Infosys: Q4 net up 6.3% at Rs 4,335 crore, 93 per cent of staff working from home

The company did not give its revenue outlook citing business uncertainty


The country's second-largest IT services player Infosys on Monday reported a 6.3 per cent rise in consolidated net profit to Rs 4,335 crore for March 2020 quarter, and said it is unable to provide revenue outlook for FY21 due to business uncertainty amid COVID-19 outbreak.

The company had posted a net profit of Rs 4,078 crore in the year-ago period as per IFRS accounting norms, Infosys said in a BSE filing.

Its revenue grew 8 per cent to Rs 23,267 crore in the quarter under review from Rs 21,539 crore in the corresponding period last fiscal, it added.

"Considering the business uncertainty emanating from COVID-19, the company is unable to provide guidance on revenues and margins for FY21 at this stage. The company will provide guidance after visibility improves," the filing said.

Infosys CEO and MD Salil Parekh said Infosys team has achieved 93 per cent remote working on Monday and ensuring consistent service delivery for clients in this rapidly changing environment.

"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," he added.

Infosys COO Pravin Rao said the impact caused by COVID-19 since last few weeks of March has led to "significant displacement" in the operating model while severely testing business continuity plans of companies.

Infosys FY20 net profit was up 8 per cent to Rs 16,639 crore, while revenue up 9.8 per cent to Rs 90,791 crore from last fiscal. The company has declared a final dividend of Rs 9.50 per share. 

Few employees globally tested positive for COVID-19, undertaken contact tracing: Infosys

Infosys on Monday said a few of its employees globally have tested positive for COVID-19, and the company has undertaken contact tracing measures to identify colleagues, if any, who interacted with them, in order to ensure they are appropriately quarantined.

"A few Infosys employees across the world have tested positive for COVID-19. The company is in touch with them and their families to provide active and continuous support to help them through the rest and recovery.

"Infosys has also undertaken contact tracing measures to identify colleagues, if any, who have interacted with them and ensuring that they are appropriately quarantined," Infosys said in a statement.

The company said with lockdowns effective in several parts of the world, 93 per cent of the Infosys global workforce is now working from home.

Infosys is approaching plans in the weeks ahead "with cautious optimism", while carefully monitoring advisories and adapting tactics to policies and injunctions in the cities, states and countries that it operates in.

"Infosys has completed scenario-planning for when its employees, in incremental batches, will return to work out of its global offices, and client offices, while adhering to the social distancing prescriptions for workplaces and strictly as per local regulatory advisories. Employee safety will not be compromised even as the company relies on project requirements to drive the on-premise and remote staffing mix," it said.

Infosys said it will honour the job offers it has extended to the markets, in order to enhance the skill-sets it can bring to recovery-focused client environments.