Infosys Limited

Presented By:
Aditi Chokhani (20BSP0081)
Aditya Pius (20BSP0098)
Barsha Goenka (20BSP0514)
Chandan Mohanty (20BSP0572)
Raghvendra Thakur (20BSP1769)
Sumaiya Gangji (20BSP2545)
 Introduction
• Industry – IT services & consulting
• Founded – 7 July 1981, 39 years ago
• Founders – N.R. Narayana Murthy, Nandan Nilekani, S. Gopalakrishnan, S.D. Shibulal,
K. Dinesh, N.S. Raghavan, Ashok Arora
• Headquarters – Bangalore, Karnataka, India
• Area Served – Worldwide
• Key people – Salil S. Parekh (CEO & MD)
• Services – IT services, Outsourcing, Consulting
• Revenue – ₹90,791.00 crore, (US$ 13 billion) (2020)
• Operating income – ₹22,007.00 crore, (US$ 3.1 billion) (2020)
• Net income – ₹16,594.00 crore, (US$ 2.3 billion) (2020)
• Total assets – ₹92,768.00 crore, (US$ 13 billion) (2020)
• Total equity – ₹65,450.00 crore, (US$ 9.2 billion) (2020)
• Number of employees – 242,371 (March 2020)
 Sources of Funds

Debt & Equity

Figures taken from the Consolidated FY 2018-
Particulars FY 2017-2018 FY 2019-2020
Balance Sheet of the Company 2019
Particulars FY 2017-2018 FY 2018-2019 FY 2019-2020
Shareholder's Funds  
Shareholder's Funds Figures in Crores
Equity Share Capital 1088 2170 2122 Equity Share Capital 100.00% 149.86% 148.73%
Other Equity 63835 62778 63328
Total Equity 64923 64948 65450 Other Equity 100.00% 98.32% 99.20%
Liabilities   Total Equity 100.00% 100.04% 100.81%
Total Non- Current Liabilities  
Liabilities 861 1094 6068
Deferred Tax Liabilities Total Non- Current
(Net) (541) (672) (968) Liabilities 100.00% 121.30% 185.81%
Other Financial Deferred Tax Liabilities
Liabilities 61 147 807 (Net) 100.00% 119.49% 144.11%
Current Liabilities 14105 18638 20856
Other Financial Liabilities 100.00% 158.50% 192.44%
Total debt 14486 19207 26763
Current Liabilities 100.00% 124.32% 132.37%
Total debt 100.00% 124.58% 145.87%
 Comparative Analysis of Equity and Debt of Infosys Ltd
250.00%

200.00%

150.00%

100.00%

50.00%

0.00%
FY 2017-2018 FY 2018-2019 FY 2019-2020

Equity Share Capital Other Equity Total Equity

Total Non- Current Liablities Deferred Tax Liabilities(Net) Other Financial Liablities
Current liabities Total debt
 Cost of Debt
 There are many less chances for the company to be in a situation debt-trap
 Major financing of the company is done from Reserves & Surplus
 Company majorly believes in the internal financing for their operations

Debt Equity Ratio

Figures taken from the Consolidated Balance Sheet of the
Company
Particulars FY 2017-2018 FY 2018-2019 FY 2019-2020
Shareholder's Funds Figures in Crores
Equity Share Capital 1088 2170 2122
Other Equity 63835 62778 63328 Debt to Equity Ratio Comparison
Total Equity 64923 64948 65450 0.450
Liabilities   0.400
0.350
Total Non- Current Liabilities 861 1094 6068 0.300
Deferred Tax Liabilities (Net) (541) (672) (968) 0.250
0.200
Other Financial Liabilities 61 147 807 0.150
Current Liabilities 14105 18638 20856 0.100
0.050
Total debt 14486 19207 26763
0.000
Debt to Equity Ratio 0.223 0.296 0.409
Debt to Equity Ratio - - - FY 2017-2018 FY 2018-2019 FY 2019-2020
Book Value
Per Share Ratios MAR 2020 MAR 2019 MAR 2018

Book Value 155 150 298

% change in Book Value FY 2018 to FY 2019: (150-298)/298*100 = - 49.67%

% change in Book Value FY 2019 to FY 2020: (155-150)/150*100 = 3.33%

Investments in financial assets of the company

 Long-term investment
 Short-term investment
 Board of Directors
BOARD OF DIRECTORS MEMBERS
Nandan M. Nilekani Chairman
Salil Parekh Chief Executive officer and Managing Director
U.B Pravin Rao Chief Executive officer and Managing Director

Kiran Mazumdar Shaw Lead Dependent Directors

Michael Gibbs Independent Directors
D.N Prahlad Independent Directors

D. Sundaran Independent Directors

Dr. Punit Kumar Sinha Independent Directors

Uri Levine Additional and Independent Director

Largest Shareholder in the Company

Sudha Gopalakrishnan, wife of Infosys co-founder S Gopalakrishnan Murthy, is the largest
promoter shareholder of the company with 2.14% stake
 Shareholders
Shareholders Shareholding as on June 2020 Shareholding as on March 2020 Shareholding as on December Shareholding as on September 2019
2019

Promoters group 13.16 13.17 13.16 13.17

Pledged 0 0 0 0
Foreign Institutional 30.43 30.98 31.75 33.41
Investors (FII)

Total DII 46.28 45.29 44.75 43.51

Financial Institutions 0.05 0.13 0.13 0.13

Insurance Company 11.43 10.74 10.31 9.58

Mutual Funds 13.84 13.67 13.37 12.99

Other DIIs 20.96 20.95 20.94 20.81

Others 10.12 10.36 10.35 9.92

Total 99.99 100 100.01 100.01

 Dividend Payout of the Company

 Dividend Payout Formula:

2017 - 18 = 0.610
2018 - 19 = 0.638
2019 - 20 = 0.481
 Monthly and Average Returns

Monthly Return –Closing-Opening/ Opening *100

Average Monthly Return – 1/n * ∑Rt

INFOSYS NIFTY 50

Monthly Return 40.18 21.12

Average Monthly Return 1.15 0.60

 Variance and Standard Deviation
 Variance Formula:  Standard Deviation Formula:

SD =

 Infosys:  Infosys:
= =

 Nifty  Nifty 50:

50:
= =
= 743491.25 = 862.259
 Beta of the Company
 Beta Formula:

  0.10

Characteristics of Beta

1. When Beta = 1, then it means that stock will move with the market.
2. When Beta < 1, then it means that stock is less volatile as compared to the market.
3. When Beta > 1, then it means that stock is more volatile as compared to the market.
 Expected Return on the stock by CAPM
 Expected Return Formula:

Rf+

We have,
Risk Free Rate (Rf) = 4.69%
Market Risk (Rm) = 7%
Beta Value = 0.10

 Expected Return = Rf+

=4.69%+
=4.69%+2.31%
=4.69%+0.231%
=4.9%
Thank You