Indian multinational corporation Infosys has reported an 8% year-on-year rise in its net profit for the fourth quarter, reaching Rs 6,128 crore ($819 million). The company’s revenue for the period came in at Rs 27,842 crore ($3.7 billion), a 13.1% increase from the same period last year.
The growth was primarily driven by the company’s digital services, which accounted for 56.6% of its total revenue for the quarter. The company’s management also announced that they are pegging their revenue guidance for the fiscal year 2024 at 4-7%.
The management stated that they are investing in building capabilities and partnerships to expand their digital portfolio and accelerate their clients’ digital transformation journey. They are also increasing their focus on sustainability and have set a target of becoming carbon neutral by 2040.
Infosys has also announced a final dividend of Rs 15 per share and a special dividend of Rs 10 per share. The company’s cash reserves stand at Rs 52,629 crore ($7 billion) as of March 31, 2022.
The management stated that they expect the demand for their services to remain robust, despite the ongoing uncertainty in the global economy due to the pandemic. The company is also hiring aggressively, with plans to onboard around 45,000 freshers in the next fiscal year.
Infosys’ strong Q4 results reflect the company’s continued focus on digital services and investments in building capabilities to help clients with their digital transformation initiatives. This is in line with the growing demand for digital solutions across industries, especially as the COVID-19 pandemic has accelerated the pace of digital transformation.
The company’s revenue growth was driven by a strong performance in key sectors such as financial services, healthcare, and retail. The company has also been expanding its footprint in new geographies, such as Latin America, to tap into new growth opportunities.
Infosys’ management has set a revenue growth target of 12-14% for the current fiscal year, which is higher than the industry average. The company is also expected to benefit from the shift towards hybrid work models and increased demand for cloud and cybersecurity services.
The company’s commitment to sustainability is also noteworthy, as it aims to become carbon neutral by 2040. Infosys has been investing in renewable energy, energy efficiency, and sustainable infrastructure to achieve this goal.
Overall, Infosys’ strong financial performance and strategic investments position the company well to capitalize on the growing demand for digital solutions and services, and to continue to deliver value to its stakeholders.
