Published on 18 Jul 2023 on Zacks via Yahoo Finance

Infosys (INFY) Secures $2B AI Contract From an Existing Client

Infosys Limited INFY revealed on Monday that it has signed a framework agreement with one of its existing clients to provide artificial intelligence (AI) and automation services.

Though India’s second-largest software exporter didn’t disclose the name of the client, it did reveal that the client’s target spend is estimated at around $2 billion over the next five years. In an exchange filing, Infosys said that the agreement includes AI and automation-led development, modernization and maintenance services.

The news came days ahead of the company’s scheduled first-quarter fiscal 2024 financial results announcement on Jul 20. The Zacks Consensus Estimate for Infosys’ first-quarter revenues is pegged at $4.55 billion, suggesting a year-over-year improvement of 2.4%. The consensus mark, pegged at 18 cents per share, for first-quarter non-GAAP earnings implies year-over-year growth of 12.5%.