Infosys beats Street
Indian software services firm rings in ahead of analyst expectations
October 10, 2000: 7:07 a.m. ET
BANGALORE, India (Reuters) - India's leading software services firm Infosys Technologies Ltd on Tuesday beat market expectations with a 122.3 percent rise in net profit for the first half of it's 2001 fiscal year.
The firm's share price rose 1.1 percent or 76.70 rupees to 7,475.30 rupees in early trade, while the benchmark Bombay index was up 0.20 percent. But after the news was digested, the price steadied and was down 8.55 at 7,390.00.
The firm, with the heaviest weightage in the benchmark Bombay index, unveiled a net profit 2.81 billion rupees ($60.9 million) against 1.26 billion in the year-ago period.
Diluted earnings per share rose to 40.21 rupees from 19.04 in the corresponding period last year.
Consensus estimates in a Reuters survey of nine brokerages had forecast the net profit to jump 107.7 percent to 2.62 billion rupees over the year-ago period.
The blue-chip firm was India's first company to list in the United States. InfoSys (INFY: Research, Estimates) American Depositary Receipts closed $2 up at $120 on Nasdaq on Monday.
"The results have definitely beat market expectations. The rupee depreciation would have helped," Amit Khurana, analyst at Birla Sun Life Securities said.
The company, which derives most of its income from exports, said exchange differences boosted its income by 96.8 million rupees in the second quarter against 16.5 million in the year-ago quarter.
For the half year, the gain from the rupee's depreciation was 171.0 million rupees against 97.8 million in the year-ago period.
Infosys said Tuesday said that it does not expect business to slow down in the next few quarters on the back of recent slowdown warnings by global technology leaders.
"We have a diverse basket of customers and long term relationships with our clients with a very high level of repeat business," Infosys' Managing Director Nandan Nilekani said.
Copyright 2000 Reuters All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Indian software services firm rings in ahead of analyst expectations
October 10, 2000: 7:07 a.m. ET
BANGALORE, India (Reuters) - India's leading software services firm Infosys Technologies Ltd on Tuesday beat market expectations with a 122.3 percent rise in net profit for the first half of it's 2001 fiscal year.
The firm's share price rose 1.1 percent or 76.70 rupees to 7,475.30 rupees in early trade, while the benchmark Bombay index was up 0.20 percent. But after the news was digested, the price steadied and was down 8.55 at 7,390.00.
The firm, with the heaviest weightage in the benchmark Bombay index, unveiled a net profit 2.81 billion rupees ($60.9 million) against 1.26 billion in the year-ago period.
Diluted earnings per share rose to 40.21 rupees from 19.04 in the corresponding period last year.
Consensus estimates in a Reuters survey of nine brokerages had forecast the net profit to jump 107.7 percent to 2.62 billion rupees over the year-ago period.
The blue-chip firm was India's first company to list in the United States. InfoSys (INFY: Research, Estimates) American Depositary Receipts closed $2 up at $120 on Nasdaq on Monday.
"The results have definitely beat market expectations. The rupee depreciation would have helped," Amit Khurana, analyst at Birla Sun Life Securities said.
The company, which derives most of its income from exports, said exchange differences boosted its income by 96.8 million rupees in the second quarter against 16.5 million in the year-ago quarter.
For the half year, the gain from the rupee's depreciation was 171.0 million rupees against 97.8 million in the year-ago period.
Infosys said Tuesday said that it does not expect business to slow down in the next few quarters on the back of recent slowdown warnings by global technology leaders.
"We have a diverse basket of customers and long term relationships with our clients with a very high level of repeat business," Infosys' Managing Director Nandan Nilekani said.
Copyright 2000 Reuters All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
