Infosys CEO & MD Salil Parekh.
India’s second largest IT service provider Infosys is looking at double digit growth at the back of large deal wins and demand for digital in FY22. The company has ramped up fresher hiring to 24,000 next fiscal.
“We see next year as a double digit growth year from everything that we are seeing the market. We have tremendous amount of positive news in terms of large deal wins and the momentum that we have built,” said Salil Parekh, CEO, Infosys, during the Q3 results announcement.
This is also one of the reasons the company has ramped up its fresher hiring in FY22 from 15,000 to 24,000. “In this quarter, we have seen tremendous growth. Given the growth momentum we are seeing and high utilization…attrition can possibly pick up. Considering all that we have increased the fresher hiring to 24,000,” said UB Pravin Rao, COO, Infosys.
For the quarter ending December 2020, the IT major’s large deal signing stood at $7.13 billion, an all time high deal wins, 73 percent of them being net new. Its largest deal wins include Vanguard, Daimler and Rolls Royce.
Its revenue grew 8.4 percent to $3.516 billion in the quarter. Its digital revenues stood at 50.1 percent. The company has also increased its revenue guidance to 4.5-5 percent in constant currency.
For Infosys, this is the strongest Q3 in 8 years in terms of growth in constant currency on sequential basis. Its larger rival TCS too reported its strongest Q3 quarter in the last nine years.
All these are driving the company confidence to reach the double digit growth.
At the end of the quarter, the total employee count stood at 249, 312 from 240,208 in the quarter ending September. Attrition stood at 10 percent, up from 7.8 percent in the previous quarter.
Offshoring continue to increase. Offshoring efforts increased to 74.8 percent in Q3 FY21 from 73.9 percent in Q2 FY21 and 72.3 percent in Q3 FY20.