Infosys announces share buyback, dividend. All you need to know
IT major Infosys Ltd on Thursday reported an 11 percent rise in second-quarter profit to Rs 6,021 crore, beating street estimates.
The company said it now expects revenue to grow by 15-16 percent for the financial year to March, up from the 14-16 percent increase it forecast in July.
“Operating margins increased sequentially by 150 bps in Q2, driven by our operational rigor. While supply-side issues are gradually receding, reflected in lower attrition rates, they continue to put pressure on our cost structure,” the company said in a statement.
Meanwhile, Infosys also announced a share buyback of Rs 9,300 crore, at a price not exceeding Rs 1,850 per share.
The company said the board at its meeting:
“Open market share buyback of ₹9,300 crores (maximum buyback size, excluding buyback tax) at a price not exceeding ₹1,850 per share (maximum buyback price), subject to shareholder approval.
Interim dividend of ₹ 16.50 per share vs. FY 22 interim dividend ₹15. The total amount of the interim dividend will be approx. ₹ 6,940 crores.”
“In line with the capital allocation policy, the board has announced an interim dividend of ₹16.50 per share, an increase of 10 percent over FY22’s interim dividend and an open market share buyback of ₹9,300 crores,” Chief Financial Officer Nilanjan Roy he said.