Infosys Limited (NYSE: INFY) reported first quarter financial results. Revenues fell year over year by 0.3% in USD as it grew 1.5% in constant currency. Operating Margin reached 22.7%. Free cash flow amounted to USD 728 Million, displaying year on year growth of 50.1%. Operating profit reached USD 708 Million.
“Our Q1 results, especially growth, are a clear testimony to the relevance of our service offerings and deep understanding of clients’ business priorities which is resonating with them in these times. It also demonstrates the remarkable dedication of our employees and leadership during this period”, said Salil Parekh, CEO and MD. “Our confidence and visibility for the rest of the year is improving driven by our Q1 performance and large deal wins.”
“During the last few months, we took multiple steps aimed at employee safety and well-being while providing seamless services to our clients. Clients have recognized us for the speed, security and effectiveness of our remote enablement efforts”, said Pravin Rao, COO. “The strength and diversity of our portfolio was evident in good revenue performance, sizeable large deal wins, high focus on operating metrics and significant decline in attrition.”
“Operating margin expanded to 22.7% driven by preemptive deployment of our strategic cost levers along with tactical opportunities triggered by the COVID situation”, said Nilanjan Roy, CFO. “Collections were robust and capex was focused, which led to 50% year on year increase in Free Cash Flows. Our liquid and debt free Balance Sheet is a huge source of strength in these times.”