India’s most powerful IT company Infosys considering merger, there was panic as soon as the CEO’s statement came.
Infosys Company CEO: If you are asked that when the company is in profit and doing good business, can it consider merger? Perhaps the first thought that comes to your mind is this or not. If the company is in loss then definitely it can think of merger. Infosys CEO Salil Parekh has said that currently there is a good environment in the field of acquisitions and mergers. So we can think of merger. The Information IT company will consider companies that offer a strong strategic and cultural proposition. Parekh said that while Infosys is always open to good offers for acquisitions, it is a good environment to look for offers where mergers can be seen. Announcing the results of the March 2023 quarter, the top Infosys executive said that it is a good environment. We have very good data. If we find a company or entity that seems like a strategic as well as a cultural fit, we will consider it.
CEO’s statement
He was replying to a question whether the weak macroeconomic environment of the US and global volatility is providing a profitable environment for mergers and acquisitions. Infosys has released March 2023 quarter results this week. The company’s net profit grew less than expected in the March quarter. After this, the company has issued a revenue growth estimate of four-seven percent for the financial year 2023-24 after the volatile situation in the US banking market. India’s second largest software services provider reported a 7.8 per cent year-on-year rise in consolidated net profit at Rs 6,128 crore for the January-March quarter. This resulted in a seven per cent decline in profit from the previous October-December quarter.
climate of economic instability
Integrated net profit in the fourth quarter of the financial year 2022-23 has increased by 7.8 percent to Rs 6,128 crore, less than expected. It has projected a revenue growth of 4-7 per cent for FY 2023-24 amid an environment of global macro-economic volatility. Top management has warned that the environment remains uncertain. The country’s largest IT services firm TCS reported a 14.8 per cent rise in net profit at Rs 11,392 crore in the January-March quarter. Bengaluru-based Infosys’ consolidated income rose 16 per cent to Rs 37,441 crore during the period under review. Infosys Chief Executive Officer (CEO) and Managing Director Salil Parekh said in the statement that we are seeing a strong trend from our customers towards efficiency and cost improvement and integration. So many deals are in the pipeline. The board has recommended a final dividend of Rs 17.50 per equity share for the financial year 2022-23. The company’s net profit for the financial year 2022-23 increased by nine percent to Rs 24,095 crore. At the same time, the revenue increased by 20.7 percent to Rs 1,46,767 crore. Infosys had a total of 3,43,234 employees at the end of the March quarter, down 3,611 from the previous quarter.
