In rupee terms, the company can report a YoY revenue growth of 20-21 per cent to an average of Rs 38,824 crore, as per a compilation of six brokerage estimates, while its yearly profit may rise 12-21 per cent to an average of Rs 6,589 crore.
The company’s Ebit margin is pegged between 21.3-21.8 per cent in Q4 as compared to 21.5 per cent in the December quarter.
Key monitorables: Investor focus will remain on FY24 guidance. The quantum of deal pipeline, nature of large deals, pace of decision-making and drivers of consolidation trend will also be closely tracked. Commentary on health of impacted verticals such as hi-tech, retail, parts of financial services and Europe, re-allocation of responsibilities of former President Mohit Joshi, and impact of recent banking sector events on BFSI tech spending outlook.
Jefferies: The brokerage expects soft QoQ cc revenue growth due to the macroeconomic slowdown and seasonal weakness. The Ebit margin is expected to expand slightly by 30 bps QoQ driven by increase in utilization and currency benefit. Large deal wins are expected to be in the $2-2.5 billion range supported by larger deals amid slower decision making.
Kotak Institutional Equities: The brokerage expects Infosys to post a muted 0.1 per cent cc revenue growth driven by both cloud and digital programs and cost take-out agenda of clients. It does not expect material incremental revenue contribution from the Daimler deal. It sees 25 bps sequential decline in Ebit margin with headwinds from visa costs (40 bps) partially offset by operational efficiencies and lower pass-through expense.
Source: Brokerage reports