Infosys Limited · NSE:INFY
Infosys — Q1 FY2008 Earnings Presentation
27 slides from Infosys's earnings presentation, Jun 30, 2007
Slide 1: Performance of Infosys group for the First Quarter ended June 30, 2007
Performance of Infosys group for the First Quarter ended June 30, 2007 S. Gopalakrishnan S. D. Shibulal Chief Executive Officer and Managing Chief Operating Officer Director
Slide 2: Safe Harbour
Safe Harbour Certain statements in this presentation concerning our future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertaintie
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 Q1 FY 08 Q4 FY 07 Q1 FY 07 Indian GAAP Y-O-Y Growth Income 25.1% 43.8% 45.6% PAT from ord. Activities 34.5% 68.4% 50.8% US GAAP Y-O-Y Growth Revenues 40.6% 45.5% 38.7% Net income 51.1% 70.4% 42.6% New clients 35 34 38 Repeat business 99.5% 93.3% 97.0% Headcount Gross addition 7,004 5,992
Slide 6: Highlights (Indian GAAP - Consolidated)
Highlights (Indian GAAP - Consolidated) (Rs. crore) FY2008 FY2007 FY 2007 % growth over Q1 Q4 Q1 Q4 07 Q1 07 Income 3,773 3,772 3,015 0.0 25.1 S/w development expenses 2,169 2,021 1,666 7.3 30.2 Gross profit 1,604 1,751 1,349 (8.4) 18.9 S,G&A expenses 520 554 460 (6.1) 13.0 Operating profit 1,084 1,
Slide 7: Balance Sheet Summary
Balance Sheet Summary (Rs. crore) June 30, 2007 % June 30, 2006 % LIABILITIES Shareholders’ funds 12,339 100 7,843 100 Minority interest 4 - 8 - Total liabilities 12,343 100 7,851 100 ASSETS Fixed assets 3,963 32 2,724 35 Investments - - - - Deferred tax assets 99 1 73 1 Current assets Cash & equiva
Slide 8: Operational Performance
Operational Performance
Slide 9: Region wise Revenue
Region wise Revenue % Q1 2008 Q4 2007 Q1 2007 North America 62.6 62.6 64.0 Europe 26.8 26.6 26.2 India 1.8 1.5 1.4 Rest of the world 8.8 9.3 8.4 Total 100.0 100.0 100.0 © Infosys Technologies Limited 2007-08 Slide 9
Slide 10: Utilization Rates
Utilization Rates 100.0% 70.5% 73.0% 73.9% 67.9% 0.0% Including training Excluding training Q4 2007 67.9% 73.0% Q1 2008 70.5% 73.9% Q4 2007 Q1 2008 © Infosys Technologies Limited 2007-08 Slide 10
Slide 11: Revenues by Project type
Revenues by Project type % Q1 2008 Q4 2007 Q1 2007 Fixed Price 27.5 25.9 26.9 Time & Materials 72.5 74.1 73.1 Total 100.0 100.0 100.0 © Infosys Technologies Limited 2007-08 Slide 11
Slide 12: Onsite-Offshore Revenue split
Onsite-Offshore Revenue split % Q1 2008 Q4 2007 Q1 2007 Onsite 49.7 49.8 50.5 Offshore 50.3 50.2 49.5 Total 100.0 100.0 100.0 © Infosys Technologies Limited 2007-08 Slide 12
Slide 13: Customer Concentration
Customer Concentration Q1 2008 Q4 2007 Q1 2007 Client contribution to revenues(%) Top Client 8.6 8.5 5.8 Top 5 clients 21.4 21.3 19.5 Top 10 clients 32.3 33.4 31.7 No. of clients* 1 Million dollar + 285 275 221 5 Million dollar + 113 107 94 10 Million dollar + 75 71 56 20 Million dollar + 40 36 28 3
Slide 14: Client Acquisition & Expansion of Services
Client Acquisition & Expansion of Services
Slide 15: Client Acquisition & Expansion of Services
Client Acquisition & Expansion of Services » Client acquisitions during the quarter were 35 » A telecommunications major in the UK aims to roll out services rapidly and realize value faster by deploying a new service management platform from Infosys » A global consumer electronics leader is using In
Slide 16: Client Acquisition & Expansion of Services
Client Acquisition & Expansion of Services » A leading provider of diversified financial services used Infosys’ help to better integrate data from its newly acquired subsidiaries for improved reporting and compliance » A leading electronics and electrical products manufacturer rolled out an Infosys
Slide 17: Banking Products
Banking Products » At the Banker Technology Awards, Finacle™, the universal banking solution from Infosys, received a ‘Highly Commended’ mention under the back office project category for retail banking » Finacle™ added four new clients, including Emirates Bank, which has selected Finacle™ core bank
Slide 18: Process innovation
Process innovation » During the quarter, Infosys applied for 6 patents in the US and India. With this, Infosys has filed an aggregate of 87 patent applications in both countries © Infosys Technologies Limited 2007-08 Slide 18
Slide 19: Human Resources
Human Resources
Slide 20: Human Resources
Human Resources Q1 2008 Q4 2007 Total employee strength 75,971 72,241 Software professionals 71,018 68,156 Gross addition 7,004 5,992 Net addition 3,730 2,809 Laterals 1,859 1,647 © Infosys Technologies Limited 2007-08 Slide 20
Slide 21: Capex and Infrastructure
Capex and Infrastructure
Slide 22: Capex and Infrastructure
Capex and Infrastructure » Capital expenditure of Rs. 336 crore was incurred during the quarter » As on June 30, 2007, the company had 1,20,52,601* sq. ft of space capable of accommodating 58,488 employees and 1,05,63,183 sq. ft under completion capable of accommodating 34,049 employees * Excluding
Slide 23: Outlook
Outlook
Slide 24: Indian GAAP – Consolidated
Indian GAAP – Consolidated » Quarter ending September 30, 2007* » Income is expected to be between Rs. 3,952 crore and Rs. 3,993 crore; YOY growth of 14.5% - 15.7% » Earnings per share** is expected to be Rs. 18.88; YOY growth of 12.7% » Fiscal year ending March 31, 2008* » Income is expected to be
Slide 25: Summary
Summary
Slide 26: Summary
Summary » Continued to focus on being a partner of choice to our customers » In an increasingly flat business world, the demand for large end-to-end players like Infosys continues to be strong » Deeper client engagement has resulted in clients other than the top ten growing sequentially by 9.3% duri
Slide 27: Thank You
Thank You