India's second largest IT services company Infosys has fixed November 14 as the record date for its Rs 18,000 crore share buyback. The buyback proposal was approved by the shareholders with overwhelming majority of 98.81%.
This is the company’s second such proposal since 2022 and the biggest in its history. Its board had approved the proposal on September 11. Prior to this, Infosys had conducted a Rs 9,300 crore buyback in 2022.
The buyback will comprise 10 crore shares at Rs 1,800 apiece, accounting for 2.41% of the company’s paid-up share capital.
The announcement was made after market hours today and Infosys shares ended with marginal declines at Rs 1,466.50.
Since the announcement of the buyback, Infosys shares have fallen nearly 3%. The September 11 closing price was Rs 1,512.20.
The stock has seen a 16% erosion in its share price over the past 12 months, underperforming not just the sector but also benchmarks Nifty and Sensex.
Nifty IT index has declined 12% over a 1-year period while the benchmarks have yielded near 5% returns in the same period.
The software exporter reported a 13% year-on-year (YoY) growth in its net profit at Rs 7,364 crore for the second quarter of FY26. Revenue from operations rose 9% to Rs 44,490 crore.
The IT major has revised lower end of its FY26 revenue guidance upwards to 2-3% as against 1-3% earlier. Meanwhile, margin estimate for the year was retained at 20-22%.
For the September quarter, revenues in constant currency terms grew by 2.9% YoY and 2.2% QoQ. Operating margins, on the other hand, saw a decline of 10 bps YoY to 21%.
Gross profit in the second quarter improved 9% YoY to Rs 13,690 crore.
The company clocked $3.1 billion in deal wins with 67% net new in Q2.
This is the company’s second such proposal since 2022 and the biggest in its history. Its board had approved the proposal on September 11. Prior to this, Infosys had conducted a Rs 9,300 crore buyback in 2022.
The buyback will comprise 10 crore shares at Rs 1,800 apiece, accounting for 2.41% of the company’s paid-up share capital.
The announcement was made after market hours today and Infosys shares ended with marginal declines at Rs 1,466.50.
Since the announcement of the buyback, Infosys shares have fallen nearly 3%. The September 11 closing price was Rs 1,512.20.
The stock has seen a 16% erosion in its share price over the past 12 months, underperforming not just the sector but also benchmarks Nifty and Sensex.
Nifty IT index has declined 12% over a 1-year period while the benchmarks have yielded near 5% returns in the same period.
The software exporter reported a 13% year-on-year (YoY) growth in its net profit at Rs 7,364 crore for the second quarter of FY26. Revenue from operations rose 9% to Rs 44,490 crore.
The IT major has revised lower end of its FY26 revenue guidance upwards to 2-3% as against 1-3% earlier. Meanwhile, margin estimate for the year was retained at 20-22%.
For the September quarter, revenues in constant currency terms grew by 2.9% YoY and 2.2% QoQ. Operating margins, on the other hand, saw a decline of 10 bps YoY to 21%.
Gross profit in the second quarter improved 9% YoY to Rs 13,690 crore.
The company clocked $3.1 billion in deal wins with 67% net new in Q2.
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