Digital revenues climbed 39% year-over-year to $1.12 billion while core revenues declined 0.8% to $2.01 billion. The company had another quarter of over $2.7 billion large deal total contract value in the first quarter. Segment growth was robust with all large regions and most verticals growing at double digits year-over-year in constant currency.
Looking ahead into fiscal 2020, the company lifted its revenue growth outlook to the range of 8.5% to 10% in constant currency from the previous 7.5% to 9.5% range. Operating margin is still expected to be in the range of 21% to 23%.
Effective from financial year 2020, the company expects to return 85% of the free cash flow cumulatively over a 5-year period through a combination of semi-annual dividends and/or share buyback and/or special dividends.
For the first quarter, by client geography, North America contributed to a higher 61.6% of the share to the total revenues compared to the previous year quarter while Europe, Rest of the World and India contributed a lesser share.
Also read: Adobe stock soars to record high
During the quarter, the company’s active number of clients were 1,336, up 10% from the prior year quarter, and it added 112 clients during the period, which was 60% higher than last year. Revenue per employee declined by 1.5% to $54,100 while total employees increased by 9% to 229,029.
In comparison, its peers International Business Machines (NYSE: IBM) is scheduled to report earnings results for the second quarter of 2019 on July 17, 2019, after the market closes. Wipro Limited (NYSE: WIT) is scheduled to post its first-quarter earnings report on July 17, 2019, after the market closes.
During June-end, Accenture (NYSE: ACN) reported better-than-expected earnings results for the third quarter of fiscal 2019. During May-end, HP Inc. (NYSE: HPQ) posted better-than-expected earnings for the second quarter of 2019.
Shares of Infosys ended Thursday’s regular session up 2.29% at $10.72 on the NYSE. Following the earnings release, the stock advanced over 3% in the premarket session.