Infosys Limited (formerly Infosys Technologies Limited) is an Indian multinational corporation that provides business consulting, information technology and outsourcing services. It has its headquarters in Bengaluru, Karnataka, India.
Infosys is the second-largest Indian IT company by 2017 revenues and 596th largest public company in world in terms of revenue. On June 30, 2017, its market capitalisation was $34.33 billion. The credit rating of the company is A- (rating by Standard & Poor's).
Infosys was established by 7 engineers in Pune, India with an initial capital of $250 in 1981. It was registered as Infosys Consultants Private Limited on July 2, 1981. In 1983, it relocated its office to Bengaluru, Karnataka, India.
Name Change: The company 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.
Share listing:An initial public offer (IPO) in February 1993 with an offer price of ₹95 (equivalent to ₹490 or US$7.60 in 2017) per share against book value of ₹20 (equivalent to ₹100 or US$1.60 in 2017) 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. Its shares were listed in stock exchanges in June 1993 with trading opening at ₹145 (equivalent to ₹750 or US$12 in 2017) per share.
Its shares were listed on NASDAQ in 1999 through ADR route. The share price surged to ₹8,100 (equivalent to ₹25,000 or US$390 in 2017) 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. The ADR listing was shifted from NASDAQ to NYSE Euronext to give its European investors better access to its stock.
Revenue growth: Its annual revenue touched US$100 million in 1999, US$1 billion in 2004 and US$10 billion in 2017.
Geographical expansion: In 2012, Infosys announced a new office in Milwaukee, Wisconsin to service Harley-Davidson, being the 18th international office in the United States. Infosys hired 1,200 United States employees in 2011, and expanded the workforce by an additional 2,000 employees in 2012.
Product and portfolio expansion: In July 2014, Infosys started a product subsidiary called, EdgeVerve Systems., focusing on enterprise software products for business operations, customer service, procurement and commerce network domains. In August 2015, the Finacle Global Banking Solutions assets were officially transferred from Infosys and became part of the product company EdgeVerve Systems product portfolio.
Products and Services
It provides software development, maintenance and independent validation services to companies in finance, insurance, manufacturing and other domains.
One of its known products is Finacle which is a universal banking solution with various modules for retail & corporate banking.
Glass building in Pune
Its key products and services are:
- NIA - Next Generation Integrated AI Platform (formerly known as Mana)
- Infosys Consulting - a global management consulting service
- Infosys Information Platform (IIP)- Analytics platform
- EdgeVerve Systems which includes Finacle, a global banking platform
- Panaya Cloud Suite
Infosys had 84 sales and marketing offices and 116 development centers across the world as at March 31, 2017, with major presence in India, United States, China, Australia, Japan, Middle East and Europe.
In 2017, 61.9%, 22.5% and 3.2% of its revenues were derived from projects in North America, Europe and India, respectively. Remaining 12.4% of revenues were derived from rest of the world.
|Name of acquired company ||Based in ||Acquisition cost ||Acquisition date ||Business of acquired company |
|Expert Information Services ||Australia ||US$23 million ||Dec 2003 ||IT service provider |
|McCamish Systems ||USA ||US$38 million ||Dec 2009 ||Insurance and financial services |
|Portland Group ||Australia ||AUD 37 million ||Jan 2012 ||Strategic sourcing and category management |
|Lodestone Holding AG ||Switzerland ||US$345 million ||Sep 2012 ||Management consultancy |
|Panaya ||Israel ||US$200 million ||Mar 2015 ||Automation technology |
|Skava ||USA ||US$120 million ||Apr 2015 ||Digital experience solutions |
|Noah-Consulting ||USA ||US$70 million ||Nov 2015 ||Information management consulting services |
|Brilliant Basics ||UK ||GBP 7.5 million ||Aug 2017 ||Product design and customer experience |
In India, shares of Infosys are listed at BSE where it is included in BSE SENSEX and NSE where it is included in CNX NIFTY. Its shares are listed by way of American Depositary Receipts at NYSE.
