) has become the punching bag of choice on Wall Street as the
week comes to a close. Although it topped estimates on the EPS
front, it has taken a nosedive on its weak revenue and
The Bangalore, India-based firm posted fourth quarter EPS of
$0.77, up 3.3 percent year-over-year. It beat the Wall Street
consensus of $0.74 per share.
Fourth quarter revenue soared 18 percent to $1.91 billion, but
fell short of expectations of $1.99 billion.
Fiscal 2013 EPS grew 13 percent to $3.02, edging estimates of
Full-year revenue jumped nearly 20 percent to $7.39 billion,
but narrowly missed analysts' hopes of $7.45 billion.
Strong Growth in All Segments
Infosys hit a grand slam during the fourth quarter with strong
revenue growth in all segments.
The company's manufacturing segment grew most at 23.5 percent
during the fourth quarter and 28.2 percent in fiscal 2013. Its
retail, consumer product group, logistics, life sciences and
healthcare segment came in at a close second, climbing around 23
percent in the quarter and 24.8 percent versus fiscal 2012.
Meanwhile, the financial services and insurance segment also
saw double-digit growth, finishing up nearly 17 percent for the
quarter and 15.6 percent for the year.
Infosys' energy, utilities, communication and services segment
was the only one that didn't experience a double-digit increase
during the quarter, but still posted a solid 9.6 percent gain.
For the year, it joined all other segments with double-digit
growth, rising 12.4 percent.
On April 11, Infosys' board of directors appointed Leo Puri as
additional director. Puri is also a senior advisor at Indian
management consulting firm McKinsey & Co.
Infosys' board of directors recommended a final dividend of
$0.49 per share, subject to approval at the company's annual
meeting on June 15.
According to The Times of India
, Infosys has forecasted conservative revenue growth for fiscal
2014. While analysts projected growth as high as 12 percent, the
outsourcing magnet predicts sales will climb six to 10 percent,
as notes The Times of India.
After rising above $54 on Thursday, Infosys has tanked on word
of its weak revenue and guidance. The stock has tumbled nearly
$10 and rests at a three-month low as of this writing.
Infosys is down over 18 percent on Friday.
(c) 2013 Benzinga.com. Benzinga does not provide investment
advice. All rights reserved.
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