Wires

UPDATE 1-Infosys ups revenue forecast as profit beats street estimates

(Adds shares, quote)

BENGALURU, Jan 10 (Reuters) - Infosys Ltd, India's second-biggest IT company, raised its revenue forecast range for the year due to upbeat demand for its software services from Western clients.

Bengaluru-headquartered Infosys said it expected revenue to grow between 10% and 10.5% on a constant currency basis in the year ending March 2020, compared with its previous forecast of between 9% and 10%.

The company's net profit for the three months to December rose 23.5% to 44.57 billion rupees ($628.2 million), thanks to deal wins. That compared with a profit of 36.09 billion rupees a year earlier.

Analysts on average had expected Infosys to post a profit of 42.06 billion rupees, according to Refinitiv data.

Sales were 7.9% higher at 230.92 billion rupees.

"Overall performance during the quarter was satisfactory on multiple counts broad-based growth, steady increase in client metrics and healthy large deal wins", Pravin Rao, the company's chief operating officer, said in a statement.

Infosys signed large deals worth $1.8 billion in the quarter, it said.

Separately, Infosys said its audit committee found no evidence of financial impropriety or executive misconduct, following a whistleblower letter last year which alleged that Chief Executive Officer Salil Parekh asked employees to bypass approvals for large deals. 1/8nL3N2770XX

Infosys shares closed 1.5 percent higher in a broader Mumbai market which edged 0.3 percent up. ($1 = 70.95 Indian rupees) (Reporting by Derek Francis and Sankalp Phartiyal; Editing by Maju Samuel and Louise Heavens)

Related Tags