EX-99.7 8 f00287exv99w7.htm EXHIBIT 99.7 exv99w7
 

EXHIBIT 99.7

Fact Sheet – Consolidated Financial Data, First Quarter, 2004-05   (INFOSYS LOGO)

Profit and Loss Account summary for the Quarter ended

(Consolidated as per Indian GAAP)

in Rs. crore, except per share data

                                         
                                    Growth % in
    June 30,
   Growth   March 31,   Q1 FY 2005
over Q4 FY
Particulars
   2004
   2003
   (%)
   2004
   2004
INCOME
                                        
Software services, products and business process management Overseas
     1,493.45       1,071.38       39.39       1,333.28       12.01  
Domestic
     23.93       23.32       2.61       16.17       47.99  
TOTAL INCOME
     1,517.38       1,094.70       38.61       1,349.45       12.44  
Software development and business process management expenses
     805.22       579.60       38.93       707.09       13.88  
GROSS PROFIT
     712.16       515.10       38.26       642.36       10.87  
Selling and marketing expenses
     105.21       81.64       28.87       91.67       14.77  
General and administration expenses
     117.68       82.98       41.82       101.52       15.92  
 
     222.89       164.62       35.40       193.19       15.37  
OPERATING PROFIT (EBIDTA)
     489.27       350.48       39.60       449.17       8.93  
Interest
     —       —       —       —       —  
Depreciation and amortization
     52.53       45.14       16.37       64.42       (18.46 )
OPERATING PROFIT AFTER INTEREST, DEPRECIATION AND AMORTIZATION
     436.74       305.34       43.04       384.75       13.51  
Other income
     15.70       31.94       (50.85 )     1.82       762.64  
Provision for investments
     (0.01 )     6.36       —       0.80       —  
PROFIT BEFORE TAX
     452.45       330.92       36.72       385.77       17.28  
Provision for taxation
     64.11       52.00       23.29       50.54       26.85  
NET PROFIT AFTER TAX
     388.34       278.92       39.23       335.23       15.84  
EARNINGS PER SHARE*
                                        
(Equity shares, par value Rs. 5/- each)
                                        
Basic
     14.54       10.53       38.08       12.59       15.49  
Diluted
     14.29       10.49       36.22       12.34       15.80  

* adjusted for the 3:1 bonus issue of shares distributed on July 6, 2004

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Fact Sheet – Consolidated Financial Data, First Quarter, 2004-05   (INFOSYS LOGO)

REVENUE BY GEOGRAPHICAL SEGMENT

                                         
    Quarter ended
   LTM
    June 30, 2004   Mar 31, 2004   June 30, 2003   June 30, 2004   June 30, 2003
    %
   %
   %
   %
   %
North America
     65.2       65.5       74.7       68.8       73.6  
Europe
     22.2       20.3       17.4       20.5       17.3  
India
     1.6       1.2       2.1       1.3       2.2  
Rest of the world
     11.0       13.0       5.8       9.4       6.9  
Total
     100.0       100.0       100.0       100.0       100.0  

REVENUE BY SERVICE OFFERING

                                         
    Quarter ended
   LTM
    June 30, 2004   Mar 31, 2004   June 30, 2003   June 30, 2004   June 30, 2003
    %
   %
   %
   %
   %
Development
     26.1       25.6       27.8       25.3       30.6  
Maintenance
     28.8       29.9       26.9       30.3       27.4  
Re-engineering
     5.8       6.0       6.7       5.9       5.8  
Package implementation
     15.0       16.5       13.5       14.8       12.2  
Consulting
     3.4       3.4       4.4       3.4       4.3  
Testing
     5.3       4.7       4.4       5.5       3.7  
Engineering services
     1.9       2.0       2.6       2.0       2.5  
Business process management
     2.1       1.9       1.2       1.8       0.8  
Other services
     9.2       7.8       8.9       8.5       8.2  
Total services
     97.6       97.8       96.4       97.5       95.5  
Products
     2.4       2.2       3.6       2.5       4.5  
Total revenues
     100.00       100.0       100.0       100.0       100.0  

