Earnings

Infosys to see 50% revenue from digital 'soon', says CEO Salil Parekh

Updated : October 14, 2020 08:05 PM IST

The core business took a hit this quarter, with a decline of 12 percent over last year.

Infosys’s stellar performance in the September quarter was backed by the 25.4 percent year-on-year growth in its digital business, which now contributes 47.3 percent of the company’s total revenues.

“The investment we made in digital over the last few years has helped us now. We will cross the 50 percent mark for digital contribution soon,” CEO Salil Parekh said during the company’s quarterly earnings conference on Wednesday.

Parekh, however, did not specify a timeline for digital bringing in half the revenues.

ALSO READ: Infosys Q2 results: IT major reports net profit at Rs 4,845 crore, revenue at Rs 24,570 crore

Infosys has been growing it’s digital contribution steadily over recent years. Digital revenues as part of total revenues stood at 38.3 percent in the September quarter of last year, and at 31 percent in the same quarter in 2018.

The core business took a hit this quarter as well, with a decline of 12 percent over last year.

Infosys has also been on an acquisition spree, such as in the area of digital customer experience, with Blue Acorn iCi, in cloud consulting with Simplus, a Salesforce Platinum Partner, and two others this calendar year.

“We are still open to looking at more acquisitions,” Parekh said.

The opportunities for digital growth lie in cloud and e-commerce among other areas, the management said.

“There is a lot of focus on online commerce, as every retailer is focusing on direct to consumer,” COO Pravin Rao said,

“Clients are using the cloud for new ways of connecting with suppliers and employees,” Parekh added.

Infosys to see 50% revenue from digital 'soon', says CEO Salil Parekh

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