Infosys Technologies Limited
) reported its second quarter fiscal 2013 earnings results, with
earnings per ADS from continuing operations of 75 cents beating the
Zacks Consensus Estimate by a penny. Earnings grew 4.2% year over
year, led by growth in all areas and across the customer base.
Total revenue for the quarter was $1.8 billion, up 2.9% year
over year. The company saw growth in retail and manufacturing and
also in banking, insurance and financial services.
The company delivered a modest quarter in terms of client
additions. Infosys added 39 new clients during the quarter. The
company's cloud based offerings attained good momentum during the
quarter. During the reported quarter, the company completed
approximately 170 cloud based projects and also received 20 new
contracts for the same.
The company recorded an operating profit of $472 million
compared with $490 million in the prior-year period. Net profit
after tax was $431 million for the quarter, which was up 5% year
Infosys maintains a strong liquidity position and had cash &
cash equivalents (including investments in available-for-sale
financial assets, certificates of deposits and government bonds) of
4.3 billion as of September 30, 2012 compared with $3.8
billion as of September 30, 2011.
Driven by the modest performance of the company in the reported
quarter, earnings per ADS are expected to be $2.97 compared with
$3.03 projected earlier.
For the fiscal year ending March 31, 2013, the company expects
revenue to be $7.34 billion. Infosys currently maintains a Zacks #3
Rank, which currently implies a short-term Hold rating on the
INFOSYS LTD (INFY): Free Stock Analysis Report
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