IT behemoth Infosys on Wednesday announced the results for the third quarter of FY 22 ended December 31, registering 11.8 per cent year-on-year rise in its consolidated net profit to Rs 5,809 crore from Rs 5,197 crore reported in the corresponding quarter of the previous year.
Accordingly, the IT firm increased its revenue growth guidance for FY22 to 19.5-20 per cent.
Infosys’ revenue grew 22.9 per cent to Rs 31,867 crore in the quarter ended December 2021 from Rs 22,927 crore a year ago.
Infosys delivered a strong Q3 performance with sequential growth of 7 per cent in a seasonally weak quarter and a year-on-year (YoY) growth of 21.5 per cent in constant currency.
Growth remained broad-based and dealt with momentum robust, with digital transformation rapidly scaling across verticals and regions. Large deal wins accelerated with total contract value (TCV) of $2.53 billion in Q3.
Operating margin for the quarter was healthy at 23.5 per cent, with free cash flow conversion at 92.7 per cent.
Talent strategy continued to be a key focus area marked by efforts to further strengthen employee skilling and well-being while nurturing the workforce to fulfil client requirements, the company said.
“Our strong performance and market share gains are a testament to the enormous confidence our clients have in us to help them in their digital transformation. This stems from four years of sustained strategic focus on areas of relevance for our clients in digital and Cloud, continued re-skilling of our people, and deep relationships of trust that our clients have with us.
“This is reflected in an upgrade in our revenue guidance to 19.5 per cent – 20.0 per cent for FY22. We expect the healthy technology spend to continue with large enterprises progressing on their digital transformations,” said Salil Parekh, CEO and MD, Infosys.
“I am immensely proud of the relentless commitment of our employees during these challenging times and grateful for their extraordinary efforts in delivering success for our clients,” he added.
“Despite the cost escalations driven primarily by supply side challenges, we delivered another quarter of healthy margins, with improved cost optimisation, continued operating leverage and a stable pricing environment,” said Nilanjan Roy, Chief Financial Officer, Infosys.
“We continue to prioritise investments in talent acquisition and development and have further increased our global graduate hiring programme to over 55,000 for FY22 to support our growth ambitions,” he added.