*Infy, Wipro, Mindtree - First Cut*
*Infosys Q2FY22 result First Cut: All round Beat*
*Revenue in CC terms grew by 6.3% sequentially against our expectation of 5% sequential growth.* Our expectation was one of the highest on the street.
*Given this continued momentum the company further increased revenue growth guidance to 16.5%-17.5%.* This should be taken very positively by the market.
Digital business grew by whopping 42.5% YoY and came higher than our expectations. 56% of Infy revenue now comes from Digital practise and it reaches $9 bn of yearly runrate
Operating margin came 23.6%, *10 bps lower sequentially against our expectation of 40 bps sequential drop.*
All the verticals reported more than 15% YoY growth in CC terms. USA and Europe reported 23% and 20% YoY growth in CC terms.
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*Wipro Q2FY22 Result First Cut: All round beat*
IT services revenue grew by 8.1% sequentially in CC terms. Excluding acquisition growth came at 4.6%. *Growth was higher than our expectation of 7% sequentially and our expectation was highest on the street.*
Services EBIT margin came at 17.8%, flat sequentially against our expectation of 40 bps sequential fall.
The company expect the revenue to grow by 2-4% in next quarter and considering the high base, this according us is a string guidance. *Management is guiding for 25,000 fresher hiring in FY22E*
Growth was broad based across the sector and geography
*Management in initial remark indicated very strong demand environment and strong pipeline.*
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*Mindtree Q2Fy22 First Cut: All round beat*
USD Revenue growth came at 12.7% sequentially against our expectation of 7.6%. *Our expectation was highest on the street.*
EBIT margin came at 18.2%, a *sequential improvement of 50 bps against our expectation of 40 bps sequential pressure.*
Despite higher attrition of 17.7% against 16.6% in the previous quarter margin improvement is an indication of business resilience. *And most importantly, attrition is clearly peaking out.*
Ex-Microsoft, revenue from other clients grew by whopping 18% sequentially.
TCV came at 360 mn, a growth of 20% YoY.