IT services company Infosys announced financial results for the fourth quarter and year ended March 31, 2018.
ALSO READ: Huawei Cloud Campus webinar — join and win gifts
Infosys in fiscal 2017-18
# Revenues of $10,939 million (+7.2%)
# Operating profit of $2,659 million (+5.5%)
# Net profit of $2,486 million (+16.2%)
Infosys said its revenue from digital business was $2.79 billion, representing 25.5 percent of total revenues in fiscal 2018. Infosys said digital revenues grew sequentially by 3.6 percent in constant currency terms.
Infosys fiscal 2018 revenues grew 7.2 percent in USD terms, 5.8 percent in constant currency terms, with operating margins at 24.3 percent.
Q4 revenues of Infosys grew 5.6 percent in INR terms and 6.4 percent in constant currency terms.
Q4 operating margin of Infosys improved to 24.7 percent from 24.3 percent in Q3 18.
Infosys has provided revenue guidance in constant currency at 6 percent-8 percent with operating margin of 22 percent-24 percent in fiscal 2019.
Infosys CEO Salil Parekh said: “We will execute our strategy around the four pillars of scaling our agile digital business which is today $2.79 billion in revenue, energizing our client’s core technology landscape via AI and automation, re-skilling our employees, and expanding our localization in markets such as US, Europe, and Australia.”
Infosys to sell
Infosys has also decided to sell Kallidus and Skava. The Bangalore-based company expects to complete the sale by March 2019. Infosys has reclassified assets amounting to INR 2,060 crore ($316 million) and liabilities amounting to INR 324 crore ($50 million) in respect of the disposal group.
Infosys former CEO Vishal Sikka was the main person behind the acqusisiton of Skava for $120 million.
Infosys today said it will book an impairment loss of INR 118 crore ($18 million) in respect of Panaya for the quarter and year ended March 31, 2018. Infosys will also recognize write down of INR 589 crore ($90 million) towards the investment of Panaya.
Infosys salary hike
Infosys has rolled out salary hikes ranging from “mid-single digit to high-single digit” for a majority of its employees, effective from April onwards.
“We are also pleased to announce compensation revision for 85 per cent of our employees starting April. For rest of the employees, primarily middle management and senior management, it will be effective July 1. This is for both onsite and offshore,” Infosys COO Pravin Rao said.
Infosys said majority of employees in India will get raises from mid-single digit to high-single digit.
Infosys had a total headcount of 204,107 people at the end of March 31, 2018. While the gross addition stood at 12,329 people, the net addition was of 2,416 employees. The attrition increased to 16.6 per cent as compared to 15.8 per cent in the previous quarter.
Infosys deal
Infosys announced its agreement to acquire WONGDOODY, a US-based creative and consumer insights agency.
The move strengthens Infosys’ creative, branding and customer experience capabilities, and demonstrates its continued commitment to bringing innovative thinking, talent and creativity to clients around the world.
WONGDOODY, a creative agency with studios in Seattle and Los Angeles, brings to Infosys globally recognized creative talent and marketing and brand engagement expertise.
“We are focused on partnering with global brands and CMOs to help them on their digital transformation journeys,” said Ravi Kumar S, president and deputy COO of Infosys.
Infosys Digital Studios are located in Bengaluru, Pune, New York, London, and Melbourne..
Infosys had earlier announced the acquisition of Brilliant Basics, a London-based digital design and customer experience innovator with clients across Europe & Middle East.
Baburajan K
The post Infosys adds $2.8 bn digitial revenue, to sell Kallidus and Skava appeared first on InfotechLead.