Infosys Q4 Results: Net profit up 12% at Rs 5,686 crore

India's second largest IT company Infosys has announced its fourth-quarter results on Wednesday.

The consolidated net profit rose 12% to Rs 5,686 crore for the March quarter. It was Rs 5,076 crore in corresponding quarter of the pervious fiscal.

The revenue for the period under review comes in at Rs 32,276 crore, up 20 per cent year-on-year and 1.2 percent quarter-on-quarter.

The company's revenue from operations rose 23% to Rs 32,276 crore in the fourth quarter as against Rs 26,311 crore a year ago.

The operating margin in fourth quarter declined 3 per cent to 21.5 per cent as compared to the corresponding period in the past year.

The company upgraded its revenue guidance to 19.5 per cent -20 per cent for FY22. 

On sequential basis, the net profit declined 2.1% while revenue rose 1.3%. 

The company said it sees FY23 revenue growth of 13%-15% in constant currency and operating margin of 21%-23% in FY23.

Digital revenues came in at 59.2 percent of total revenues, which marks a year-on-year growth of 38.8 percent., Infosys said.

The company announced that it will pay Rs 16 per share as the final dividend.

"Sustained momentum in FY22, large deal wins and robust deal pipeline give us comfort to provide guidance of 13-15% in FY23. We Will scale cloud capacities further, expand automation and strengthen employee value proposition," Infosys CEO Salil Parekh said. 

We will scale talent globally, invest in employees and accelerate innovation and digital capabilities to capitalize on the expanding market opportunity,” he added.

Analysts were expecting Infosys to guide for double-digit revenue growth for FY23 while expecting the IT major to retain its Ebit margin guidance in the 22-24 per cent band.

Infosys' consolidated net profit for the quarter ending December had climbed 11.8 per cent to Rs 5,809 crore from Rs 5,197 crore in the corresponding quarter last year. Its revenue from operations increased 22.91 per cent YoY to Rs 31,867 crore.The company had upgraded its revenue guidance to 19.5 per cent -20 per cent for FY22. 

Infosys on Wednesday said IT services voluntary attrition rate rose to 27.7% as compared to 25.5% in the previous quarter and 10.9% in the year-ago quarter. It added nearly 22,000 employees during the fourth quarter as total headcount stood at 3,14,015 from 2,92,067 in the December 2021 quarter.

The share price of India's second-largest IT firm Infosys was trading 0.42 per cent higher in the afternoon session on Wednesday ahead of the fourth quarter earning announcements.

Trading in Infosys shares started on a positive note at Rs 1759.45 at the BSE against its previous day's close at ₹ 1741.45.

At 2.09 pm, Infosys was trading 0.42 per cent higher at Rs 1748.70.

Infosys said it is moving its business out of Russia and is pursuing alternate options amid Ukraine conflict.