Over a period of time, the shareholding of its promoters has gradually reduced, starting from June 1993 when its shares were first listed on stock exchange. The promoters holdings reduced further with Employees Stock Options Schemes and listing of ADRs on NASDAQ in 1999. The promoter holding on 31 March 2002 was 28.72% and at 30 Jun 2017 it dropped to 12.75% as they gradually sold their shares and reduced involvement in active management of the company.
Infosys had a total of 200,364 employees at the end of March 2017, of which 36% were women. Its workforce consists of employees representing 129 nationalities. In 2016, 89% of its employees were based in India. Out of its total workforce, 79% are software professionals, 16% are working in its BPM arm and remaining 5% work for support and sales.
During financial year 2017, Infosys received 1,293,877 applications from prospective employees and had a gross addition of 51,004 employees, a 4% hiring rate. These numbers do not include its subsidiaries.
The attrition rate of Infosys Ltd., excluding its subsidiaries, for financial year 2017, was 15%.
Training centre in Mysuru
The Development Center in Mysuru
As the world's largest corporate university, the Infosys global education centre in the 337 acre campus has 400 instructors and 200 classrooms, with international benchmarks at its core. Established in 2002, it had trained around 125,000 engineering graduates by June 2015. It can train 14,000 employees at a given point of time on various technologies.
The Infosys Leadership Institute (ILI), based in Mysuru, has 96 rooms and trains about 400 Infoscions annually. Its purpose is to prepare and develop the senior leaders in Infosys for current and future executive leadersip roles.
The Infosys Training Center in Mysuru also provides a number of extracurricular facilities like tennis, badminton, basketball, swimming pool and gym.
Since its establishment in 1981 till 2014, the CEOs of Infosys were its promoters, with N. R. Narayanmurthy leading the company in its initial 21 years. Dr Vishal Sikka was the first non-promoter CEO of Infosys who worked for around 3 years. Dr Vishal Sikka resigned in August 2017. In a personal note to board colleagues, Dr. Sikka cites a 'drumbeat of distractions' and "false, baseless, malicious and increasingly personal attacks" as his reason for leaving Infosys. Many sources suspect this is in reference to a long running feud with Infosys Founders over the new direction Sikka was reportedly taking Infosys. After his resignation, UB Pravin Rao was appointed as Interim CEO and MD of Infosys. Infosys has appointed Salil Parekh chief executive officer (CEO) and managing director (MD) of the company with effect from January 2, 2018, culminating the search of a CEO which began since the departure of Vishal Sikka in August due to a spat with the founders over various issues.
Salil S Parekh, current CEO & MD
In 1996, Infosys established the Infosys Foundation, to support the underprivileged sections of society. At the outset, the Infosys Foundation implemented many programs in Karnataka. It subsequently covered Tamil Nadu, Telangana, Andhra Pradesh, Maharashtra, Odisha, and Punjab in a phased manner. A team at the foundation identifies all the programs in the areas of healthcare, education, culture, destitute care and rural development. The Infosys Foundation USA promotes science and math education in USA, with an emphasis on under-represented students.
Infosys' Global Academic Relations team forges Academic Entente (AcE) with academic and partner institutions. 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.
Infosys Labs is organized as a global network of research labs and innovation hubs.
Infosys Labs collaborates with leading national and international universities such as the University of Southern California Viterbi School of Engineering, University of Cambridge, Queens University of Belfast, 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, Indian Institute of Information Technology, Bangalore.
The Infosys Prize is an annual award given to scientists, researchers, engineers and social scientists connected to India. It is given by the Infosys Science Foundation, a non-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 ₹6.5 million (US$100,000).
Awards and recognition
- In 2017, HfS Research included Infosys in Winner's Circle of HfS Blueprint for Managed Security Services, Industry 4.0 services and Utility Operations.
