INFOSYS Q4 RESULTS 2024: PROFIT JUMPS 30% YOY, SPECIAL DIVIDEND DECLARED

Infosys reported its Q4FY24 numbers after the market hours on 18th April. Earlier in the day, Infosys stock price closed 0.34% higher at Rs 1,419.25 per share. The key highlight is the FY25 revenue guidance slashed to 1-3%. Let us look at Infosys' Q4FY24 quarterly numbers in detail.

About Infosys Limited

Infosys is a multinational IT services and consulting company. It offers a wide range of services, including software development, business consulting, and outsourcing. Founded in 1981, Infosys has become one of India's leading IT companies and a global player in the technology industry.

Crucial Parameters

• PE: 23.91
• ROE: 31.60
• Market Cap: Rs 5,89,651.48 crore
• 52-week High: Rs 1,731

Share Price Movement

In the last six months, Infosys' share price has fallen by a percent. However, in a one-year time frame, the share price grew by 12.79%. Despite the poor recent performance returns, the 5-year is nearly 93%. 

How has Infosys performed in Q4FY24?

Below are key updates from Infosys' March quarter results:

Revenue: Infosys reported an increase in consolidated revenue by 1.3% YoY to Rs 37,923 crore from Rs 37,441 in the year-ago period. In constant currency terms, the revenue was flat YoY. Sequentially, the revenue was down 2.2% in CC.

Financial Services segments reported the highest revenue contribution at 26.4%, followed by Manufacturing. Revenue from Hi-tech increased by 9.7%, followed by Manufacturing at 8.7% YoY growth. Financial Services and Retail reported a decline in YoY growth.

Profits: The company reported a 30% rise YoY in consolidated net profit at Rs 7,969 crore for the quarter that ended March 31, 2024. The firm had reported a profit of Rs 6,128 crore in the year-ago period. The profit increased because of the tax refund the company received in the March quarter.

Guidance: Infosys slashed its revenue guidance for the FY25 to 1-3% from 4-7% a year back, amidst uncertain demand conditions. The company has revised its annual revenue growth guidance five times in the previous five quarters.

Active Clients: The total number of active clients reported by the company for Q4FY24 was 1888, an increase from 1,872 in the December 2023 quarter and an increase from 1,872 in the year-ago period. The number of 100 million dollar+ clients has remained the same at 40. Clients in the 50 million dollar+ increased by a count of one to 83 from 82 in the previous quarter and 75 in the year-ago period.

Employee Count: The employee count has reduced for the fifth consecutive quarter to 3,17,240 from 3,22,663 in Q3FY24 and 3,43,234 in the year-ago period. Voluntary attrition has come down to 12.6% from 12.9% in the December quarter and 20.9% in the year-ago period. Infosys’ headcount for the financial year 2024 declined by 25,994, for the first time in at least 23 years since 2001.

Dividend: The board has recommended a final dividend of Rs 20/- per equity share for the financial year ended March 31, 2024, and additionally a special dividend of Rs 8/- per equity share. The record date for the purpose of the Annual General Meeting and payment of final dividend and special dividend is May 31, 2024. The dividend will be paid on July 1, 2024.

Other Updates: The operating margins reported by the company were 20.1%. In the year-ago period, the operating margins were 20.8%. The large deal wins were strong at $4.5 billion. The earnings per share or EPS has increased by 30.2% YoY. Approved acquisition of in-tech Holding GmbH engaged in Engineering R&D services. A press release along with additional information as per Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations is enclosed.