Strong execution, utilisation helps Infosys outshine TCS in Q1

Traction in new services a big trigger; gains on operational front depend on keeping costs control

Infosys beat Street expectations and outperformed its larger peer, Tata Consultancy Services (TCS), across parameters in the June quarter. While sales were down 0.2 per cent on a sequential basis to Rs 17,078 crore, it grew 2.7 per cent in constant currency terms, compared to 2 per cent growth by TCS. In dollar terms, growth was 3.2 per cent, with volumes and realisations contributing equally. 

The company said growth was broad-based across verticals. Utility, communication, consumer packaged goods and logistics led with 3-5 per cent growth. The biggest two verticals, financial services and manufacturing, account for 55 per cent of