- In 2012, Infosys was ranked #19 amongst the world's most innovative companies by Forbes.
- In 2006, Institute of Chartered Accountants of India included Infosys into Hall of Fame for being the winner of Best Presented Accounts for 11 consecutive years.
Accusation of visa fraud
In 2011, Infosys was accused of committing visa fraud by using B-1 (visitor) visas for work requiring H-1B (work) visas. The allegations were initially made by an American employee of Infosys in an internal complaint. He subsequently sued the company, claiming that he was harassed and sidelined after speaking out. Although that case was dismissed, it along with another similar case, brought the allegations to the notice of the US authorities — and the U.S. Department of Homeland Security and a federal grand jury started investigating.
In October 2013, Infosys agreed to settle the civil suit with US authorities by paying US$34 million. Infosys refused to admit guilt and stressed that it only agreed to pay the fine to avoid the nuisance of 'prolonged litigation'. In its statement the company said "As reflected in the settlement, Infosys denies and disputes any claims of systemic visa fraud, misuse of visas for competitive advantage, or immigration abuse. Those claims are assertions that remain unproven".
Displacement of American workers at Southern California Edison and Disney
In 2015, the Department of Labor began an investigation of Infosys after claims were made that the company used workers with H-1B visas to replace workers at Disney and Southern California Edison. Florida Sen. Bill Nelson also asked the Department of Homeland Security to investigate reports of layoffs at Disney. The investigation did not find any wrongdoing.
- ^ "Infosys appoints Salil S. Parekh as CEO and Managing Director".
- ^ a b c d e f g "Results for the Fourth Quarter and Year ended March 31, 2017" (PDF). Infosys Ltd. Retrieved 2017-04-13.
- ^ "Infosys Financial Statements 2017". Infosys Ltd.
- ^ "Infosys Overview". Infosys. Retrieved 9 June 2014.
- ^ "Forbes 2017 Global 2000". Forbes. Retrieved 4 Oct 2017.
- ^ "Infosys Market Cap (INFY) - YCharts". Ycharts.com. 2017-06-30. Retrieved 2017-10-04.
- ^ "S&P upgrades TCS, Infosys, Wipro to 'A-' from 'BBB+'". The Economic Times. 13 December 2013. Retrieved 28 December 2013.
- ^ "Major events in the history of Infosys". Rediff.com Business. Retrieved 7 October 2017.
- ^ a b "Company History of Infosys". Moneycontrol.com. Retrieved 7 October 2017.
- ^ "About Infosys". Infosys. Retrieved 23 September 2013.
- ^ a b "Infosys Technologies Bio". in.com. Retrieved 7 July 2013.
- ^ "Equity Shares Information". Infosys. Retrieved 7 July 2013.
- ^ "Infosys to shift listing of ADS to NYSE Euronext from Nasdaq". Infosys. 30 Nov 2012. Retrieved 7 Oct 2017.
- ^ "Services: The next big thing". The Economist. 19 January 2013. Retrieved 10 June 2013.
- ^ a b "Infosys to expand its U.S. operations with a new Delivery Center in Wisconsin" (PDF). Infosys.com. Retrieved 3 July 2013.
- ^ "Edgeverve is born". Business Standard. November 17, 2014. Retrieved 11 December 2015.
- ^ "Finacle joins Edgeverve". Business Standard. September 5, 2015. Retrieved 11 December 2015.
- ^ "Infosys realigns organisation structure". The Financial Express. 16 Feb 2015.
- ^ "Core Banking Systems -- Gartner Says The Debate Has Shifted". Gartner. 26 Nov 2014.
- ^ Infosys has a global footprint with offices and development centers across the world., Infosys.com, 21 May 2015
- ^ About Us, Infosys.com, retrieved 7 Oct 2017
- ^ "Infosys to hire 6,000 engineers annually over next 2 years". Economic Times. 2017-09-10. Retrieved 2017-10-20.
