Infy’s results and related thoughts…

Infosys published its audited financial results for the JAS quarter in the TOI yesterday. For a lack of anything better to do, I sat down a little while ago to have a look at that.

Infy’s income for the quarter was Rs. 1,134 crores. Their profit after tax – Rs. 300 crores. Financial services continues to be the single largest segment – more than double any other industry segment. 35% of Infy’s revenues come from financial services. Their capital market and other investment operations earned them a neat Rs. 45 crores. Their marketing spend for the quarter was Rs. 80 crores which is about 7% of their revenues.


They have Rs. 3,300 crores in reserves. That is $750 million.

Their income from Domestic software services and products was Rs. 18.7 crores. Their income from overseas business is Rs. 1,115.9 crores. Which means about 1.5% of Infosys’s revenues comes from the Indian market.

Infosys’s R&D budget is zero. (or maybe they put it under the general and administration expenses line?)

And on a related note,

Market compulsions & common sense irrespective it is very unfortunate that the Indian software majors (and nearly all the minors as well) have chosen to follow the EDS & Accenture model.

Despite the enterprising and innovative societal and university setting in the US, many economists believe the dollar is an artificially inflated currency, and we have a fundamentally greed driven capital market environment and the military might/economic bullying of the US to thank for that.

But I only hope all the nay sayers who have been predicting the demise of the dollar are wrong. (Or at least aren’t proved right for the next 10 years). Irrespective, there’s a going to be a long unemployment line in the IT industry in about 10 years time.

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Posted on October 12, 2003, in Uncategorized. Bookmark the permalink. 1 Comment.

  1. Good analysis! And I wouldn’t bet too much against the fall of the dollar, if I were you… With $500 billion of deficit, the economy is as unstable as it can ever get!

    nfosys’s R&D budget is zero. (or maybe they put it under the general and administration expenses line?)

    Lol! I could tell you that without looking at the Balance Sheet!

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