{"id":29604,"date":"2024-04-18T14:21:16","date_gmt":"2024-04-18T14:21:16","guid":{"rendered":"https:\/\/news.talkwithrattan.com\/index.php\/2024\/04\/18\/robust-q4-for-infosys-good-glamm-group-lays-off-150-staffers\/"},"modified":"2024-04-18T14:21:16","modified_gmt":"2024-04-18T14:21:16","slug":"robust-q4-for-infosys-good-glamm-group-lays-off-150-staffers","status":"publish","type":"post","link":"https:\/\/news.talkwithrattan.com\/index.php\/2024\/04\/18\/robust-q4-for-infosys-good-glamm-group-lays-off-150-staffers\/","title":{"rendered":"Robust Q4 for Infosys; Good Glamm Group lays off 150 staffers"},"content":{"rendered":"
\"Robust<\/div>


\n<\/p>\n

India\u2019s second-largest IT company Infosys posted upbeat results for the fourth quarter. More details in today\u2019s ETtech Top 5.<\/p>\n

Also in this letter:<\/span>
\u25a0 Swiggy merges Mall with Instamart
\u25a0 Google undertakes fresh layoffs
\u25a0 OTTs focus on improving margins <\/p>\n

\n

Infosys Q4 profit jumps 30% on year to Rs 7,969 crore<\/p>\n

<\/div>\n

Infosys CEO Salil Parekh<\/em><\/p>\n

IT bellwether Infosys posted a 30% year-on-year growth<\/a> in consolidated net profit at Rs 7,969 crore for the quarter ended March 2024. This was against Rs 6,128 crore in the same quarter of last year. Let\u2019s dive in for the details.<\/p>\n

Numbers: <\/span>Revenue from operations in the fourth quarter stood at Rs 37,923 crore, up 1% from Rs 37,441 crore clocked in the year-ago quarter. The company’s board has recommended a final dividend of Rs 20 per share for FY24, and a special dividend of Rs 8 per share.<\/p>\n

Infosys clocked a deal value of $4.5 billion in the January-March period, with 44% of it being net new ones. FY24 deal value was the highest ever at $17.7 billion.<\/p>\n

Also read | <\/span>TCS Q4 Results: Profit rises 9% YoY to Rs 12,434 crore, beats estimates<\/a><\/p>\n

Hiring slump: <\/span>The IT services major reported a drop in hiring<\/a> for both this quarter and the full year. It ended FY24 with 25,994 fewer employees compared to FY23, which it had ended with 3.4 lakh employees. The company also reported a dip in headcount for the first time in over two decades. Attrition stood at 12.6% compared to 12.9% last quarter and 20.9% in the year-ago period.<\/p>\n

\u201cOur hiring model has changed significantly in the last few quarters… We are now on a more agile model of campus hiring,\u201d said chief financial officer Jayesh Sanghrajka.<\/p>\n

Also read | <\/span>Tide seems to be turning for IT as hiring mandates rise 50% in February<\/a><\/p>\n

Future outlook: <\/span>The Bengaluru-based software major forecast that its constant currency revenue growth for FY25 will be around 1-3%. Similarly, the company expects operating margins to be anywhere between 20-22% in the current fiscal.<\/p>\n

\n

The Good Glamm Group sheds 150 jobs, rejigs senior leadership<\/p>\n

\"Good<\/div>\n

Content-to-commerce platform The Good Glamm Group has laid off 150 employees<\/a>, representing 15% of its workforce.<\/p>\n

Streamlining operations: <\/span>The company said it has put in place a new organisational framework to streamline its operations, which led to eliminating certain redundancies over the last 15 months.<\/p>\n

\u201cThis strategic initiative marks the culmination of the company\u2019s final phase of team integration with a steadfast aim to be a profitable company in FY25,\u201d it said in a statement.<\/p>\n

Further restructuring: <\/span>The Mumbai-based firm has also made certain elevations, including the appointment of Manan Jain as group COO, Kartik Rao as group chief people’s officer, and Ashish Jadhav as group head of product.<\/p>\n

Also read | <\/span>Ecommerce roll-up companies pause brand buyouts, seek funds for survival<\/a><\/p>\n

Why now? <\/span>These changes come at a time when some of the company\u2019s top leaders have quit the firm. In March, chief financial officer Piyush Kalra left the company to join appliances firm Versuni as its finance chief. In February, cofounder Priyanka Gill joined investment firm Kalaari Capital as a venture partner. At the Good Glamm Group, Gill stepped away from day-to-day operations.<\/p>\n

Recap: <\/span>In March, the beauty products and content company had raised Rs 245 crore ($30 million)<\/a> at a flat valuation of $1.2 billion from existing investors. Earlier this month, the company announced a joint venture with former tennis player Serena Williams<\/a> to launch a beauty brand in the US. <\/p>\n

\n

Swiggy integrates Mall with Instamart<\/p>\n

\"Swiggy<\/div>\n

Food-delivery and quick-commerce giant Swiggy has integrated its Mall offering<\/a> with Instamart, the firm said in a blogpost on Thursday.<\/p>\n

