IT Major Announces Rs 17.50 Dividend Per Equity Share

Infosys Dividend: India’s IT services major Infosys declared its Q4FY23 financial results on April 13. Apart from financial results, the Infosys board also announced the final dividend of  Rs 17.50/ per share for 2022-23 at its annual general meeting.

Infosys posted nearly 8 per cent increase in consolidated net profit at Rs 6,128 crore for the quarter ended March 31, 2023. The IT services company had posted a net profit of Rs 5,696 crore in the year-ago period.

The consolidated EBIT for the March quarter comes at Rs 7,877 crore, while the consolidated EBIT Margin is at 21 per cent.

Infosys net addition of employees in the October to December 2022 period took a major hit, slipping 84 per cent to 1,627 from over 10,000 in the previous quarter of the fiscal, according to the tech giant’s quarterly earning report. However, its attrition rate has come down to 24.3 percent from 27.10 per cent in the July to September quarter.

For FY24, the company has guided for sales to grow by a mere 4-7 per cent in constant currency terms, which highlights the challenges it oversees for business in the current year. Operating margin is expected to be in the range of 20-22 per cent.

For FY23, the software major reported a 15.4 per cent growth in revenue in constant currency terms, which was below the lower end of its guided range of 16-16.5 per cent.

While Infosys missed its revenue growth guidance for FY23, the company managed to meet its operating margin target. Continued focus on cost optimization and operational efficiencies helped the Bengaluru-based IT major report an operating margin of 21 per cent for FY23, which is at the lower end of the guided range of 21-22 per cent.

“As the environment has changed, we see strong interest from our clients for efficiency, cost and consolidation opportunities, resulting in a strong large deal pipeline,” said Salil Parekh, MD and CEO, said.

“We have expanded our internal program on efficiency and cost to build a path to higher margins in the medium term. We continue to invest in our people and in supporting our clients,” Parekh added.

In the March quarter, Infosys bagged TCV deals worth $2.1 billion while for FY23, the total deal wins were worth $9.8 billion.

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