Top 3 Key takeaways from Infosys Q3 results


Investors will be keenly watching the IT stocks performance as its performance will determine whether Sensex and NIFTY can deliver a double digit return in 2017 or not.

The top three key highlights from the Q3 earnings for Infosys were: –

Guidance slightly down along with the attrition rate: –

Vishal Sikka revised the revenue guidance from 8-9% to 8.4-8.8% in constant terms for the financial year which translates into a revenue guidance of 7.2-7.6% in dollar terms.

The attrition rates for Infosys declined to 14.9% on a standalone basis and to 18.4% levels on consolidated basis in the October-December quarter. The attrition figures are lower when compared to the quarter ended September 30,2016.

Revenues decline & Net profit jumps: The net profit improved for the quarter even as the revenues dipped.

The bottom line jumped 2.83% QoQ basis to Rs 3,708 cr from Rs 3,606 cr.

Operating profit grows:

One of the most important figures in the result announcement, the operating profits
rose to Rs 5,154 cr for the quarter against Rs 5,069 cr QoQ.

Stock View:

Infosys Ltd ended at Rs 975.15, down by Rs 24.9 or 2.49% from its previous closing of Rs 1000.05 on the BSE.

The scrip opened at Rs 1026.35 and touched a high and low of Rs 1045 and Rs 964 respectively. A total of 16904681(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs 223986.56 crore.

The BSE group ‘A’ stock of face value Rs 5 touched a 52 week high of Rs 1278 on 03-Jun-2016 and a 52 week low of Rs 900.3 on 09-Nov-2016. Last one week high and low of the scrip stood at Rs 1045 and Rs 964 respectively.

The promoters holding in the company stood at 12.75 % while Institutions and Non-Institutions held 57.57 % and 29.19 % respectively.