After Wipro and Tata Consultancy Services (TCS), Infosys is scheduled to report its April-June quarter of the fiscal year 2020-21 financial results on Wednesday, July 15. The company is expected to release dejected numbers because of the disruptions caused by the coronavirus outbreak.
Analysts expect Q1 of FY21 to be the most painful quarter for the IT companies as already lockdowns in India and other parts of the world have been relaxed to a certain limit. However, hammering a good will be challenging until economies open up completely. It is also believed that in Q2 of FY21 the revenue collection will stabilise and the Q3/Q4 will probably be quarters of revival, said Edelweiss Securities in result preview note.
Different theories of brokerages from Infosys Q1 results
Edelweiss Securities expects revenue in constant currency (CC) terms to decrease by 3.7 percent on a serial basis. In terms of rupee, the revenue collection is expected to decrease down by 1.1 percent quarter-on-quarter basis to Rs 23,006.5 crore. However, on yearly basis, the revenue is expected to increase by 5.5 percent.
Emkay Global forecasts a 4.2 percent quarter-on-quarter decrease in US dollar revenues, with almost negligible cross-currency impact on a serial basis. In terms of rupee, net sale is expected to come in at Rs 23,251.1 crore, up with 6.6 percent Year on Year basis and down with 0.1 percent Quarter on Quarter basis. EBITDA is projected to decrease down by 9.6 percent Year on Year basis and 0.6 percent Quarter on Quarter basis to finally settle at Rs 5,645.1 crore.
UBS expects the US currency revenue to decline by 6.5 percent Quarter on Quarter basis and 4.5 percent Year on Year basis. Constant currency revenue is expected to reduce by 6.4 percent Quarter on Quarter basis and 3.7 percent Year on Year basis, while EBIT margin is likely to decline 54bps Quarter on Quarter basis to 20.6 percent.