- ^ a b c "Investor Sheet". Infosys.com. Retrieved 2017-10-04.
- ^ "Infosys to buy Australian firm Expert for $22.9 m". The Hindu. 19 Dec 2003. Retrieved 7 October 2017.
- ^ "Infosys Media Release — Infosys announces agreement to acquire Expert" (PDF). Infosys. 18 Dec 2003. Retrieved 7 October 2017.
- ^ "Infosys BPO to acquire US company McCamish". Deccan Herald. 12 Nov 2009. Retrieved 7 October 2017.
- ^ "Infosys BPO looking for buyouts to double its revenues to $1 bn". The Economic Times. 17 July 2012. Retrieved 7 October 2017.
- ^ "Infosys BPO to buy Australia's Portland Group". The Hindu Business Line. 20 Dec 2011. Retrieved 7 October 2017.
- ^ "Infosys acquires Swiss firm Lodestone for Rs. 1,925 crore". The Hindu. 10 September 2012. Retrieved 22 June 2013.
- ^ "Infosys buys automation technology startup Panaya, deal valued at Rs 1200 crore". The Economic Times. 17 Feb 2015. Retrieved 7 October 2017.
- ^ "Infosys' $200 million Israeli software company Panaya is in the eye of the storm". The Economic Times. Retrieved 7 October 2017.
- ^ "Infosys Completes Acquisition of Skava". Infosys Limited. 4 June 2015. Retrieved 7 October 2017.
- ^ "Infosys completes Skava acquisition for $120 million". The Economic Times. 4 June 2015. Retrieved 7 October 2017.
- ^ "Infosys completes acquisition of Noah Consulting". Economic Times.
- ^ "Infosys completes Brilliant Basics acquisition". Money Control. 11 September 2017. Retrieved 7 October 2017.
- ^ "Clause35-Mar2002.pdf" (PDF). Retrieved 23 Oct 2017.
- ^ "Infosys Shareholding Pattern - The Economic Times". Retrieved 4 Oct 2017.
- ^ "clause35-june30-2017.pdf" (PDF). Retrieved 4 Oct 2017.
- ^ a b "Annual Report 2016-17" (PDF). Infosys. 13 April 2017. Retrieved 4 October 2017.
- ^ "Infosys Annual Report 2015-16" (PDF). Infosys.com. Retrieved 20 October 2017.
- ^ "Infosys campus reflects commitment to a greener world". Infosys. Archived from the original on 27 September 2013. Retrieved 9 September 2013.
- ^ a b "Infosys has trained 100,000 graduates at Mysuru campus". Mathrubhumi. 1 June 2012. Archived from the original on 28 September 2013. Retrieved 9 September 2013.
- ^ "Infosys builds world's biggest training centre in Mysore". Mysore Samachar. September 9, 2013. Retrieved September 8, 2013.
- ^ a b "Infy plans biggest training centre". The Economic Times. 18 June 2004. Retrieved 9 September 2013.
- ^ "Infosys Names Vishal Sikka First External CEO; Chairman Murthy to Step Down". NDTV Gadgets. Retrieved 2 July 2015.
- ^ "Infosys to appoint Dr. Vishal Sikka as Chief Executive Officer & Managing Director". Infosys Limited. Retrieved 2 July 2015.
- ^ "Infosys to pay its CEO Vishal Sikka Rs. 30 Crores annually". news.biharprabha.com. Indo-Asian News Service. Retrieved 3 July 2014.
- ^ "Why Vishal Sikka quit as Infosys MD: Full text of his resignation letter". Economic Times. 18 Aug 2017. Retrieved 6 Sep 2017.
- ^ "Infosys chief executive Vishal Sikka resigns". BBC. Retrieved 6 Sep 2017.
- ^ "Infosys CEO Vishal Sikka Resigns, Blames 'Drumbeat of Distractions'". CNBC. Retrieved 6 Sep 2017.
