www.rupeedesk.in
With Infosys delivering tepid Jan-Mar earnings and guidance for the current year, results of Tata Consultancy Services, Wipro Ltd and HCL Technologies due next week will set the tone for the information technology sector in the coming few sessions. Infosys yesterday reported consolidated net profit of 23.94 bln rupees for Jan-Mar, up 1.1% sequentially, while its consolidated net sales remained nearly unchanged from a quarter ago at 104.54 bln rupee. While the company's net profit number was higher than estimates, its net sales fell below market expectations. The company's consolidated net profit at 22.83 bln rupees and consolidated net sales at 107.47 bln rupees. Infosys also failed to meet its own annual guidance of a tepid 5% revenue growth. In rupee terms, India's second largest software exporter reported revenue of 403.52 bln rupees, for 2012-13 (Apr-Mar) a decline of around 1% from its earlier guided 407.46 bln rupees. Net sales for 2012-13, however, rose 19.6% on year.
In dollar terms, revenue for the year ended March fell 0.7% to $7.39 bln, as against $7.45 bln earlier projected by the company. For 2012-13, the company posted a consolidated net profit of 94.21 bln rupees, up 13.3%. Infosys also declared it expects revenue growth of 6-10%, a number way short of Nasscom's 12-14% guidance for the industry. The dismal quarter again raises the question whether Infosys' turnaround story is credible or note. Investors are now likely to keep a close watch on the Jan-Mar earnings of Tata Consultancy Services and HCL Technologies, which will be announced Wednesday, as well as that of Wipro, which will details its results on Apr 19. Mumbai-based company TCS is seen posting a 1% sequential rise in net profit for Jan-Mar at 35.79 bln rupees. The company's net sales growing only 2% on quarter in Jan-Mar to 164.56 bln rupees. The quarterly results of MindTree, to be announced Apr 22, will also be eyed.
With Infosys delivering tepid Jan-Mar earnings and guidance for the current year, results of Tata Consultancy Services, Wipro Ltd and HCL Technologies due next week will set the tone for the information technology sector in the coming few sessions. Infosys yesterday reported consolidated net profit of 23.94 bln rupees for Jan-Mar, up 1.1% sequentially, while its consolidated net sales remained nearly unchanged from a quarter ago at 104.54 bln rupee. While the company's net profit number was higher than estimates, its net sales fell below market expectations. The company's consolidated net profit at 22.83 bln rupees and consolidated net sales at 107.47 bln rupees. Infosys also failed to meet its own annual guidance of a tepid 5% revenue growth. In rupee terms, India's second largest software exporter reported revenue of 403.52 bln rupees, for 2012-13 (Apr-Mar) a decline of around 1% from its earlier guided 407.46 bln rupees. Net sales for 2012-13, however, rose 19.6% on year.
In dollar terms, revenue for the year ended March fell 0.7% to $7.39 bln, as against $7.45 bln earlier projected by the company. For 2012-13, the company posted a consolidated net profit of 94.21 bln rupees, up 13.3%. Infosys also declared it expects revenue growth of 6-10%, a number way short of Nasscom's 12-14% guidance for the industry. The dismal quarter again raises the question whether Infosys' turnaround story is credible or note. Investors are now likely to keep a close watch on the Jan-Mar earnings of Tata Consultancy Services and HCL Technologies, which will be announced Wednesday, as well as that of Wipro, which will details its results on Apr 19. Mumbai-based company TCS is seen posting a 1% sequential rise in net profit for Jan-Mar at 35.79 bln rupees. The company's net sales growing only 2% on quarter in Jan-Mar to 164.56 bln rupees. The quarterly results of MindTree, to be announced Apr 22, will also be eyed.
