- Double-digit Revenue Growth Guidance of 12%-14% for FY22
- Share Buyback of ₹9,200 Crore ($1.23
bn) and Final Dividend of ₹6,400 Crore ($0.85 bn) Announced
BENGALURU, India, April 14, 2021 /PRNewswire/
-- Infosys (NSE: INFY), (BSE: INFY), (NYSE: INFY), a
global leader in next-generation digital services and consulting,
delivered strong FY21 performance with 5.0% CC growth, and growth
accelerating to 9.6% in Q4 – in the face of a turbulent economic
environment. Large deal TCV for FY21 peaked to an all-time high of
$14.1 billion with 66% being net new.
Operating margin for the year expanded by 3.2% and Free Cash Flows
increased by 38.5%. The Board has recommended capital return of
₹15,600 crore (app. $2.08 billion)
including final dividend of ₹6,400 crore (app. $0.85 billion) and open market buyback of shares
of ₹9,200 crore (app. $1.23
billion).
"I am very pleased with our performance this year and incredibly
proud of our employees for the passion and commitment they
displayed despite a very tough environment. We have crossed a
milestone of `100,000 crore in revenue in FY21. Our intense focus
on client relevance, growing our digital portfolio with
differentiated capabilities like Infosys CobaltTM, and
empowering employees have helped us emerge as a preferred
'partner-of-choice' for our global clients. Our record large deal
wins stand testimony to the effectiveness of this approach",
said Salil Parekh, CEO and
MD. "A strong momentum exiting FY21, alongside a focused
strategy to accelerate client digital journeys, gives us confidence
for a stronger FY22", he added.
34.4% Q4 YoY
29.4% FY
CC Digital growth
|
9.6% Q4 YoY
5.0% FY CC Revenue growth
|
24.5% Q4
24.5% FY Operating margin
|
17.0% FY
Increase in EPS
(INR terms)
|
$2.1 bn Q4
$14.1 bn FY Large deal signings
|
Outlook for FY22:
- Revenue growth guidance of 12%-14% in constant currency
- Operating margin guidance of 22%-24%
In Q4, Infosys continued to expand its digital capabilities,
especially with the Infosys CobaltTM cloud portfolio.
The company announced a partnership with LivePerson for
Conversational AI to help brands manage AI-powered conversations
with consumers and employees. Powered by NVIDIA DGX A100 systems,
the company also built its own applied AI cloud to provide
employees simple and fast access to AI infrastructure, expanding
their ability to drive AI-driven transformation for
enterprises.
During the quarter, Infosys was also recognized as one of the
World's Most Ethical Companies in 2021 by Ethisphere Institute, US
and was ranked #30 on WSJ's 2021 list of 100 most sustainably
managed companies in the world.
1. Key highlights for the quarter and year ended
March 31, 2021
For the quarter
ended March 31, 2021
Revenues in CC terms grew by 9.6% YoY and 2.0% QoQ
Reported revenues at $3,613 million, growth of 13.0% YoY
Digital revenues at 51.5% of total revenues, YoY CC growth of
34.4%
Operating margin at 24.5%, increase of 3.4% YoY and decline of 0.9%
QoQ
Basic EPS at $0.16, growth of 18.0% YoY
FCF at $799 million, YoY growth of 34.7%; FCF conversion at 114.6%
of net profit
|
For the year ended
March 31, 2021
Revenues in CC terms grew by 5.0% YoY
Reported revenues at $13,561 million, growth of 6.1% YoY
Digital revenues at 48.5% of total revenues, YoY CC growth of
29.4%
Operating margin at 24.5%, increase of 3.2% YoY
Basic EPS at $0.62, growth of 12.5% YoY
FCF at $2,973 million, YoY growth of 38.5%; FCF conversion at
113.3% of net profit
|
"Despite the disruptions, we continue to execute seamlessly with
broad-based momentum across verticals. This has led to healthy
volume growth and record utilization in a seasonally soft quarter",
said Pravin Rao, COO. While
our employees continue to work from home through this health
crisis, we remain focused on their wellness, including facilitating
vaccination rollout for eligible employees. Attrition has picked
up, largely reflecting a strong demand environment, but we remain
confident of our employee engagement initiatives, vast talent pool
and training capabilities to ensure seamless execution," he
added.
