INFOSYS LTD - Q3 FY 2012-13 RESULTS - Q/E DEC,2012 - REVENUES UP BY 5.7%QoQ;12.1% YoY - NET PROFIT UNCHANGED - FUTURE OUTLOOK GOOD - Mood Change Noticeable

INFOSYS LIMITED

S.D.SHIBULAL, CEO & MD

Results for S3 FY 2012-13

Q/E Dec, 2012

 Infosys has announced the Results for the 3^rd Quarter ended December 31, 2012

Q3 Revenues grow by 5.7% quarter on quarter

Financial Highlights

Consolidated results under International Financial Reporting Standards (IFRS) for the quarter ended December 31, 2012

Ø  Revenues were Rs.10,424 crore for the quarter ended December 31, 2012; QoQ growth was 5.7% YoY growth was 12.1%

Ø  Revenues excluding Lodestone were Rs.10,210 crore; QoQ growth was 3.6% YoY growth was 9.8%

Ø  Net profit after tax was Rs.2,369 crore for the quarter ended December 31, 2012, which remained unchanged compared to the quarter ended September 30, 2012

Ø  Earnings per share (EPS) was Rs.41.47 for the quarter ended December 31, 2012 against Rs.41.46 for the quarter ended September 30, 2012

Ø  Liquid assets including cash and cash equivalents, current available-for-sale financial assets, investment in certificates of deposits and government bonds were Rs.22,501 crore versus Rs.22,570 crore as on September 30, 2012. 

INFOSYS	Q3FY13	Q2FY13	Q3FY12	9MFY13	9MFY12	YE12
REVENUES	10424	9858	9298	29898	24882	33734
COST OF SALES	6566	6102	5288	18478	14609	19808
GPT	3858	3756	4010	11420	10273	13928
OPT	2677	2597	2899	7967	7132	9779
PBT	3180	3303	3321	9652	8384	11683
NPT	2369	2369	2372	7027	6000	8316
EQUITY	286	286	286	286	286	286
EPS	41.47	41.46	41.51	122.99	105.01	145.55

Other highlights:

 The company won 8 large outsourcing deals amounting to US$ 731 million of total contract value

 14 new wins for Infosys’ products and platforms

 Infosys and its subsidiaries added 53 clients during the quarter

 Gross addition of 7,499 employees (net addition of 977) for the quarter by Infosys and its subsidiaries.

 1,55,629 employees as on December 31, 2012 for Infosys and its subsidiaries

 Completed the acquisition of Lodestone Holding AG, a leading management consultancy based in Switzerland

 Infosys American Depositary Shares (ADS) have started trading on the New York Stock Exchange (NYSE) under the ticker symbol ‘INFY’. The company is in the process of listing its ADS on the Paris and London exchanges of NYSE Euronext.

“We have done well in this quarter despite an uncertain environment,” said S. D. Shibulal, CEO and Managing Director. “We continue to gain confidence from a strong pipeline of large deals. However, the broader economic environment remains difficult. Even so, we remain cautiously optimistic about the January-March quarter”, he added.

“We were able to maintain our margins through efficiency improvements despite increased operating expenses. We remain focused on making the right investments for profitable and sustainable growth in the longer term", said Rajiv Bansal, Chief Financial Officer.

Outlook*

The company’s outlook (consolidated) for the fiscal year ending March 31, 2013, under IFRS is as follows:

 Revenues** are expected to be at least Rs.40,746 crore;

 Earnings per share (EPS) is expected to be at least Rs.162.80;

* Conversion 1 US$ = Rs.54.50 for rest of fiscal 2013

** Includes Rs.568 crore from Lodestone

Business Highlights

Ø  The company won 8 large outsourcing deals amounting to US$ 731 Mn of total contract value

Ø  Our offerings in the Products and Platforms space continue to see good momentum. This quarter we had 14 wins across industries and geographies. Infosys products and platforms (excluding Finacle™) are now adopted by more than 70 global clients.

Ø  A Blue Cross Blue Shield Plan selected us as a strategic partner to provide enterprise-wide testing services and establish a Test CoE within its IT organization, aimed at creating testing processes and frameworks to support the company’s ongoing transformation due to US healthcare reform. Another Blue Cross Blue Shield Plan is leveraging Infosys iTransform™ product and services to help its ICD- 10 migration, mandated by the U.S. federal government.

Ø  Our focus on Cloud as a new growth area continues to yield results and the Cloud business currently has more than 190 engagements and 3,500 experts. Over the last quarter, we won more than 15 engagements across Cloud services, Big Data and Security. Our vision of being a Cloud Ecosystem Integrator has gained increasing acceptance with clients and we are working with more than 30 partners to help clients create and manage their unified hybrid cloud environments.

Ø  During the third quarter, Infosys applied for seven patent applications in India and the U.S. With this, it has 525 patent applications in India, the U.S. and other jurisdictions, and has been granted 71 patents by the United States Patent and Trademark Office and two patents by the Luxembourg patent office.

Awards and Recognition

Infosys has been consistently honored by influencers

Ø  declared the winners of 2012 Asia’s Most Admired Knowledge Enterprises (MAKE) study by Teleos, in association with The KNOW Network for the 10th time, for developing knowledge based products and services.

Ø  Infosys BPO Ltd. has been awarded the prestigious 2012 Optimas Award for ‘Managing Change’, recognizing exemplary achievements in workforce management and for successfully integrating new employees from around the globe into the organization.

Ø  Infosys BPO Ltd. won the Gold Award for Marketing Excellence in the category of ‘Marketing with Social and Interactive Media’ at the Information Technology Services Marketing Association (ITSMA) Awards 2012.

Ø  received the Microsoft Platform Modernization Award for sales achievement for our Legacy Modernization solution, which helps customers migrate to Microsoft platforms.

Ø  awarded the National Energy Conservation Award 2012 for energy conservation efforts at the campuses in Jaipur and Pune.

Ø  awarded the global No. 1 position for corporate governance practices by IR Global Rankings (IRGR).

Ø  Finacle™ from Infosys has been ranked as a long-term leader in The Forrester Wave™: Global Banking Platforms, Q4 2012

About Infosys Ltd

Infosys partners with global enterprises to drive their innovation-led growth. That's why Forbes ranked Infosys 19th among the top 100 most innovative companies. As a leading provider of next-generation consulting, technology and outsourcing solutions, Infosys helps clients in more than 30 countries realize their goals. 

COBRA TOWERS - PROPOSED INFY BLDG AT KUWAIT

AMAZING ARCHITECTURE - FROM INFY

Looks as if INFY has come out of the shadows of N.R.N. and is about to go great Guns in performance in coming quarters. Its Guidance is still much the same as earlier. But, with US and Europe picking up reasonably, INFY can't be under performing at all in coming Quarters.

Both INFY and TCS now have Great Products - nor merely projects - and in course of time, the basic character of these two companies may change.

According to press reports, the Utilization rate at INFY is very low at 71% -almost 10% lower than peers. But, if INFY utilizes its 2 surpluses - manpower and cash - intelligently and fast - INFY could still emerge at a great rival for TCS, edging out CTS.

SUGGESTION : Why not INFY consider such amazing buildings (as Cobra Towers in Kuwait) in INDIA too? Will Shibu oblige Please? We will have one more Good reason to praise Shibu's INFOSYS.

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