Indian IT services major Infosys announced its Q2 results on Thursday and the company said that it would start rolling out wage hikes to its employees from November 1.
At a post-earnings press conference, Salil Parekh, MD and CEO of Infosys, said, “ Wage hikes to employees will be rolled out from November 1.”
The company did not make any announcements regarding variable pay.
Attrition at Infosys moderated in the September quarter. The LTM IT services attrition came in at 14.6 per cent, down nearly 3 percentage points sequentially and down nearly 13 percentage points on an yearly basis. The LTM IT attrition for the June ended quarter was at 17.3 per cent and for Q2FY23 was at 27.1 per cent.
The company’s headcount also went down compared to previous quarters. The IT company had 3,28,764 employees as of September 2023. The company had 3,36,294 employees in the previous quarter, bringing the employee headcount down by 7,533. The headcount also dipped by 16,454 YoY.
The IT major reported a 3 per cent year-on-year (YoY) rise in net profit after (minority interest) at Rs 6,212 crore for the September quarter compared with Rs 6,026 crore in the corresponding quarter last year. Revenue in the September quarter rose 6.7 per cent to Rs 38,994 crore in Q2 against Rs 36,538 crore in the corresponding quarter of the last year.
Nilanjan Roy, CFO of the IT company said, “Our Q2 operating margin of 21.2 per cent demonstrates the early benefits of recently unveiled margin improvement plan and is a clear reflection of our ability to continuously identify opportunities for improving operational efficiencies." “In line with our capital allocation policy, the Board has announced an interim dividend of Rs 18 per share, an increase of 9.1% over last year”, he added.
Infosys also announced an interim dividend of Rs 18 per share. The CFO highlighted, “In line with our capital allocation policy, the Board has announced an interim dividend of ` 18 per share, an increase of 9.1 per cent over last year.”