Infosys grows 46%; predicts flat growth

By siliconindia staff writer   |   Thursday, 14 April 2005, 19:30 IST
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BANGALORE: One of India’s largest software service providers, Infosys Technologies, has registered revenues of 7129 crores for the fourth quarter ending 31 March 2005. Making a mark in the industry with 46.91 percent increase from the previous year—winded up the FY04 with 4852 crores—the company has increased its customer base and will ramp up its work force. Mulling and exuberating over this spectacular growth of almost-50 percent, Nandan NileKani, CEO, President and Managing Director of the Nasdaq listed INFY stated that the company’s expectation of reaching $2 billion mark is just a year away. “Infosys took 23 years to reach $1B mark, but reaching $2 billion will take just a years time. Isn’t that great?” Nilekani exclaimed. The company witnessed good growth this year reflecting the boom that happened in the Indian outsourcing industry of 2004. Also, an internal activity of selling out stake in one of its spin off, Yantra Corp, to Sterling Commerce added to the over all years’ results and the total revenue the company garnered. Keeping Yantra aside, the company’s expectation in terms of earned-revenue is supposedly below their expectation. “This is because of the newer compliance laws that our customers in the U.S are grappling with,” said Kris Gopalakrishnan, Chief Operating Officer. Customer’s compliance-conundrums have left Infosys with a small dosage of depression in last quarter and this is predicted to continue in the first quarter of fiscal 2005-06. “The growth will be flat,” said Gopalakrishnan. This is because the clients are undergoing a bit of restructuring within their companies, he added.