Infosys shares fall as sales forecast is cut

Infosys shares have fallen 10% after the software exporter reported weaker-than-expected earnings and cut its sales forecast.

Net profit in the three months to June was 22.9bn rupees ($411m; £265m), up 33% from last year's 17.2bn rupees but still below analysts' expectations.

It also cut its annual sales growth forecast to 5%, against a previous estimate of between 8% and 10%.

Industry watchers say demand has been falling as businesses cut IT budgets.

For the fiscal year that began in April, Infosys now predicts that revenues in dollar terms will grow by 5% to $7.34bn.

Source & Image : BBC