Infosys beats COVID-19 to register profits in June quarter

Bangalore: Indian companies are faltering on profits and losing revenue due to the coronavirus pandemic. However, one organisation has halted the trend. Infosys Ltd reported Wednesday a stronger-than-expected quarterly profit. This happened as Infosys Ltd, the software services firm managed to secure large client deals even amid the COVID-19 pandemic.

Infosys signed $1.74 billion worth of large deals in the three months to June 30, it said in a statement. That was higher than the $1.65 billion in the preceding quarter, but lower than a year earlier.

The April-June period was expected to be dismal for India’s software services firms due to softer client spending. The coronavirus outbreak had halted business activity by almost 50 per cent. However it did not affect the fortunes of Infosys.

Infosys’ larger rival, Tata Consultancy Services, missed quarterly profit estimates, while Wipro Ltd reported stronger-than-expected earnings.

Infosys’ net profit climbed to Rs 42.33 billion rupees in the June quarter, from Rs 37.98 billion a year earlier. Analysts on average had expected a profit of Rs 39.87 billion, according to ‘Refinitiv’ data. Revenue rose 8.5% to Rs 236.65 billion.