Infosys Limited · NSE:INFY
Infosys — Q2 FY2008 Earnings Presentation
26 slides from Infosys's earnings presentation, October 2007
Slide 1: Performance of Infosys group for the Second Quarter ended September 30, 2007
Performance of Infosys group for the Second Quarter ended September 30, 2007 S. Gopalakrishnan S. D. Shibulal Chief Executive Officer and Chief Operating Officer Managing Director
Slide 2: Safe Harbour
Safe Harbour Certain statements in this presentation concerning our future growth prospects are forward-looking statements, within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended, which involve a numbe
Slide 3: Agenda
Agenda • Financial Performance • Operational Performance • Client Acquisition & Expansion of Services • Human Resources • Capex and Infrastructure • Outlook • Summary © Infosys Technologies Limited 2007-08 Slide 3
Slide 4: Financial Performance
Financial Performance
Slide 5: Highlights
Highlights • Quarterly revenues cross US$ 1 Billion mark • Income was Rs. 4,106 crore for the second quarter ended September 30, 2007; YoY growth was 19.0% • Net profit after tax was Rs. 1,100 crore for the quarter ended September 30, 2007; YoY growth was 18.4% • Earnings per share increased to Rs.
Slide 6: Financial Performance
Financial Performance © Infosys Technologies Limited 2007-08 Slide 6
Slide 7: Operational Performance
Operational Performance
Slide 8: Region wise Revenue
Region wise Revenue % Q2 2008 Q1 2008 Q2 2007 North America 62.6 62.6 63.7 Europe 27.4 26.8 25.8 India 1.0 1.8 1.6 Rest of the world 9.0 8.8 8.9 Total 100.0 100.0 100.0 © Infosys Technologies Limited 2007-08 Slide 8
Slide 9: Utilization Rates
Utilization Rates 100.0% 77.8% 70.5% 70.3% 73.9% 0.0% Including training Excluding training Q1 2008 70.5% 73.9% Q2 2008 70.3% 77.8% Q1 2008 Q2 2008 © Infosys Technologies Limited 2007-08 Slide 9
Slide 10: Revenues by Project type
Revenues by Project type % Q2 2008 Q1 2008 Q2 2007 Fixed Price 29.8 27.5 26.2 Time & Materials 70.2 72.5 73.8 Total 100.0 100.0 100.0 © Infosys Technologies Limited 2007-08 Slide 10
Slide 11: Onsite-Offshore Revenue split
Onsite-Offshore Revenue split % Q2 2008 Q1 2008 Q2 2007 Onsite 48.8 49.7 50.3 Offshore 51.2 50.3 49.7 Total 100.0 100.0 100.0 © Infosys Technologies Limited 2007-08 Slide 11
Slide 12: Customer Concentration
Customer Concentration Q2 2008 Q1 2008 Q2 2007 Client contribution to revenues(%) Top Client 7.9 8.6 6.6 Top 5 clients 19.5 21.4 21.0 Top 10 clients 29.9 32.3 32.9 No. of clients* 1 Million dollar + 295 285 232 5 Million dollar + 122 113 97 10 Million dollar + 77 75 61 20 Million dollar + 44 40 29 3
Slide 13: Client Acquisition & Expansion of Services
Client Acquisition & Expansion of Services
Slide 14: Client Acquisition & Expansion of Services
Client Acquisition & Expansion of Services • During the quarter, 48 clients were added. • Infosys opened its first Latin American subsidiary in Monterrey, Mexico. The subsidiary, Infosys Technologies S. De RL De CV, provides business consulting and information technology services as well as key offe
Slide 15: Client Acquisition & Expansion of Services
Client Acquisition & Expansion of Services • A leading global bank is using an Infosys-built application to mine and assimilate distributed customer data, enabling it to tailor services for its customers. • A Fortune 500 manufacturer of pressure-sensitive adhesive labels has signed up Infosys to bui
Slide 16: Banking Products
Banking Products • Finacle , the universal banking solution from Infosys, announced TM five strategic new wins across the Middle East, APAC and the Americas, including a key new market entry into Hong Kong. • Expansion of the Finacle footprint to Fiji, Botswana and the TM Seychelles. © Infosys Techn
Slide 17: Process innovation
Process innovation • During the quarter, Infosys applied for 8 patents in the US and India. With this, Infosys has filed an aggregate of 95 patent applications in both countries. © Infosys Technologies Limited 2007-08 Slide 17
Slide 18: Human Resources
Human Resources
Slide 19: Human Resources
Human Resources Q2 2008 Q1 2008 Total employee strength 80,501 75,971 Software professionals 75,313 71,018 Gross addition 8,543 7,004 Net addition 4,530 3,730 Laterals 1,754 1,859 © Infosys Technologies Limited 2007-08 Slide 19
Slide 20: Capex and Infrastructure
Capex and Infrastructure
Slide 21: Capex and Infrastructure
Capex and Infrastructure • Capital expenditure of Rs. 403 crore was incurred during the quarter • As on September 30, 2007, the company had 1,31,00,964* sq. ft of space capable of accommodating 65,863 employees and 95,84,820 sq. ft under completion capable of accommodating 26,627 employees * Excludi
Slide 22: Outlook
Outlook
Slide 23: Indian GAAP – Consolidated
Indian GAAP – Consolidated Quarter ending December 31, 2007* • Income is expected to be in the range of Rs. 4,238 crore and Rs. 4,258 crore; YoY growth of 16.0% – 16.5% • Earnings per share are expected to be Rs. 20.11; YoY growth of 14.0% Fiscal year ending March 31, 2008* • Income is expected to b
Slide 24: Summary
Summary
Slide 25: Summary
Summary • Achieved yet another milestone by crossing one billion dollars in revenues this quarter • Annual guidance revised upwards • Our unique business model combined with our value proposition continues to help our clients grow profitably • This quarter witnessed increase in pricing by 1.9% • Ope
Slide 26: Thank You
Thank You www.infosys.com