INFOSYS

Infosys Limited

POWERED BY INTELLECTDRIVEN BY VALUES

Type Public

Traded as BSE: 500209NSE: INFYNYSE: INFYBSE SENSEX ConstituentCNX Nifty Constituent

Industry IT services, IT consulting

Founded 1981

Founder(s) N. R. Narayana MurthyNandan NilekaniN. S. RaghavanS GopalakrishnanS D ShibulalK DineshAshok Arora

Headquarters

Electronics City, Bangalore, Karnataka, India

Area served Worldwide

Key people N. R. Narayana Murthy (Executive Chairman)

Vishal Sikka (CEO & MD)S. Gopalakrishnan (Executive Vice Chairman)

Services IT, business consulting and outsourcingservices

Revenue  INR 50,133 crores (US$ 8.4 billion) (2014)[1]

Operating income

 INR 13,381 crores (US$ 1.98 billion) (2014)[1]

Profit  INR 10,648 crores (US$ 1.75 billion) (2014)[1]

Total assets  US$ 9.53 billion (2014)[1]

Total equity  US$ 8.33 billion (2014)[1]

Employees 160,405 (31 March 2014)[2]

Divisions Infosys BPOLodestone Management Consultants

Website infosys.com

Infosys (formerly Infosys Technologies) is an Indian multinational corporation that provides business consulting,information technology, software engineering and outsourcing services. It is headquartered in Bengaluru, Karnataka.[3]Infosys is the third-largest India-based IT services company by 2014 revenues,[4] and the fifth largest employer of H-1B visa professionals in the United States in FY 2013.[5] On 31 March 2014, its market capitalisation was INR 188,510 crores ($31.11 billion), making it India's fifth largest publicly traded company.[6][7]

History[edit]

Infosys was co-founded in 1981 by N. R. Narayana Murthy, Nandan Nilekani, N. S. Raghavan, S. Gopalakrishnan, S. D. Shibulal, K. Dinesh and Ashok Arora after they resigned from Patni Computer Systems. The company was incorporated as "Infosys Consultants Pvt Ltd." with a capital of Rs. 10,000 (roughly $167) in Model Colony, Pune as the registered office and signed its first client, Data Basics

Corporation, in New York. In 1983, the company's corporate headquarters was relocated to Bangalore.Change in name: It changed its name to "Infosys Technologies Private Limited" in April 1992 and to "Infosys Technologies Limited" when it became a public limited company in June 1992. It was later renamed to "Infosys Limited" in June 2011.[8]

On 1 June 2013, Mr. Narayana Murthy, one of the founding members of Infosys and its long time CEO, returned from his retirement to assume office in Infosys as its Executive Chairman.[9][10]

Listings[edit]Infosys made an initial public offer (IPO) in February 1993 with an offer price of Rs. 98 per share against book value of Rs. 10 per share. The Infosys IPO was under subscribed but it was "bailed out" by US investment bank Morgan Stanley which picked up 13% of equity at the offer price.[11] Its shares were listed in stock exchanges in June 1993 with trading opening at Rs. 145 per share.[12]

In October 1994, it made a private placement of 5,50,000 shares at Rs. 450 each against book value of Rs. 10 per share to Foreign Institutional Investors (FIIs), Financial Institutions (FIs) and Corporates.In March 1999, it issued 2,070,000 ADSs (equivalent to 1,035,000 equity shares of par value of Rs. 10 each) at US $34 per ADS under the American Depositary Shares Program and the same were listed on the NASDAQ National Market in US. The total issue amount was US $70.38 million.The share price surged to Rs. 8,100 by 1999 making it the costliest share on the market at the time. At that time, Infosys was among the 20 biggest companies by market capitalization on the NASDAQ.[11]

During July 2003, June 2005 and November 2006, it made secondary ADS issues of US $294 million, US $1.07 billion and US $ 1.605 billion respectively.In December 2012, Infosys transferred the listing of its American Depositary Shares (ADS) from the NASDAQ to the NYSE.[13]

The credit rating of the company is A- (given by Standard & Poor's on 13-Dec-2013).[14]

Operations

Locations: Infosys has a global presence with 73 offices and 94 development centers in the United States, India, China, Australia, Japan, Middle East, and Europe.[16]

In recent years, Infosys has begun shifting operations to the United States and other countries. In 2012, Infosys announced a new office inMilwaukee, Wisconsin to service Harley-Davidson, being the 18th international office in the United States.[17][18] Infosys hired 1,200 United States employees in 2011, and expanded the workforce by an additional 2,000 employees in 2012.[18]

Products and Services

It provides software development, maintenance and independent validation services to companies in banking, finance, insurance, manufacturing and other domains.One of its known products is Finacle which is a universal banking solution with various modules for retail and corporate banking.

