Infosys extends rally on higher guidance; up 5%

Infosys extends rally on higher guidance; up 5% Mumbai: Rising for the second consecutive day, shares of Infosys Monday surged as much as 5 percent on stronger-than-expected quarterly profit and upward full-year sales forecast.

Shares of the IT bellwether jumped 4.51 percent to Rs 2,835 on the BSE.

At NSE, the stock climbed 4.6 percent to Rs 2,836.95.

The scrip had zoomed nearly 17 percent on Friday.

Rise in the stock was significant in pushing the BSE benchmark Sensex 143.79 points higher at 19,796.90 at 1125hrs.

"Infosys results were ahead of our estimates on all fronts. Improved management's commentary illustrates that client confidence on IT spending is turning positive," IndiaNivesh Securities said in a report.

Infosys net profit at Rs 2,369 crore in October-December was marginally lower than Rs 2,372 crore logged in the same period a year ago.

That prompted Infosys to raise its sales forecast by about 3 percent to Rs 40,746 crore, including USD 104 million in additional revenue following the acquisition of Switzerland -based consultancy Lodestone Holdings.

In the October-December quarter, the IT major's revenues (including that of acquired Swiss firm Lodestone) were up 12.1 percent to Rs 10,424 crore. Its revenues stood at Rs 9,298 crore in the year-ago period.

The company has raised its sales forecast for FY13 to be "at least USD 7.45 billion" (from USD 7.34 billion stated earlier), including USD 104 million in additional revenue from Lodestone. This is about 6.5 percent growth over last year.

PTI