Contrary to analysts' sentiments, the Infosys management, under the aegis of Salil S. Parekh, the new MD and CEO, is upbeat with its numbers for the year just concluded, as is evident from the company's recent earnings call for last quarter of 2017.
In the call, M.D. Ranganath, CFO, Infosys, declared that "digital revenues exceeded 25 per cent of the total revenues." Besides, he stated that the number of $100 million clients increased to 20 and revenue per employee increased by 6.3 per cent during the year, crossing $54,500. Operating margin stayed resilient at 24.3 per cent, driven by improvement in operational parameters, productivity and automation benefits.
During the quarter, Infosys had 10 large deal wins with TCV (total contract value) of $905 million. The company opened a design and innovation hub in Rhode Island and a tech and innovation hub in Connecticut to "close the gap for design and human centric skills in technology fields". Pravin Rao, COO, Infosys, pointed at budget shifts towards modernisation of legacy systems.
In the insurance vertical, Rao said, the company hopes to see growth "driven by large deals, new account openings and offerings around McCamish and Nia." On the investment front, for FY 2019, Infosys' approach will relate to four areas. "We will focus on the digital services business of which we already have $2.8 billion in our current portfolio, apply intense automation and artificial intelligence to improve productivity, and expand localisation in the US by building delivery centres, training centres and by hiring locally," Parekh said.
With this, the company aims to help clients "navigate their journey to their digital future".