Infosys CEO Vishal Sikka rode the future to work this morning. He arrived at his company's Bengaluru headquarters in an autonomous or driverless cart which, he said was built by Infosys engineers in Mysuru. The IT major has announced its first quarter earnings today posting a better-than-expected net profit of Rs. 3,483 crore for the quarter ended June 30, 2017, helped by key client wins.
Dr Sikka said that strong execution helped Infosys come out with strong earnings in the June quarter. Despite pressure on several fronts, Infosys reported margin of 24.1 per cent in June quarter, he said, adding that "really proud of our team's strong execution and great performance in Q1."
"Who says we can't build transformative technologies?" he had tweeted as he arrived with COO Pravin Rao in the cart that's all the buzz today. The autonomous vehicle, he said, is a symbol of cutting edge technology and is meant to train other employees on technologies like artificial intelligence.
Infosys, its CEO said, is strongly focusing on new technologies like artificial intelligence and next generation analytics.
Revenues of India's second biggest IT services exporter came in at Rs. 17,078 crore today. Importantly, Infosys raised its dollar revenue guidance, cheering the markets. Global financial services major Morgan Stanley expected Infosys to post net profit of Rs. 3,335 crore on revenues of Rs. 17,119 crore in the June quarter. In quarter of March, Infosys had reported a net profit of Rs. 3,603 crore on revenues of Rs. 17,120 crore.
Infosys raised dollar revenue guidance to 7.1-9.1 per cent for the year, against its April forecast of 6.1-8.1 per cent.
The revenue guidance hike assumes significance despite stagnant global IT spending. Global IT research firm Gartner on Thursday further lowered its 2017 IT spending growth estimate to 2.4 per cent from the 2.7 per cent earlier