Best of all, though, was growth in the all-important category of free cash flow. Infosys generated $1.1 billion in cash profits in Q1, an increase of 57% over one year ago -- and 43% better than reported net income. And the near-term news looks pretty propitious as well. Turning to guidance, Infosys guided for stronger growth in sales, up 3% or even 4% this year, with operating margins continuing to range from 20% to 22% -- so roughly equal to Q1. This implies that earnings growth this year should be respec ...

Financial Data and Key Metrics - Revenue for Q1 grew 3.6% sequentially and 2.5% year-on-year in constant currency terms, reaching $4.7 billion [23][38] - Operating margin improved by 1% sequentially to 21.1%, driven by a 1.4% improvement in gross margins [38] - Free cash flow reached a record high of $1.1 billion, a 29% sequential increase [31] - Employee attrition rate remained stable at 12.7% [26] - Return on equity increased sequentially to 33.6% [31] Business Line Performance - Financial services returned to positive sequential growth after six quarters, with 7.9% growth in constant currency terms [15][23] - Manufacturing saw broad-based growth across geographies and sub-verticals like industrial, automotive, and aerospace [40] - Hi-Tech vertical remains soft, with no clear trigger for improvement [2][52] - Retail sector continues to face uncertainties, with clients focusing on cost takeouts to fund business transformation [41] Market Performance - In the US, financial services showed early signs of recovery, particularly in mortgages, capital markets, and card payments [39][46] - Europe saw mixed performance, with strong traction in Nordic countries and Germany, but challenges in other regions [172] - Large deal TCV reached $4.1 billion, with 58% being net new [15][33] Company Strategy and Industry Competition - The company is positioning itself as a digital-first, cloud-first, and AI-first brand, with strong differentiation in generative AI and cost efficiency [9][10] - The acquisition of in-tech is expected to accelerate growth in the engineering segment [35] - Project Maximus continues to drive margin improvement through value-based selling, lean automation, and efficient pyramid structures [13][43] Management Commentary on Operating Environment and Future Outlook - Management highlighted early signs of recovery in US financial services but remains cautious about the broader discretionary spending environment [10][34] - The company revised its revenue growth guidance for the full financial year to 3% to 4% in constant currency, while maintaining operating margin guidance at 20% to 22% [11][52] - Generative AI is seen as a key area of focus, with strong client engagement and early project wins [26][27] Other Important Information - The company closed 34 large deals during the quarter, with significant contributions from retail, communication, and financial services [33] - Utilization rate increased to 85.3%, and unbilled revenues dropped to $1.7 billion [17] - The company launched Aster, a marketing suite of AI-amplified solutions, to enhance marketing efficiency and performance [28] Q&A Session Summary Question: What is driving the improvement in financial services? - The improvement in financial services is driven by early signs of recovery in areas like mortgages, capital markets, and card payments in the US [46] Question: How is the in-tech acquisition impacting margins? - The in-tech acquisition is relatively small and is not expected to have a material impact on margins, but it comes with healthy margins and potential synergies [84] Question: What are the key levers for margin improvement going forward? - Key levers include value-based selling, lean automation, and efficient pyramid structures, with potential headwinds from wage hikes and large deal ramp-ups [43][112] Question: How is generative AI impacting delivery productivity? - Generative AI is improving productivity in areas like software development and process optimization, with benefits also seen in customer service [116] Question: What is the outlook for retail and Hi-Tech verticals? - The retail sector remains under pressure, with clients focusing on cost takeouts, while the Hi-Tech vertical continues to face challenges with no clear trigger for improvement [41][52] Question: How is Europe performing? - Europe shows mixed performance, with strong traction in Nordic countries and Germany, but challenges in other regions due to high interest rates and geopolitical conflicts [172]

Revenue guidance at 3%-4% and operating margin guidance at 20%-22% Highest Free Cash Flow at $1.1 billion; Record number of large deals at 34 with $4.1 billion TCV BENGALURU, India, July 18, 2024 /PRNewswire/ -- Infosys (NSE: INFY) (BSE: INFY) (NYSE: INFY), a global leader in next-generation digital services and consulting, delivered $4,714 million in Q1 revenues with a sequential growth of 3.6% and year on year growth of 2.5% in constant currency. Operating margin was at 21.1%, a sequential expansion of 1% ...