REVENUE BY PROJECT TYPE *

                                         
    Quarter ended
   LTM
    June 30, 2004   Mar 31, 2004   June 30, 2003   June 30, 2004   June 30, 2003
    %
   %
   %
   %
   %
Fixed Price
     29.7       30.6       35.9       32.2       37.1  
Time & Materials
     70.3       69.4       64.1       67.8       62.9  
Total
     100.0       100.0       100.0       100.0       100.0  

“LTM” — Last Twelve Months
* Excluding products

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Fact Sheet – Consolidated Financial Data, First Quarter, 2004-05   (INFOSYS LOGO)

REVENUE BY INDUSTRY

                                         
    Quarter ended
   LTM
    June 30, 2004   Mar 31, 2004   June 30, 2003   June 30, 2004   June 30, 2003
   
  %
   %
   %
   %
Insurance, banking & financial services
     34.0       33.2       37.4       35.7       37.7  
Insurance
     9.6       10.2       13.9       11.7       13.9  
Banking & financial services
     24.4       23.0       23.5       24.0       23.8  
Manufacturing
     15.0       14.4       15.6       14.7       16.2  
Retail
     11.4       11.2       11.6       11.6       11.4  
Telecom
     17.9       20.4       14.6       17.3       15.0  
Energy & Utilities
     2.9       2.2       3.5       2.8       3.2  
Transportation & logistics
     7.6       7.3       7.1       7.3       6.9  
Services
     6.1       5.6       5.1       5.7       5.8  
Others
     5.1       5.7       5.1       4.9       3.8  
Total
     100.0       100.0       100.0       100.0       100.0  

CLIENT DATA

                         
    Quarter ended
    June 30, 2004
   Mar 31, 2004
   June 30, 2003
Active Clients
     419       393       346  
Added during the quarter
     29       38       22  
Number of million dollar clients*
     141       131       113  
Number of 5 million+ dollar clients*
     53       51       37  
Number of 10 million+ dollar clients*
     27       25       19  
Number of 20 million+ dollar clients*
     15       12       10  
Number of 30 million+ dollar clients*
     8       6       4  
Number of 40 million+ dollar clients*
     5       4       3  
Number of 50 million+ dollar clients*
     3       3       —  
Clients accounting for >5% of revenue
     1       1       2  
Revenue – top client
     5.3 %     6.5 %     5.7 %
Revenue – top 5 clients
     21.6 %     23.3 %     23.7 %
Revenue – top 10 clients
     34.3 %     37.1 %     36.7 %
Repeat business
     98.5 %     88.6 %     97.8 %
Account receivables – LTM (in days)
     58       49       52  

“LTM” — Last Twelve Months
* LTM Revenues

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Fact Sheet – Consolidated Financial Data, First Quarter, 2004-05   (INFOSYS LOGO)

EFFORT AND UTILIZATION

                         
    Quarter ended
    June 30, 2004
   Mar 31, 2004
   June 30, 2003
Effort
                        
Onsite
     29.4 %     30.5 %     32.1 %
Offshore
     70.6 %     69.5 %     67.9 %
Revenue
                        
Onsite
     51.9 %     53.0 %     53.9 %
Offshore
     48.1 %     47.0 %     46.1 %
Utilization
                        
Including trainees
     73.4 %     70.2 %     76.6 %
Excluding trainees
     79.7 %     79.3 %     83.7 %

PERSON MONTHS DATA

                           
      Quarter ended
      June 30, 2004
   Mar 31, 2004
   June 30, 2003
Billed
– Onsite
     16,211       14,875       11,700  
  – Offshore     38,894       33,949       24,732  
TOTAL
     55,105       48,824       36,432  
Non Billable
     14,061       12,781       7,103  
Trainees
     5,901       7,983       4,056  
Sales & Support
     4,652       4,905       3,894  
TOTAL
     79,719       74,493       51,485  

