Infosys has made the highest hiring in the quarter ending June 30, 2022 (Q1FY23) compared to its peers TCS, Wipro, and HCL Tech. In the quarter under review, Infosys net additions stood at 21,171 employees. Infosys plans to fuel its strong growth moment with strategic investments in talent through hiring and attractive compensation revisions. Through this, Infosys expects a reduction in its attrition levels which is at 28.4% in Q1FY23 rising from Q1FY22 and Q4FY22. In Q1FY23, Infosys missed analysts estimates as spike in costs offset the shine of strong deals in the earnings.
As of June 30, 2022, Infosys employees count is 3,35,186 – a net addition of 21,171 from 3,14,015 headcount as of March 31, 2022. Net addition has increased by 67,233 counts from total employees of 2,67,953 as of June 30, 2021.
Of the total employees count in Q1FY23, S/W professionals were 3,18,447, and sales and support were 16,739 employees. Meanwhile, 39.3% of the total employees were women which is slightly down from 39.6% in Q4FY22 but higher than 38.8% in Q1FY22.
In Q1FY23, the company’s revenue per employee is $56.9k on a consolidated basis, declining from $57.7k in Q4FY22 but inching up from $56.6k in Q1FY22.
In Q4FY22, Infosys had hired 21,948 employees.
The company’s IT services attrition rate has increased to 28.4% in Q1FY23 versus 13.9% in Q1FY22 and 27.7% in Q4FY22.
Nilanjan Roy, Chief Financial Officer said, “We are fueling the strong growth momentum with strategic investments in talent through hiring and competitive compensation revisions. While this will impact margins in the immediate term, it is expected to reduce attrition levels and position us well for future growth. We continue to optimize various cost levers to drive efficiency in operations”
Among the top IT companies, HCL Tech made the lowest hiring in Q1FY23, Infosys hiring was higher than 5,725 counts from Wipro and 7,035 counts from TCS.
As of June 30, 2022, Wipro’s employees headcount is 258,574 compared to 243,128 employees as of March 31, 2022 – a net addition of 15,446 in the three months
Other peers like HCL Tech in Q1, its total employees count stood at 210,966 rising by only 2,089 employees from 208,877 count in March 2022 quarter. Meanwhile, TCS headcount stood at 606,331 – a net addition of 14,136 during the quarter compared to March 2022 period.
In Q1FY23, Infosys registered a single-digit 3.2% growth in consolidated net profit to ₹5,360 crore compared to a profit of ₹5,195 crore in the same period last year, missing analysts’ as rising costs took the shine off deal wins in the quarter. Q1 PAT declined by 5.7% from ₹5,686 crore in the preceding quarter. Consolidated revenue, meanwhile, increased by 23.6% in the quarter under review to ₹34,470 crore from ₹27,896 crore in Q1 a year ago, and was higher by 6.8% from ₹32,276 crore in Q4FY22.
Infosys increased its FY23 revenue guidance to 14%-16% from the previous 13%-15% in constant currency. While the operating margin is expected to be at a growth rate of 21%-23%.
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