With the improvement in business, Infosys has shared plans to hire 15,000-20,000 freshers depending on the year-on-year growth.

New Delhi: Technology major Infosys has announced a 7% growth in its consolidated net revenue for the April-June quarter, which totaled Rs. 6,368 crores. Notably, the company has raised its growth forecast for the current financial year, suggesting a promising outlook for the IT sector.

Recruitment Scheme of Infosys

With the improvement in business, Infosys has shared plans to hire 15,000-20,000 freshers depending on the year-on-year growth. The company has been reporting a steady decline in headcount since the March 2023 quarter.

According to BSE data, the company had made a profit of Rs 5,945 crore in the year-ago period. Sequentially, net profit in April-June fell 20 percent from Rs 7,969 crore in the previous January-March quarter.

Infosys' consolidated revenue rose 3.6 percent to Rs 39,315 crore from Rs 37,933 crore reported a year ago. For the current financial year, the company has revised its revenue growth guidance to 3-4 per cent in constant currency terms from the earlier estimate of 1-3 per cent.

“We had an excellent start to FY25 with strong and broad-based growth, operating margin expansion, strong major deals and highest cash generation ever. This is a testimony to our differentiated service offering, tremendous customer trust and relentless execution,” said Salil Parekh, CEO & MD.

The company's operating margin is 21%

The company's operating margin for the quarter was 21.1 percent. Infosys' operating margin is expected to be 20-22 percent in the current fiscal.

“With our focused approach to generative AI for enterprises working with their data sets on a cloud foundation, we have strong traction with our clients. This is based on our topaz and cobalt capabilities,” Parekh added. The company won major deals worth USD 4.1 billion during the quarter.

“We had a very strong performance on large deals in the first quarter, which gives us greater visibility throughout the year,” Parekh said. He said the financial services sector in the US has improved, but the macroeconomic environment affecting discretionary spending by clients is still subdued compared to levels several quarters ago.

“I think we have discretionary spending meaning, which is a function of the macro as it affects our clients, but that's what we've been seeing in previous quarters, with the exception that we saw slightly better results for financial services. U. S. in. Otherwise, it is the same.

Parekh said, “Discretion is still below where it was a few quarters ago.

The retail segment's share fell by 3 per cent to 13.8 per cent, while the share of the communication segment increased by 5.4 per cent to 12.1 per cent and energy, utilities, resources and services rose to 13.3 per cent from 6.3 per cent on a constant basis.

“Engineering services is one of the areas that is growing well for us. Across all segments of engineering services, we are seeing a lot of traction in the automotive space, medical device space. We now have two acquisitions that we have done on it,” said Parekh. He said the company is seeing improvement in financial services revenue in the US.

While Infosys's revenue share in North America fell 1.2 percent, it grew 9.1 percent in Europe, 19.9 percent in India and 2.3 percent in the rest of the world on a constant currency basis.

The company's headcount fell by around 6 percent to 3,15,332 in the June 2024 quarter from 3,36,294 a year ago. The head count declined marginally from 3,17,240 in the previous quarter. The company has increased its employee utilization level from 78.9 percent to 83.9 percent on an annual basis.

“Our utilization is already 85 percent. So we now have a bit of headroom left. So you know, as we see growth…we are looking to hire 15,000 to 20,000 freshers this year…depending on how we see growth,” said Infosys Chief Financial Officer Jayesh Sangharajaka. He said that Some earlier placement offers are still pending and will be a combination of on-campus and off-campus depending on the demand environment.

(with input from agencies)