"FY21 was a landmark year with superior shareholder returns
backed by robust operating metrics and strong growth across
revenue, margins and free cash flows", said Nilanjan Roy, CFO. "Executing on our capital
allocation policy, the company proposes to increase the total
dividend per share by 54% over previous year and Buyback of Equity
shares of up to ₹9,200 crore", he added.
2. Capital Allocation
The Board in its meeting held today approved the following:
- Buyback of Equity Shares, from the open market route through
the Indian stock exchanges, amounting to ₹9,200 crore (Maximum
Buyback Size, excluding buyback tax) (app. $1.23 billion*) at a price not exceeding ₹1,750
per share (Maximum Buyback Price) (app. $23.3 per ADS*), subject to shareholders'
approval in the ensuing AGM.
- For FY 21, the Board has recommended a final dividend of ₹15
per share ($0.20 per ADS*). Together
with the interim dividend of ₹12 per share already paid, the total
dividend per share for FY 21 will amount to ₹27 (app. $0.36 per ADS*) which is a 54% increase over FY
20. With this, the company has announced total dividend of ₹11,500
crore (app. $1.53 billion*) for
FY21.
*USD-INR rate of 75.00
3. Client Wins & Testimonials
The trust clients repose in Infosys drives us to invest further
in building stronger digital capabilities and to raise the bar in
delivery excellence.
- Sam Marnick, Executive Vice
President and Chief Operating Officer, Spirit AeroSystems,
said, "We look forward to partnering with Infosys on our efforts to
further diversify our business and strategically position Spirit
AeroSystems for the future. We appreciate the long-standing
relationship we have with Infosys and the support they have brought
to a number of strategic projects for Spirit."
- Alan Feeley, CIO of Siemens
Gamesa, said, "Implementing a single S/4HANA system across all
business units and regions is a core component of our company-wide
strategy towards process efficiency, standardization and
industrialization. These first go live steps across 7 countries,
supporting all business types, have proven the value of the
greenfield approach chosen, achieving a stable productive
environment around Hybrid Azure cloud by Infosys. This single and
global setup provides an almost Zero "change the standard" approach
giving confidence towards sustainable cost management & upgrade
proofing for the future. Infosys has demonstrated admirable
'staying power' and has delivered a solid product whilst fulfilling
our expectations of being a partner in full."
- "We are pleased to continue to partner with Infosys BPM in
standardizing and digitizing supply chain processes across our
regions. Infosys BPM's strong leadership commitment and clear
understanding of our operations will enable significant
productivity improvements, service levels improvements, and cost
savings," said Ryan Plourde,
Group Executive – Supply Chain, Newmont Corporation.
- Paolo Lomonaco, CFO, Chalhoub
Group, said, "We are delighted to extend our strategic
collaboration with Infosys to accelerate our digital transformation
journey and enable a seamless transition to a new business model in
the post-Covid normal. Infosys has been our partner of choice in
providing a range of technology services for almost a year and has
managed to efficiently transition during the unprecedented
situation. We look forward to leveraging Infosys' adroitness and a
clear understanding of best in class retail technologies to scale
digital commerce and drive operational efficiency."
