Infosys Limited - Revenue Analysis & Operating Metrics 2006-2011

Infosys Limited Financial Performance 2006-2011

Financial Performance:

• Global recession due to the 2008 Global financial crisis have slowed down the revenue growth in 2009 (12% YoY) and 2010 (3% YoY). Growth recovered in 2011 with revenues growing by 26% YoY. 
• Infosys was able to control its operating costs as is evident in the operating expenses growth in 2009 (10% YoY) and 2010 (2% YoY). Stringent cost cutting measures were adopted and the company kept up its operating margins and profitability during this time. 
• Infosys saw good growth in 2011 as the company saw revenue and profitability both growing and also had improved its spending for growth. 

Infosys Limited Geography Mix 2006-2011

Geography Analysis:

• Infosys is most dependant on North America with more than 65% revenues as American companies are at forefront of the outsourcing industry. 
• Europe is the second largest market but the revenues in the region had been falling due to the European sovereign debt crisis and UK companies are also reducing outsourcing to India. 
• Slightly improving business from Rest of the World. 
• Indian presence is very low not a focus area. 

Infosys Limited Vertical Revenue Mix 2006-2011

Vertical Analysis:

• BFSI is the dominant vertical for Infosys (36%) and one of the major player in the industry. 
• Manufacturing is second largest vertical which has seen good growth in 2009 and the growth is constant at 20%. 
• Telecom was good vertical for Infosys but revenues started falling form FY 2009 and saw significant fall previous year too. Services vertical also saw revenues falling. 
• Retail has been constantly growing over years. Rest of the verticals are maintaining constant growth over the years. 

Infosys Limited Services Revenue Mix 2006-2011

Services Segment Analysis:

• Since 2006 Application Development and Maintenance revenues have been constantly falling from 50% in 2006 to 39% in 2011.  
• Consulting Services & Package Implementation has seen good growth from 20% in 2006 to 26% in 2011 . 
• Rest of the verticals have seen constant growth. Infrastructure management services saw up and down growth. 

Infosys Limited Contract Type 2006-2011

Time & Material contracts are the most preferred. But the Fixed price contracts are also seeing growth since 2009.

Infosys Limited Onsite/Offshore Mix 2006-2011

It has always been a balanced mix of onsite and offshore for Infosys except during recession years 2008 till 2010 when Offshore is preferred. 2011 saw rise in onsite revenue mix.

Source: Company Investors Site                                 Website: www.infosys.com/investors