Balakrishnan steps down as Infosys CFO

IT giant Infosys announced today that V Balakrishnan will step down as chief financial officer, but will continue as a member of the board and oversee business process management, the India business unit, and Finacle, Infosys's proprietary software for banks. Rajiv Bansal, currently the vice president of finance, will take over as CFO November 1.

At the press announcement, Infosys has reported a 25% year-on-year , i.e. a 3.4% rise in quarter on quarter profit at Rs 2,369 crore during the quarter ended September 2012. Its revenues increased 2.5 per cent to Rs 9,858 crore from Rs 9,616 crore in the previous quarter. Analysts were disappointed as they were expecting a profit of over Rs.2380 crore.

The Bangalore-based company had had a string of poor performances in recent quarters and has slashed its earnings per share guidance to Rs 160.61 per share from Rs 166.46 per share earlier. SD Shibulal, CEO and MD warned at an Infosys press conference, "Global economic uncertainties continue to face the industry."

Infosys claims it has increased employee wages, used some of the cash in a transformational acquisition of a consulting business and enhanced its investment in R&D and solutions. They believe these initiatives will help position well in the industry and provide a platform for future growth.