Prabhudas Lilladher has come out with its second quarter (July-September) earnings estimates for the technology sector. The brokerage house expects Infosys to report a 11.3 percent growth quarter-on-quarter (up 11.5 percent year-on-year) in net profit at Rs 2,642 crore.
Revenues are expected to increase by 12.4 percent Q-o-Q (up 28.5 percent Y-o-Y) to Rs 12,662.7 crore, according to Prabhudas Lilladher. Earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to rise by 14.6 percent Q-o-Q (up 19 percent Y-o-Y) to Rs 3,418.9 crore. EBITDA margin or operating profit margin is likely to be at 27 percent in September quarter as against 26.5 percent in March quarter and 29.1 percent in a year ago period. Prabhudas Lilladher's Report on Infosys: We expect Infosys to report revenue growth of 2.3 percent in USD terms, with volume growth of 3.3 percent Q-o-Q for Q2FY14, along with realization erosion of 0.2 percent Q-o-Q. We expect cross-currency to have a negative impact of 0.6 percent Q-o-Q. We expect the margins to expand by 52bps for the quarter due to wage hike and pricing decline. We expect FY14 USD revenue guidance to be retained at 6-10 percent Y-o-Y. There is likelihood of some commentary on road-map for growth acceleration.Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
