Infosys disappoints with sales forecast

Summary:Infosys has lowered its guidance as it reports its first quarter results.

IT consulting firm, Infosys, has recorded US$1752 million in revenue in the first quarter of its 2013 financial year.

That's a 4.8 per cent growth, year-on-year. However the company has also lowered its guidance for the 2013 fiscal year, from the 8 to 10 per cent growth in revenue it had been expecting to just 5 per cent, to reach US$7.343 billion. The company's shares took a hit after the announcement, sinking up to 10 per cent.

Net income after tax was up 8.3 per cent, to US$416 million. Infosys also hired 1157 staff and added 51 clients in the first quarter. The IT consulting firm's headcount, as of 30 June, was 151,151.

The IT firm has put a lot of faith in Infosys 3.0, the business transformation roadmap the company introduced early last year. It wants to move from being a technology provider to a business solutions provider.

"Our focus on Infosys 3.0 and building tomorrow's enterprise, coupled with disciplined execution will help us deliver high quality growth, despite challenges seen in the global economic situation, resulting in slower IT spends by large corporations," Infosys CEO SD Shibulal said in a statement.

Topics: IT Priorities

About

Spandas forayed into tech journalism in 2009 as a fresh university graduate spurring her passion for all things tech. Based in Australia, Spandas covers enterprise and business IT.

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Related Stories

The best of ZDNet, delivered

You have been successfully signed up. To sign up for more newsletters or to manage your account, visit the Newsletter Subscription Center.
Subscription failed.