The American depositary receipts (ADRs) of Infosys Ltd were trading 9.5 percent higher in opening trade on NYSE on July 18 after the IT services firm beat quarterly revenue estimates, helped by a recovery in demand from clients in its financial services and manufacturing verticals.
At 9:35 am Eastern Daylight Time, Infosys' ADRs were trading 9.5 percent higher at $22.5 apiece.
The IT firm reported a 7 percent rise in first quarter net profit and raised its growth outlook for the current financial year.
The consolidated net profit of Infosys increased to Rs 6,368 crore in the April-June quarter, compared to Rs 5,945 crore in the same period a year back, according to a stock exchange filing by the company.
Quarter-on-quarter, the company’s net profit fell 20 percent from Rs 7,969 crore in the January-March quarter.
For the current fiscal year, it raised revenue growth guidance to 3-4 percent in constant currency terms.
“We had an excellent start to FY25 with strong and broad-based growth, operating margin expansion, robust large deals, and highest ever cash generation. This is a testimony to our differentiated service offerings, enormous client trust, and relentless execution,” said Salil Parekh, CEO and MD.
“With our focused approach for generative AI for enterprises working with their data sets on a cloud foundation, we have strong traction with our clients. This is building on our Topaz and Cobalt capabilities,” Parekh added.
On July 18, Infosys shares on BSE closed 2.2 percent higher at Rs 1,764 apiece.
Large order bookings - or contract wins above $50 million - came in at $4.1 billion for the quarter as against $4.5 billion in the fourth quarter and $2.3 billion a year ago.
The company also said it plans to hire 15,000-20,000 fresh graduates in the current fiscal year.
"We had a very strong first quarter that is specifically focussed on volumes of financial services in the US," Parekh said at a post-earnings conference.
"Large deals in the quarter also gave us more visibility of what we are seeing for the full year."
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