IT major Infosys Ltd, on Thursday, reported an 11 per cent increase in second-quarter profit to Rs 6,021 crore, beating street estimates.
The company said said it now expects revenue growth of 15-16 per cent for the financial year to March, which is higher than the 14%-16 per cent increase it forecast in July.
“Operating margins in Q2 expanded sequentially by 150 bps, helped by our operational rigor. While supply side challenges are gradually abating as reflected in the reducing attrition rates, they continue to exert pressure on our cost structure,” the company said in a statement.
Infosys, meanwhile, also announced share buyback amounting to Rs 9,300 crore, at a price not exceeding Rs 1,850 per share.
The company said the board in its meeting held today approved:
“• Buyback of equity shares, from the open market route, amounting to ₹9,300 crore (maximum buyback size, excluding buyback tax) at a price not exceeding ₹1,850 per share (maximum buyback price), subject to shareholders' approval.
• Interim dividend of ₹16.50 per share vs. FY 22 interim dividend of ₹15. The total amount of interim dividend will be app. ₹6,940 crore.”
“In line with the capital allocation policy, the Board has announced an interim dividend of ₹16.50 per share, an increase of 10 per cent over FY 22 interim dividend and an open market share buyback of ₹9,300 crores,” chief financial officer Nilanjan Roy said.
