Infosys Results - Highlights

Infosys Technologies numbers are out for the fourth quarter and for the financial year 2008. Here are the highlights

1.FY09 revenues seen at Rs 19894-20214 crore

2.FY08 net profit is at 4659 crore as against 3856 crore in FY07

3.FY08 net sales at 16692 crore as against 13893 crore

4.Will recruit 25,000 gross people in FY09

5.Looking at reducing onsite business by 1% every year

6.Has Hedged positions of USD 760 million. The MTM operating losses are of USD 7 million on Hedging

7. To hike offshore salaries by 11-13% and onsite by 4-5%

8. Four large deals in FY08

9. Margins are likely to come down by 3% in Q1FY09

10.Dividends payout will be increased to 30% from 20% of the net profit

11.FY09 guidance is based on the polls conducted by Infosys for its top 100 clients, of which 76% have said that budgets are flat or slightly down, but will increase global delivery and so as the reason for a plan to add 25000 people for year FY09

12. From guidance , it seems that FY09 Q1 will be weak and growth will follow from Q2 FY09 onwards to support annual guidance

13. Infosys lost around Rs 2000 crore on topline and Rs 1000 crore on bottom line because of the 11% appreciation in the Rupee, but still able to maintain the operating margin.

14. For FY09 expecting to maintain same operating margin as that of FY08 with variation of 40-50 bps (0.04% - 0.05%)

15. Infosys gives guidance in Dollars (I don't know about this earlier) and then it converted to Rupees , which is what you see in the point(1) above. The Rupee conversion is seen at 40.02 per dollar

16.SG&A is about 14% of the revenues.

17.Q4 FY08 utilization is 76%

18. 19-21% guidance growth for FY09 year

19. Revenue productivity (Pricing) up by 0.2% for Q4 FY08 and 6% YOY. The same is expected for FY09 also.

20. In Q4 FY08 , closed 4 major deals of which one deal is between USD 200-300 million.

21. Cash holding is USD 2 billion

22. Announced special bonus of Rs 20 as it reached USD 1 billion net profit this year.

23. Increased the dividend pay from 20% of net profit to 30% of net profit.