Acquisitions

In December 2003, Infosys had acquired Australia-based IT service provider Expert Information Services for $23 million.[19][20]

In December 2009, Infosys BPO acquired Atlanta-based McCamish Systems for about $38 million.[21]

In January 2012, Infosys BPO acquired Australia-based Portland Group, provider of strategic sourcing and category management services, for about AUD 37 million.[22][23]

In September 2012, Infosys acquired Switzerland-based Lodestone Management Consultants for about $345 million [24]

Current shareholding

Shareholders (as on 31-Mar-2014) Shareholding[1]

Promoters group 15.94%

Foreign Institutional Investors (FII) 42.10%

ADR 16.10%

Individual shareholders 09.95%

Banks, Financial Institutions and Insurance Companies 09.08%

Mutual Funds 04.58%

Others 02.25%

Total 100.00%

Initiatives

InfosysFoundationIn 1996, Infosys established the Infosys Foundation, to support the underprivileged sections of society.[25] At the outset, the Infosys Foundation implemented programs in Karnataka. It subsequently covered Tamil Nadu, Andhra Pradesh, Maharashtra, Odisha, and Punjabin a phased manner. A team at the Foundation identifies programs in the areas of Healthcare, Education, Culture, Destitute Care and Rural Development.[26]

AcademicEntenteInfosys' Global Academic Relations team forges Academic Entente (AcE)[clarification

needed] with academic and partner institutions.[27] It explores co-creation opportunities between Infosys and academia through case studies, student trips and speaking engagements. They also collaborate on technology, emerging economies, globalization, and research. Some initiatives include research collaborations, publications, conferences and speaking sessions, campus visits and campus hiring.[28]

InfosysLabsInfosys Labs is organized as a global network of research labs and innovation hubs.[29]

Infosys Labs collaborates with leading national and international universities such as the University of Southern California Viterbi School of Engineering,[30] University of Cambridge,Queens University of Belfast,[31] University of Illinois at Urbana-Champaign, Indian Institute of Technology Bombay, IITB-Monash Research Academy, Indraprastha Institute of Information Technology, Delhi, Indian Institute of Science, Bangalore, Purdue University,[32] Indian Institute of Information Technology, Bangalore.[33]

Infosys PrizeInfosys Prize is an annual award given to scientists, researchers, engineers and social scientists in India. It is given by the Infosys Science Foundation, a not-for-profit trust which was set up in February 2009 by Infosys and some members of its Board. The prize is given under six categories. Each category includes a gold medallion, a citation certificate, and prize money of Rs. 55 Lakh.[34][35]

EmployeesInfosys has a total of 160,405 employees as of 31 March 2014, of which 34.7% were women. Its workforce consists of employees representing 89 nationalities working from 32 countries.[36] Out of its total workforce, 79% are software professionals, 15% are working in its BPO arm and remaining 5% work for support and sales.[15] The attrition rate of Infosys Ltd., excluding its subsidiaries, for 12 months ending 31 March 2014, was 18.7%.[15]

During FY 2013-14, Infosys received 911,220 applications from prospective employees and had a gross addition of 39,985 employees.[37]

Training Centre in Mysore[edit]As the world's largest corporate university, the Infosys global education centre in the 340 acre[38][39] campus has 500 instructors and 200 classrooms, with international benchmarks at its core.[40] Established in 2002, it had trained around 100,000 engineering graduates by June 2012.[40] It can train 12,000 employees with 3 batches of 4000 employees for 4 months each.[41][42]

Infosys Leadership Institute (ILI)ILI based in Mysore has 96 rooms and trains about 400 Infoscians annually to become 'leaders'.[42]

List of CEOs[edit]

Name Period

N. R. Narayana Murthy 1981 to March 2002

Nandan Nilekani March 2002 to April 2007

S Gopalakrishnan April 2007 to August 2011

S D Shibulal August 2011 till July 2014

Vishal Sikka August 2014 (designate)[43][44]

Awards and recognitions[edit]

Infosys was ranked 15th largest IT services provider in the world by HfS Research in its 2013 ranking.[45]

Infosys was ranked #19 amongst the world's most innovative companies by Forbes.[46]

The company was ranked number one among the best managed companies in Asia Pacific in the annual Euromoney BestManaged Companies in Asia survey, 2013 and named a leader in The ForresterWave™: Enterprise Mobility Services, Q1 2013 report.[47]

Infosys was identified as one of the top 25 performers in Caring for Climate Initiative by UN Global Compact and UN Environment Program – the only global consulting and technology major in the list.[48]

The company also won the Oracle Excellence Award for Specialized Partner of the Year – North America in both Financial Management and Human Capital Management categories, at Oracle OpenWorld2012.[49]

Boston Consulting Group has listed it in the list of top ten technology companies for total shareholder return.[50] Infosys was in the list of top twenty green companies inNewsweek's Green Rankings for 2012.[51]

It has been voted India's most admired company in The Wall Street Journal Asia 200[52] every year since 2000 The company's corporate governance

practices were recognized by The Asset Platinum award[53] and the IR Global Rankings.[54] Infosys was also ranked as the 15th most trusted brand in India by The Brand Trust Report.

Infosys Cloud Ecosystem Hub won the 2012 Golden Peacock Award for the most innovative product/service.[55]