Infosys likely to open with gap-up post Q3 results

MUMBAI: Shares of Infosys Technologies are likely to open with a gap-up in trade today after it surprised the street and analysts by increasing its FY13 guidance.

The company sees FY13 sales at Rs 40,750 crore vs Rs 39,580 crore earlier. FY13 dollar revenues are seen at $7.45 billion vs $7.34 billion earlier.

According to analysts, the buying interest in the stock is likely force bears to cover their short positions.

Infosys Technologies reported a net profit of Rs 2,369 crore for the quarter ended December 2012 against a net profit of Rs 2,372 crore in the same period a year ago. The net profit was above ET Now poll estimate of Rs 2,225 crore.

The company reported revenue of Rs 10,424 crore as compared to Rs 9,298 crore in the corresponding quarter last fiscal and lower than ET Now poll estimate of Rs 10,140.

“We have done well in this quarter despite an uncertain environment,” said S. D. Shibulal, CEO and Managing Director. “We continue to gain confidence from a strong pipeline of large deals. However, the broader economic environment remains difficult. Even so, we remain cautiously optimistic about the January-March quarter”, he added.

Infosys Technologies sees FY13 earnings per ADR at $2.97 and FY13 EPS outlook at Rs 162.8. It won 8 large outsourcing deals in Q3.

The stock has surged in pre-market trade. It was trading at Rs 2,521, up Rs 198.70 or 8.56 per cent on the NSE.