Infosys Q2 net up 12%, CFO quits

Infosys's second quarter earnings surpassed analysts' expectations on every parameter on Monday. Company's net profit increased 12.1 percent sequentially to Rs. 3,398 crore during the quarter.

Vishal Sikka, CEO and MD said, "I am encouraged by our progress. While results in any one quarter are transitory snapshots of a long journey, we do see our focused execution along our strategy starting to produce encouraging results for our clients, shareholders and Infoscions."

According to the market experts, profit was expected at Rs. 3,244 crore (up 7 percent) and revenue at Rs. 15,210 crore (up 5.9 percent). Dollar revenue growth was seen at 3.6 percent. Strong all-round growth during the quarter was driven by recent initiatives around service differentiation, improvement in client mining and higher focus on winning large deals.

CFO, Rajiv Bansal, Infosys resigned from the key managerial personnel. MD Ranganath is appointed as the new CFO with his term effective from October 12, 2015.

The company has declared an interim dividend of Rs. 10 per share. Additionally, its board has approved 2015 Incentive Compensation Plan, amending the existing 2011 RSU Plan. It also approved issuance of new shares, so as not to cumulatively exceed 2 percent of the shares outstanding, in order to support grants made over time under the 2015 Incentive Compensation Plan.

The scrip of Infosys was quoting at Rs. 1,133.50, down Rs. 34.35 after hitting a 52-week high of Rs. 1,219 in early trade.