- ^ "Infosys says Vishal Sikka Resigns as CEO, becomes Vice Chairman". Bloomberg Technology. Retrieved 6 Sep 2017.
- ^ "Infosys CEO Resigns after Long Running Feud with Founders". Reuters. Retrieved 6 Sep 2017.
- ^ a b "vishal-sikka-resigns-as-md-ceo-of-infosys". Retrieved 17 August 2017.
- ^ "Infosys appoints Capgemini's Salil Parekh as MD & CEO - Times of India". The Times of India. Retrieved 2017-12-02.
- ^ "Salil S Parekh to take over as CEO and MD of Infosys".
- ^ "Infosys Foundation". Karnataka.com. Retrieved 3 July 2013.
- ^ "Infosys Foundation". Infosys. Retrieved 3 July 2013.
- ^ "Annual Report 2016-17" (PDF). Infosys. 13 April 2017. Retrieved 4 October 2017.
- ^ "Academic Entente (AcE)". 13 March 2012. Retrieved 29 October 2012.
- ^ "Academic Entente". Retrieved 3 July 2013.
- ^ "Infosys Ltd". The Times of India.
- ^ "USC — Infosys CAST". Viterbi School of Engineering. Archived from the original on 26 November 2012. Retrieved 29 October 2012.
- ^ "Infosys — Queen's University Strategic Partnership — Cyber Security Threats & Consulting". 16 April 2013. Retrieved 21 May 2014.
- ^ "Infosys, Israel sign pact for industrial R&D". MoneyControl.com. Retrieved 3 July 2013.
- ^ "Global Academic Relations". Infosys. Retrieved 29 October 2012.
- ^ "Infosys Prize — Securing India's scientific future". Infosys Science Foundation. Retrieved 7 Jun 2014.
- ^ "7 scientists, academics bag Infosys Prize". The Hindu. Retrieved 7 Jun 2014.
- ^ "Infosys in Winner's Circle of HfS Report for Managed Security Services". Infosys. 5 Apr 2017. Retrieved 7 October 2017.
- ^ "Infosys named in Winner's Circle of HfS Blueprint on Industry 4.0 services". Infosys. 17 Apr 2017. Retrieved 7 October 2017.
- ^ "Infosys in Winner's Circle of HfS Report for Utility Operations – 2017". Infosys. 7 Jun 2017. Retrieved 7 October 2017.
- ^ "#19: Infosys (India) - The World's Most Innovative Companies". Forbes. 6 Sep 2012. Retrieved 7 October 2017.
- ^ "The finance journey". Infosys. Retrieved 23 Oct 2017.
- ^ Preston, Julia (20 August 2012). "Judge dismisses Infosys suit". The New York Times. Retrieved 29 October 2012.
- ^ "Former Employee Sues Infosys", 9 August 2012, The Wall Street Journal
- ^ "‘Infosys slashed 80% of my portfolio’", Shayan Ghosh, 14 August 2012, Deccan Herald
- ^ "Infosys says settles whistleblower...", 14 Dec 2012, The Indian Express
- ^ Thibodeau, Patrick. "Whistleblower to continue helping U.S. Infosys probe". Computerworld. Retrieved 2012-09-27.
- ^ "Infosys to pay $34m fine within 10 days. settlement not to affect future visas". The Times of India. 31 October 2013. Retrieved 2 November 2013.
- ^ "Infosys doesn't admit to guilt, but will pay $34 mn US visa fine". First Post. 31 October 2013. Retrieved 2 November 2013.
- ^ "Infosys settles visa fraud investigation, pays $34m". The Times of India. 30 October 2013. Retrieved 2 November 2013.
- ^ "Department Of Labor Launches Investigation Into H-1B Visa Program". Daily Caller. Retrieved 28 February 2016.
- ^ Lynch, Sarah. "Infosys says cleared in U.S. visa probe by Labor Department". Reuters. Reuters. Retrieved 29 January 2017.