Infosys Q2 net up; to pay special dividend at Rs 30

Infosys Technologies reported revenues of Rs 6,947 crore for the quarter ended September 30, registering a growth of 12.1 per cent over the previous quarter.

The tech major's net profit after tax was at Rs 1,737 crore for the second quarter, up 16.7 per cent over the Q1. The earning per share Rs 30.41 for Q2; QoQ growth was 16.7 per cent.

The company also proposed a special dividend of Rs 30 per equity share to celebrate its 30th anniversary. This is besides the proposed interim dividend of Rs 10 per equity share on the face value of Rs 5 each.

The record date for the payment of dividend is October 22, 2010.

Infosys said that 27 clients were added during the quarter by it and its subsidiaries.

There was a gross addition of 14,264 employees (net addition of 7,646) for the quarter by Infosys and its subsidiaries.

The company now has 122,468 employees as on September 30.

. . . 

"Though the economic environment continues to be challenging, we have leveraged our client relationships, solutions and investments to grow faster in this quarter," said S Gopalakrishnan, CEO and managing director, Infosys Technologies, in a statement.

"There are significant drivers for investment in Information Technology since any transformation program to 'build tomorrow's enterprises' requires these investments to be made. We are partnering with our clients on these initiatives."

Business outlook

For the quarter ending December 31, 2010, Infosys made the following observations:

Revenues are expected to be in the range of Rs 6,884 crore and Rs 6,953 crore; YoY growth of 19.9% to 21.1%.

Earnings per share (EPS) is expected to be in the range of Rs 29.37 and Rs 29.89; YoY growth of 7.5% to 9.4%.

. . . 

Infosys said in its business outlook for the fiscal year ending March 31, 2011:

Revenues are expected to be in the range of Rs 26,951 crore and Rs 27,165 crore; YoY growth of 18.5% to 19.4%

Earnings per share (EPS) is expected to be in the range of Rs 115.07 and Rs 117.07; YoY growth of 5.5% to 7.4%.

Human resources

During the quarter, Infosys and its subsidiaries added 14,264 employees (gross). The net addition during the quarter was 7,646.

"We have seen record hiring this quarter and attrition has decreased," said T V Mohandas Pai, member of the board and head, HRD and education & research, Infosys. "Our new career architecture is showing positive results."

. . . 

Process Innovation

During the second quarter, Infosys applied for 18 patent applications in India and the United States.

With this, Infosys has an aggregate of 256 patent applications (pending) in India and the US and has been granted 15 patents by the United States Patent and Trademark Office.

Expansion of services and significant projects

In a media statement, the company said: "We continue to expand our offerings, enabling our clients' transformations, managing their operations and accelerating their innovations. We invested in research in new lines of products and services which have been successfully adopted and implemented by our clients."

. . . 

Awards and recognition

In recognition of the company's management and strategic planning practice, Infosys was given the 2010 Force of Ideas award by the Corporate Executive Board, Washington D.C.

The company also won the North America Oracle Titan Award for 'Outstanding Customer Solutions by a Leading Partner' during Oracle OpenWorld 2010.

It received another Titan Award for the successful implementation of Oracle Warehouse Management System for Cummins Inc.

The award for the Best ITSM (IT Service Management) Project of the Year was awarded to Telstra and Infosys by itSMF Australia.