Infosys Profit Gains 7.7%, Beats Estimates on Orders
Infosys Technologies Ltd., India’s second-largest software exporter, reported second-quarter profit rose 7.7 percent, beating analysts’ estimates, after winning more business from its customers.
Net income increased to 15.4 billion rupees ($332 million), or 26.83 rupees a share, in the three months ended Sept. 30, from 14.3 billion rupees, or 24.97 rupees, a year earlier, Bangalore-based Infosys said today. That beat the 14.9 billion rupee median of 15 analyst estimates compiled by Bloomberg.
Chief Executive Officer S. Gopalakrishnan reduced prices to retain business from customers in the U.S. and Europe, his largest markets, amid the worst recession since the 1930s. Infosys won orders from Australia’s Telstra Corp. and the U.K.’s BP Plc after the two clients sought to decrease the number of suppliers to cut costs.
“It is a very positive result; the environment is getting much more stable,” said Vaibhav Sanghavi, a director at Ambit Capital Ltd. in Mumbai, who manages funds for wealthy individuals. “We are in for a little uptick; things have stabilized and margins will improve from these levels.”
U.S. technology demand will begin to increase in the three months ending Dec. 31, followed by a global recovery in 2010, research firm Forrester Inc. said last month. White House adviser Lawrence Summers said yesterday there has been a “substantial return to more normal conditions” in the U.S., and cited economists’ estimates that the world’s largest economy returned to growth in the third quarter.
Net income increased to 15.4 billion rupees ($332 million), or 26.83 rupees a share, in the three months ended Sept. 30, from 14.3 billion rupees, or 24.97 rupees, a year earlier, Bangalore-based Infosys said today. That beat the 14.9 billion rupee median of 15 analyst estimates compiled by Bloomberg.
Chief Executive Officer S. Gopalakrishnan reduced prices to retain business from customers in the U.S. and Europe, his largest markets, amid the worst recession since the 1930s. Infosys won orders from Australia’s Telstra Corp. and the U.K.’s BP Plc after the two clients sought to decrease the number of suppliers to cut costs.
“It is a very positive result; the environment is getting much more stable,” said Vaibhav Sanghavi, a director at Ambit Capital Ltd. in Mumbai, who manages funds for wealthy individuals. “We are in for a little uptick; things have stabilized and margins will improve from these levels.”
U.S. technology demand will begin to increase in the three months ending Dec. 31, followed by a global recovery in 2010, research firm Forrester Inc. said last month. White House adviser Lawrence Summers said yesterday there has been a “substantial return to more normal conditions” in the U.S., and cited economists’ estimates that the world’s largest economy returned to growth in the third quarter.
Labels: discussion
posted by SHERRY @ 8:48 PM
0 Comments:
Post a Comment
Subscribe to Post Comments [Atom]
<< Home