![]() The IT major has guided for revenue growth of 4-7 percent in FY24, making this the first time since FY18 the company’s revenue will be in this guided range. Revenue in Q4FY23 came in at $4,554 million, a decline of 2.2 percent in reported terms and 3.2 percent in constant currency terms. Infosys had missed its guidance for the year in revenue growth after it reported the numbers for Q4, posting a full-year growth of 15.4 percent when its guidance was at 16-16.5 percent. Queries sent to Infosys were unanswered till the time of publishing. “We have always been a resilient organization, responding to market disruptions effectively and striving to move ahead,” it told employees. ![]() The company said in its email to employees that it must remain vigilant to changes in the market, and must see the current climate as an opportunity to “rally as a group and remain committed to navigating the changing business landscape”. “While FY23 was a year of strong performance overall, the quarter that went by was impacted by a volatile market and unforeseen events,” an email sent to employees, as seen by Moneycontrol, said. In Q1FY23, Infosys had lowered variable payout to 70 percent, which was then reduced to 65 percent in Q2. While the average payout is 60 percent, an employee’s final variable payout will depend on their unit or department’s guidelines, and varies for different pay grades and departments. The payout will be given along with the salary for May. ![]() The buyback commenced on June 25 and closed on September 14 of 2021.Infosys’ average variable payout for Q4FY23 has been reduced to 60 percent at an organisation level, a sign of the increasing stress on the IT industry in an increasingly uncertain macro environment particularly in the company’s key markets, and the impact of the banking contagion in the fourth quarter. Last year, Infosys launched a share buyback plan worth ₹9,200 crore. Also, Infosys stock price had even reached the maximum buyback price during the previous two buybacks. Jefferies also highlighted that during previous buybacks, Infosys shares climbed by 12-21% from the announcement to the buyback's closure and outperformed Nifty IT on 2 of the past 3 occasions. ![]() The company has fixed October 28 as the record date for the dividend, while the payment date is set on November 10, 2022.Įarlier, for Infosys, Jefferies had said that the buyback is expected to support Infosys' share price amidst uncertain macro. Further, its consolidated cash and investments stood at ₹38,921 crore in Q2FY23 against ₹34,854 crore in Q1FY22.Īpart from the buyback, the Infosys board also approved an interim dividend of ₹16.50 per equity share. The buyback is subject to the approval of the members of Infosys by way of a special resolution and all other applicable statutory/ regulatory approvals.Īs of September 30, 2022, Infosys has a free cash flow of ₹4,752 crore compared to ₹5,106 crore in Q1FY23. Lastly, Indian Public, corporates, and others (2,844,320 shareholders) hold a 25.92% stake in the company. NRIs (47,373 shareholders) and Foreign Nationals and Overseas Corporate Bodies (12 shareholders) hold 0.82% and 0.04% of the company. While Indian financial institutions/ banks/ mutual funds (58 shareholders) hold 642,817,041 equity shares or 15.27% in Infosys.įurther, FPIs or FIIs which have a total of 1,421 shareholders hold a 31.31% stake in the company, while ADRs (1 shareholder) hold 13.53%. Also, the company would purchase a minimum of 25,135,135 equity shares under the buyback.Īs of September 30, 2022, Infosys promoter and promoter group (25 shareholders) hold 551,682,338 equity shares or 13.11% of Infosys. Notably, if the equity shares are bought back at the price below the maximum buyback price which is ₹1,850 apiece, then the actual number of equity shares bought back could exceed the maximum buy shares but will always be subject to the maximum buyback size of ₹9,300 crore.Īs per the filing, Infosys shall utilise at least 50% of the amount earmarked as the maximum buyback size which is aggregated to ₹4,650 crore. Under the proposed buyback, the maximum number of shares to be bought back would be 50,270,270 equity shares. Also, Infosys has allowed American Depositary Shares (“ADS") to convert their ADS into equity shares and subsequently can sell such shares on the Indian exchanges during the buyback period. The buyback will be carried through the open market route. On BSE, Infosys shares closed at ₹1,419.75 apiece down by 0.64%. This floor price is at a premium from the current market price. Infosys board has also approved a buyback price not exceeding ₹1,850 per equity share.
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