- "We collaborated with Infosys to organize our first Mars AI
virtual festival in December 2020,
featuring top leaders from Mars, incorporated and globally renowned
AI experts. With more than 8,000 associates and business
stakeholders attending, spread across geographies, and spanning
various business segments, we needed a platform that could not only
support the scale of the event but also deliver a seamless,
immersive, and engaging experience. And the Infosys Meridian
platform delivered. Using the Infosys Meridian workplace ecosystem,
we were able to drive interactions and collaboration amongst the
global participants by orchestrating immersive interventions that
included 26 kiosks, a speaker hangout area, a Twitter board,
multiple games, a leaderboard, a digital caricature corner, and a
live DJ. Over the five days of the event, we were able to execute
an exciting agenda to create and sustain meaningful engagements
with our global stakeholders." - Miao Song, Global CIO, Mars
Petcare
- "Our partnership with Infosys has been invaluable, allowing us
to innovate, strengthen our core operations, handle growing volumes
and as customers focus on becoming increasingly digital, improve
our services. The Infosys team supports our business transformation
goals by helping us drive efficiencies and improve customer
experience. Infosys demonstrated great support and flexibility
throughout the pandemic, helping us keep our operations running and
delivering with an unwavering customer-focus." - Petteri
Naulapää, CIO, Posti Group Oyj
4. Recognitions
- Ranked #30 (from previous ranking of #94 in 2020) on WSJ's 2021
List of 100 Most Sustainably Managed Companies in the World
- Recognized as one of the World's Most Ethical Companies in 2021
by Ethisphere Institute, US
- Positioned as a leader in Gartner Magic Quadrant for Data and
Analytics Service Providers
- Ranked as a leader in HFS Top 10: Hyperscaler Cloud Service
Providers 2021
- Ranked as a leader in HFS Top 10: Digital Associates
Services
- Positioned as a leader in NelsonHall NEAT on Salesforce
Services 2020
- Ranked as a leader in NelsonHall NEAT in SAP Cloud Migration
Services 2021
- Ranked as a leader in Constellation ShortList™ Microsoft
End-to-End Service Providers
- Positioned as a leader in Constellation ShortList™ Blockchain
Technology Services
- Positioned as a leader in Constellation ShortList™ Learning
Marketplaces
- Ranked as a Leader in Everest - Software Product Engineering
Services PEAK Matrix® Assessment 2021
- Infosys scored 95 out of 100 on the Human Rights Campaign
Corporate Equality Index for LGBTQI+ Inclusion
- Rated by Sustainalytics as an ESG Industry Top Rated
Company
- Awarded Top Employers Global 2021 certification in 20 countries
across Europe, Middle East, Asia
Pacific, and North America.
With top ranking in 15 countries and #1 ranking in India, APAC, and Middle East Region, and among
the top 2 employers in the United
States and Australia.
About Infosys
Infosys is a global leader in next-generation digital services
and consulting. We enable clients in 46 countries to navigate their
digital transformation. With nearly four decades of experience in
managing the systems and workings of global enterprises, we
expertly steer our clients through their digital journey. We do it
by enabling the enterprise with an AI-powered core that helps
prioritize the execution of change. We also empower the business
with agile digital at scale to deliver unprecedented levels of
performance and customer delight. Our always-on learning agenda
drives their continuous improvement through building and
transferring digital skills, expertise, and ideas from our
innovation ecosystem.
Visit www.infosys.com to see how Infosys (NYSE: INFY) can
help your enterprise navigate your next.
Safe Harbor
"Certain statements in this release concerning our future growth
prospects, financial expectations and plans for navigating the
COVID-19 impact on our employees, clients and stakeholders are
forward-looking statements intended to qualify for the 'safe
harbor' under the Private Securities Litigation Reform Act of 1995,
which involve a number of risks and uncertainties that could cause
actual results to differ materially from those in such
forward-looking statements. The risks and uncertainties relating to
these statements include, but are not limited to, risks and
uncertainties regarding COVID-19 and the effects of government and
other measures seeking to contain its spread, risks related to an
economic downturn or recession in India, the United
States and other countries around the world, changes in
political, business, and economic conditions, fluctuations in
earnings, fluctuations in foreign exchange rates, our ability to
manage growth, intense competition in IT services including those
factors which may affect our cost advantage, wage increases in
India, our ability to attract and
retain highly skilled professionals, time and cost overruns on
fixed-price, fixed-time frame contracts, client concentration,
restrictions on immigration, industry segment concentration, our
ability to manage our international operations, reduced demand for
technology in our key focus areas, disruptions in telecommunication
networks or system failures, our ability to successfully complete
and integrate potential acquisitions, liability for damages on our
service contracts, the success of the companies in which Infosys
has made strategic investments, withdrawal or expiration of
governmental fiscal incentives, political instability and regional
conflicts, legal restrictions on raising capital or acquiring
companies outside India,
unauthorized use of our intellectual property and general economic
conditions affecting our industry and the outcome of pending
litigation and government investigation. Additional risks that
could affect our future operating results are more fully described
in our United States Securities and Exchange Commission filings
including our Annual Report on Form 20-F for the fiscal year ended
March 31, 2020. These filings are
available at www.sec.gov. Infosys may, from time to time, make
additional written and oral forward-looking statements, including
statements contained in the Company's filings with the Securities
and Exchange Commission and our reports to shareholders. The
Company does not undertake to update any forward-looking statements
that may be made from time to time by or on behalf of the Company
unless it is required by law.".