The move to cloud-based ERP will modernize Sector Alarm's financial and business operations, providing streamlined processes, enhanced business insights and seamless integration with its Customer Relationship Management platform. Infosys' digital transformation capabilities, combined with the robust Microsoft platform, will enable Sector Alarm to optimize its finances, improve customer retention and acquisition, and enhance the overall customer and employee experience. The implementation will be phased acro ...

Leading European security provider to leverage Infosys Cobalt to modernize core systems across eight countries Jasmeet Singh, EVP and Global Head of Manufacturing, Infosys, said, "This collaboration with Sector Alarm is a testament to Infosys' expertise in driving digital transformation for high-growth organizations. By leveraging cloud-based ERP and CRM solutions and our long-term partnership with Microsoft, we are looking forward to empowering Sector Alarm with a robust IT platform to achieve their ambiti ...

Core Insights - Infosys has entered a strategic five-year collaboration with Sector Alarm to transform their core enterprise business systems on the cloud, specifically migrating to Microsoft Dynamics 365 Finance and Operations [5][6] - The collaboration aims to modernize Sector Alarm's financial and business operating models, streamline finances, and integrate with existing CRM platforms [5][6] - The implementation will occur in phases across eight European countries, including Norway, Sweden, Finland, Italy, and France [5] Company Overview - Infosys is recognized as a global leader in next-generation digital services and consulting, with over 300,000 employees and operations in more than 56 countries [10] - The company specializes in digital transformation powered by cloud and AI, focusing on enhancing human potential and driving continuous improvement [10] Strategic Importance - The partnership with Sector Alarm is seen as a significant step for Infosys to establish itself as a trusted partner in the European security systems market [6] - Sector Alarm's Chief Digital Transformation Officer emphasized the importance of this collaboration for achieving scalability and operational efficiency [9]

The Hon. Secretary of the DDEC, Manuel Cidre, highlighting the growth potential of the company expanding in Puerto Rico, said, "This second Infosys center will continue to provide services to local and global clients in the United States, Europe, the Middle East, and Africa, with highly qualified professionals who work at the forefront of innovation and technology. It is another step forward towards accelerating growth across industries in Puerto Rico, which will strengthen its position in the global market ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F (Mark One) ☐ Registration statement pursuant to Section 12(b) or (g) of the Securities Exchange Act of 1934 OR ☒ Annual Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended March 31, 2024 OR For the transition period from __________ to _________ OR ☐ Shell Company Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of event requiring this shell c ...

BENGALURU, India , June 20, 2024 /PRNewswire/ -- Infosys (NSE: INFY) (BSE: INFY) (NYSE: INFY), a global leader in next-generation digital services and consulting, today announced that it has been invited to ring The Opening Bell® at the New York Stock Exchange (NYSE) tomorrow, June 21, 2024. This honor commemorates Infosys' 25 years of being listed in the US. To mark this milestone, Salil Parekh, Chief Executive Officer along with Jayesh Sanghrajka, Chief Financial Officer, and other key leaders from Infosy ...

400+ assets and an ecosystem of 50+ partners delivering brand and business outcomes for leading B2C and B2B brands worldwide Transformative generative AI-amplified marketing capabilities enabled by Infosys Topaz™ Deliver Engaging Brand Experiences: Infosys Aster™ delivers lasting connections with its human experience design approach amplified by the power of technology. Utilizing advanced technologies like real-time Unreal Engine 3D, AR/VR/XR, and digital twin CGI modeling, it delivers immersive experiences ...