q4 20 revenues grew sequentially by 0.8% in INR; declined 0.8% in constant currency
- Q4 20 Digital revenues at $1,341 million (41.9% of total revenues), year-on-year growth of 31.7% and
sequential growth of 2.6% in constant currency
- Announces final dividend of Rs 9.50 per share
- Considering the business uncertainty emanating from COVID-19, the company is unable to provide guidance on revenues and margins for FY 21 at this stage. The company will provide guidance after visibility improves