EMPLOYEE METRICS

                         
    Quarter ended
    June 30, 2004
   Mar 31, 2004
   June 30, 2003
Total Employees
     27,939       25,634       17,977  
S/W professionals
     26,028       23,860       16,434  
Billable
     23,761       21,189       14,009  
Banking Product Group
     685       604       516  
Trainees
     1,582       2,067       1,909  
Sales & Support
     1,911       1,774       1,543  
Gross Addition
     3,233       2,849       2,592  
Net Addition
     2,305       2,425       2,101  
Lateral Employees
     746       774       330  
Attrition % (LTM) *
     10.90 %     10.45 %     7.90 %

“LTM” — Last Twelve Months
* Excluding subsidiaries

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Fact Sheet – Consolidated Financial Data, First Quarter, 2004-05   (INFOSYS LOGO)

INFRASTRUCTURE (as on June 30, 2004)**

                                         
    Completed
   Work in Progress
   Land
    Built-Up Area           Built-Up Area           acquired during
    (Sq Ft)
   No. of Seats
   (Sq Ft)
   No. of Seats
   the Qtr (acres)
Bangalore
     16,24,836       9,152       4,60,000       4,110       1.975  
Pune
     5,89,647       3,626       1,43,000       1,230       0  
Chennai
     4,21,317       2,906       2,08,000       1,270       75.06  
Hyderabad
     4,62,000       2,865       1,54,000       1,100       0  
Bhubaneshwar
     2,84,000       2,000       1,00,000       —       0  
Mangalore
     1,98,000       1,150       —       250       0  
Mysore (including ILI)*
     5,18,450       1,484       16,51,000       —       51.89  
Mohali
     21,000       200       —       —       0  
Trivandrum
     22,000       220       —       —       0  
Total
     41,41,250       23,603       27,16,000       7,960       128.925  

* Infosys Leadership Institute
** Excluding subsidiaries

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Fact Sheet – Consolidated Financial Data, First Quarter, 2004-05   (INFOSYS LOGO)

Reconciliation of accounts as per Indian GAAP and US GAAP

in Rs. Crore

                         
    Quarter ended
   Year ended
    June 30, 2004
   June 30, 2003
   March 31, 2004
Consolidated Net Profit as per Indian GAAP
     388.36       278.90       1,243.63  
Amortization of deferred stock compensation
     —       (5.00 )     (12.87 )
Deferred taxes
     6.39       0.10       (5.05 )
Gain on forward foreign exchange contracts
     (17.70 )     (0.10 )     16.01  
Amortization of Intangibles
     (1.16 )     —       (1.19 )
Others
     —       —       (6.05 )
Consolidated Net income as per US GAAP
     375.89       273.90       1,234.48  

Reasons for differences in net income as per Indian GAAP and US GAAP

Amortization of deferred stock compensation

The Accounting Principles Board Opinion No. 25 of US GAAP requires the accounting of deferred stock compensation on issue of stock options to employees, being the difference between the exercise price and the market value as determined by the quoted market prices of the common stock on the grant date.

Gain on forward exchange contracts

Until April 1st, 2004, Indian GAAP required the premium/discount on forward contract to be recognized as income or expenditure over the life of the related contract. Under US GAAP, the same is marked-to-market as on the reporting date. The resultant gain / loss is recognized immediately in the income statement. Effective April 1, 2004, the company changed its accounting policy in India in line with the revised Accounting Standard 11 on forward contracts and hence the company has decided to account for the forward exchange contracts based on their designation as ‘effective hedges’ or ‘not effective’.

Amortization of Intangibles

US GAAP requires the purchase price in business combination transactions to be allocated to identifiable assets and liabilities, including intangible assets. Intangible assets are to be amortized over the estimated useful life. The amortization relates to that of an intangible asset identified in allocation of the purchase price of Expert Information Services Pty Limited, Australia.

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