Infosys Q2 preview: IT major may further increase FY20 revenue guidance

Infosys may further upgrade its revenue guidance for the financial year 2019-20 (FY20) when it releases its September quarter (July-September) results on Friday. The Bengaluru-headquartered IT company, as per analysts, remains on a firm footing given the recent deal momentum, strong positioning in clients and favourable arithmetic (revised guidance implies a 1-2 per cent compounded quarterly growth rate through Q2-Q4FY20) – hence creating the room for more upgrades.

Infosys, in its June quarter results announcement, had revised its FY20 revenue guidance to 8.5-10 per cent year-on-year (YoY) in constant currency (CC) terms. Analysts at Emkay Global have built in 11 per cent year-on-year (YoY) CC revenue growth for FY20, while those at Sharekhan see growth guidance at 9.5-10.5 per cent.