Infosys' board has announced an interim dividend of ₹21 per share for eligible shareholders alongside its second-quarter results, setting October 29 as the record date for this purpose.
The company has additionally set November 9 as the dividend payout date.
“The Board of Directors of the Company at their meeting held on October 16 and 17, 2024 transacted the following items of business: Declared an interim dividend of ₹ 21/- per equity share, fixed October 29, 2024 as a record date and November 8, 2024 as a payout date,” said the company in a filing to the exchanges.
Infosys reported a profit after tax of ₹6,506 crore for the second quarter ending in September 2024, reflecting a 5 per cent year-on-year increase from ₹6,212 crore in the same period last year. However, this figure fell short of the Street’s expectations of ₹6,700 crore.
Meanwhile, the revenue from operations came in at ₹40,986 crore, slightly exceeding the Street’s estimate of ₹40,890 crore.
The company has updated its revenue forecast for FY25 to a range of 3.75 per cent to 4.5 per cent.
“We had strong growth of 3.1% quarter-on-quarter in constant current in Q2. The growth was broad based with good momentum in financial services. This stems from our strength in industry expertise, market leading capabilities in cloud with Cobalt and generative AI with Topaz, resulting in growing client preference to partner with us”, said Salil Parekh, CEO and MD at Infosys.
Free cash flow for Q2 was at $839 million, growing 25.2 per cent year on year. TCV of large deal wins was $2.4 billion, 41 per cent being net new.
“We continue to focus on accelerating revenue growth with a sharp focus on margin performance. Operating margins for the quarter was at 21.1%, driven by continued benefits from value-based pricing and utilization despite higher employee payouts. Our focus on cash generation resulted in another quarter of over 100% Free Cash Flow conversion to net profits” said Jayesh Sanghrajka, CFO at Infosys.
