IT shares slide on disappointing Infy nos

Shares of information technology companies are trading lower by 2-7% each after IT major, Infosys Technologies reported lower than expected net profit growth for the fourth quarter ended March 2011.

Infosys Technologies the largest loser among IT pack, has crashed almost 8% at Rs 3,058. Wipro has plunged 4%, followed by HCL Technologies and TCS down 2% each.

The Bombay Stock Exchange (BSE), IT index the largest loser among the sectoral indices is down 5% compared with less than 1% fall in the benchmark index Sensex.

Infosys Technologies has reported a marginal rise of 2% in consolidated net profit at Rs 1,818 crore for the fourth quarter ended March 31, 2011 on sequential basis. The company had reported a net profit of Rs 1,780 crore in the December quarter.

Revenues went up 2% to Rs 7,250 crore as against Rs 7,106 crore on quarter-on-quarter basis. The analyst was expecting net profit of Rs 1,884 crore and revenues at Rs 7,446 crore.

For the first quarter of the fiscal, the company said income will grow between 18% and 19.1%, resulting in figures between Rs 7,311 crore and Rs 7,382 crore. For the entire fiscal, income is expected to grow between 15.4% and 17.,3% or between Rs 31,727 crore and Rs 32,270 crore.

“Earnings per share (EPS) for the quarter ending June 30, 2011 is expected to be in the range of Rs 27.59 and Rs 28.02; YoY growth of 5.9% to 7.5% and for the year ending March 31, 2012 is expected to be in the range of Rs 126.05 and Rs 128.21; YoY growth of 5.5% to 7.3%,” the company said.