Infosys (INFY) Reports Stellar Results; Indian Stocks Rally

Infosys (INFY), the darling of the Indian Techs, reported a stellar quarter with a 20% rise in earnings on a 30% increase in revenues from the comparable quarter last year. Earnings came in at $152M, and revenue were $592M. Quoting from the Company's press release: "It took us 23 years to reach the first billion dollars in revenues while we reached the next billion dollars in 23 months," the company said. "The global IT services industry is showing signs of stronger growth and Infosys is well poised to take advantage." See full story here.

Infosys is the most well known tech brand from India. It is expanding rapidly all over the globe, and the success of this company sets the mood for the entire Indian Tech Sector. The company promised good growth in the coming year. The stock of Infosys, listed on Nasdaq with ticker INFY, closed up 11% on the Earnings release.

Success of Infosys is mostly outside of India. The Indian Software sector inside India is still small; and this is where the real growth will come for Indian Stock Investors. Other stocks to watch are Wipro, WIT and Satyam Computer, SAY, both companies are similar to Infosys in their businesses. Satyam Computer has a great brand inside of India, and is the original parent of SIFY.

The benchmark Bombay Sensex closed up 2.7% on the Infosys News.


Sanjay John G.