Infosys allots 5.11 lakh equity shares to top-performing employees

Infosys, the country's second-largest IT firm, on Sunday informed that it has allotted 5.11 lakh shares to eligible employees for their contributions to the company's growth. The shares have been allotted under two schemes - Stock Incentive Compensation Plan 2015, and Stock Ownership Program 2019. "The Company has allotted 5,11,862 equity shares on May 12, 2023, pursuant to the exercise of Restricted Stock Units by eligible employees," Infosys said in an exchange filing on Sunday.

The IT firm has allotted 1,04,335 equity shares under the stock incentive compensation plan, while 4,07,527 stocks have been given under the stock ownership program. "Consequently, on May 12, 2023, the issued and subscribed share capital of the Company stands increased to Rs 20,749,373,460/- divided into 4,149,874,692 equity shares of Rs 5/- each," the Bengaluru-headquartered firm said.

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This comes just a month after Infosys posted a 7.8 per cent year-on-year rise in consolidated net profit at Rs 6,128 crore in the March quarter of FY23,  below street estimates. The firm - which competes with Tata Consultancy Services, Wipro, and other tech companies - and gave a 4-7 per cent revenue growth forecast for FY24 amid macroeconomic uncertainties.

Infosys' net profit stood at Rs 5,686 crore in the fourth quarter of FY22. Seen sequentially, the net profit for Q4 came in 7 per cent lower. The company logged a 16 per cent year-on-year growth in consolidated revenue in the fourth quarter of FY23 at Rs 37,441 crore. It has given revenue growth guidance of 4-7 per cent for FY24.

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During the Q3 earnings announcement in January this year, Infosys raised FY23 revenue guidance to 16-16.5 per cent against the previously projected band of 15-16 per cent. For the full year FY23, the net profit was up 9 per cent on year at Rs 24,095 crore, while revenue was 20.7 per cent higher at Rs 146,767 crore.

"As the environment has changed, we see strong interest from our clients for efficiency, cost, and consolidation opportunities, resulting in a strong large deal pipeline," said Infosys CEO and MD Salil Parekh.

On Monday, shares of Infosys closed over 1 per cent higher at Rs 1258.75 apiece on BSE.

(With inputs from PTI)