Infosys Limited
and subsidiaries
|
|
|
Extracted from
the Condensed Consolidated Balance Sheet under IFRS as
at:
|
(Dollars in
millions)
|
|
March 31,
2021
|
March 31,
2020
|
ASSETS
|
|
|
Current
assets
|
|
|
Cash and cash
equivalents
|
3,380
|
2,465
|
Current
investments
|
320
|
615
|
Trade
receivables
|
2,639
|
2,443
|
Unbilled
revenue
|
1,030
|
941
|
Other Current
assets
|
938
|
748
|
Total current
assets
|
8,307
|
7,212
|
Non-current
assets
|
|
|
Property, plant and
equipment and Right-of-use assets
|
2,519
|
2,361
|
Goodwill and other
Intangible assets
|
1,115
|
950
|
Non-current
investments
|
1,623
|
547
|
Unbilled
revenue
|
81
|
-
|
Other non-current
assets
|
1,180
|
1,190
|
Total non-current
assets
|
6,518
|
5,048
|
Total
assets
|
14,825
|
12,260
|
LIABILITIES AND
EQUITY
|
|
|
Current
liabilities
|
|
|
Trade
payables
|
362
|
377
|
Unearned
revenue
|
554
|
395
|
Employee benefit
obligations
|
276
|
242
|
Other current
liabilities and provisions
|
2,072
|
1,743
|
Total current
liabilities
|
3,264
|
2,757
|
Non-current
liabilities
|
|
|
Lease
liabilities
|
627
|
530
|
Other non-current
liabilities
|
432
|
272
|
Total non-current
liabilities
|
1,059
|
802
|
Total
liabilities
|
4,323
|
3,559
|
Total equity
attributable to equity holders of the company
|
10,442
|
8,646
|
Non-controlling
interests
|
60
|
55
|
Total
equity
|
10,502
|
8,701
|
Total liabilities
and equity
|
14,825
|
12,260
|
|
|
|
Extracted from
the Condensed Consolidated statement of Comprehensive Income under
IFRS for:
|
|
(Dollars in
millions except per equity share data)
|
|
3 months ended
March 31, 2021
|
3 months ended
March 31, 2020
|
Year ended
March 31, 2021
|
Year ended
March 31, 2020
|
Revenues
|
3,613
|
3,197
|
13,561
|
12,780
|
Cost of
sales
|
2,357
|
2,133
|
8,828
|
8,552
|
Gross
profit
|
1,256
|
1,064
|
4,733
|
4,228
|
Operating
expenses:
|
|
|
|
|
Selling
and marketing expenses
|
165
|
161
|
624
|
664
|
Administrative expenses
|
207
|
229
|
784
|
840
|
Total operating
expenses
|
372
|
390
|
1,408
|
1,504
|
Operating
profit
|
884
|
674
|
3,325
|
2,724
|
Other income,
net(3)
|
68
|
78
|
271
|
371
|
Profit before
income taxes
|
952
|
752
|
3,596
|
3,095
|
Income tax
expense
|
255
|
160
|
973
|
757
|
Net profit (before
minority interest)
|
697
|
592
|
2,623
|
2,338
|
Net profit (after
minority interest)
|
697
|
590
|
2,613
|
2,331
|
Basic EPS
($)
|
0.16
|
0.14
|
0.62
|
0.55
|
Diluted EPS
($)
|
0.16
|
0.14
|
0.61
|
0.55
|
|
|
|
|
|
NOTES:
1. The above information is extracted from the
audited condensed consolidated Balance sheet and Statement of
Comprehensive Income for the quarter and year ended March 31, 2021 which have been taken on record at
the Board meeting held on April 14,
2021.
2. A Fact Sheet providing the operating metrics
of the Company can be downloaded from
www.infosys.com.
3. Other Income includes Finance Cost.
IFRS-INR Press
Release : https://www.infosys.com/investors/reports-filings/quarterly-results/2020-2021/q4/documents/ifrs-inr-press-release.pdf
Fact sheet:
https://www.infosys.com/investors/reports-filings/quarterly-results/2020-2021/q4/documents/fact-sheet.pdf
Logo:
https://mma.prnewswire.com/media/633365/Infosys_Logo.jpg