Bringing things together:<\/span> Mall, where Swiggy was experimenting with the sale of non-grocery items like footwear, apparel, electronics and electric appliances, will now be integrated with Instamart and scaled up from Bengaluru, which was Mall\u2019s sole operational city. <\/p>\n

The operators:<\/span> Swiggy Mall is headed by former Amazon executive Dipak Krishnamani, who joined the firm in September last year and reported to cofounder Nandan Reddy, who headed new initiatives. Krishnamani will now report to another cofounder, Phani Kishan, who heads Instamart.<\/p>\n

A wider shift:<\/span> This is the second such integration Swiggy has made this year after it merged its premium grocery vertical InsanelyGood with Instamart<\/a> in mid-March. The changes are happening as Swiggy preps for a public listing, with draft offer documents set to be filed in a few months.<\/p>\n

Competitors at the gates:<\/span> The Mall integration also comes as Instamart\u2019s rivals Zepto and Blinkit are expanding their offerings beyond grocery products. Around 15% of Zepto\u2019s $1.2-billion annualised gross sales already comes from non-grocery products, said a Goldman Sachs report.<\/p>\n

\"Rise<\/div>\n

Also read | <\/span>Non-grocery items deliver bright growth to dark stores<\/a><\/p>\n

\n

Google undertakes fresh layoffs in cost-optimisation push<\/p>\n

\"The<\/div>\n

Technology giant Google is executing fresh layoffs in a bid to cut costs. <\/a><\/p>\n

Tell me more:<\/span> The layoffs have impacted staff across Google\u2019s real estate and finance departments, as per a Business Insider report<\/a>. In the finance department, employees across treasury, business services, and revenue cash operations were let go.<\/p>\n

A Google spokesperson confirmed the layoffs saying it is not companywide, and that affected employees will be eligible to apply for internal roles.<\/p>\n

Restructuring underway: <\/span>Google’s finance chief Ruth Porat, in an email to staff, said Google would build out its \u201cgrowth hubs\u201d in locations such as Bengaluru, Mexico City, and Dublin as part of the restructuring.<\/p>\n

\u201cA small percentage of the impacted roles will be relocated to key hubs where the company is increasing its investment, such as India, Chicago, Atlanta, and Dublin,\u201d the spokesperson said.<\/p>\n

Protesting workers fired: <\/span>Google has fired 28 employees after they were involved in protests against Project Nimbus<\/a>, a $1.2-billion joint contract with Amazon.com to provide the Israeli government with AI and cloud services.<\/p>\n

\u201cWe have so far concluded individual investigations that resulted in the termination of employment for 28 employees, and will continue to investigate and take action as needed,\u201d Google said in a statement.<\/p>\n

\n

OTTs may spend less on entertainment shows amid focus on margins <\/p>\n

\"OTT<\/div>\n

Over-the-top (OTT) platforms are likely to ease spending on entertainment content <\/a>due to hectic merger and acquisition (M&A) activity in the media sector, according to experts. A renewed focus on profitability has impacted the commissioning of fresh content amid stagnation in subscriber growth.<\/p>\n

Slow pace: <\/span>According to Media Partners Asia (MPA) research, online video contribution to total content investments including TV and films has nearly tripled since the pandemic with total video content investments touching $5.8 billion in 2023. <\/p>\n

\u201cWe estimate a slight fall of 5% in 2024. Some of the key factors are the sluggishness in the SVOD (subscription video on demand) market, move towards profitability, and attempt at TV plus content cost models,\u201d said Ashish Pherwani, media and entertainment leader, EY India.<\/p>\n

Estimates: <\/span>According to the latest FICCI-EY report on the entertainment sector, online video content investment in 2023 stood at Rs 12,500 crore ($1.4 billion), with live sports comprising nearly 51% of the spending and the remaining 49% on originals and films.<\/p>\n

Today\u2019s ETtech Top 5 newsletter was curated by Megha Mishra in Mumbai and Jessica Rajan in New Delhi.<\/em><\/p>\n<\/div>\n


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India\u2019s second-largest IT company Infosys posted upbeat results for the fourth quarter. More details in today\u2019s ETtech Top 5. Also in this letter:\u25a0 Swiggy merges Mall with Instamart\u25a0 Google undertakes fresh layoffs\u25a0 OTTs focus on improving margins Infosys Q4 profit jumps 30% on year to Rs 7,969 crore Infosys CEO Salil Parekh IT bellwether Infosys […]<\/p>\n","protected":false},"author":2,"featured_media":29605,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","fifu_image_url":"https:\/\/img.etimg.com\/photo\/msid-109406957\/Infosys%20CEO%20Salil%20Parekh%20speaks%20during%20the%20announcement%20of%20Q4%20results.jpg","fifu_image_alt":"","footnotes":""},"categories":[607],"tags":[6594,1551,6589,33904,659,5389,33903,13295,8111,33902,6976,22085],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/29604"}],"collection":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/comments?post=29604"}],"version-history":[{"count":1,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/29604\/revisions"}],"predecessor-version":[{"id":29606,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/29604\/revisions\/29606"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media\/29605"}],"wp:attachment":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media?parent=29604"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/categories?post=29604"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/tags?post=29604"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}