Stock Alert: Infosys tanks on weak outlook

FY13 revenue guidance in dollar terms revised lowered to $2.97 from $3.03.

Infosys has tanked 8% to Rs 2,325 in opening trades after the country’s second-ranked software services provider has lowered its revenue guidance  for the current fiscal 2013 in dollar terms.

“Earnings per American Depositary Share (EPADS) is expected to be at least $2.97 (Fiscal 2013 guidance given on July 12, 2012 was $ 3.03 which is reset at the current exchange rate at $2.97),” Infosys said in a filing.

Revenues are expected to be at least $7.343 billion; year-on-year growth of 5% (5.7% in constant currency terms), it added.

Meanwhile, the company has reported 3.5% quarter-on-quarter (q-o-q) growth in net profit at Rs 2,369 crore for the quarter ended September 2012, which was in line with street expectations. Analyst on an average had expected net profit of Rs 2,369 crore.

Consolidated revenues grew 2.5% at Rs 9,858 crore on q-o-q basis against average analyst expectations of Rs 9,944 crore.

The stock opened at Rs 2,350 and hit a low of Rs 2,311 on the National Stock Exchange.