Infosys plummets on worldwide IT slowdown

City A.M. Reporter

GLOBAL IT giant Infosys has seen its shares tumble after the company warned of lower growth this year than had been expected.

The Nasdaq-listed, Bangalore-based firm fell almost 20 per cent on India’s stock exchange as it blamed a challenging global economy for a slowdown.

Infosys, which develops software such as banking security systems for other firms, said it expects revenue for the fiscal year that began this month to grow between six per cent and 10 per cent. Most analysts had estimated that Infosys would set a target for revenue growth of as much as 12 percent.

Infosys has been focusing on stepping up sales, with a willingness to sacrifice margins, to help it win business and halt its loss of market share.

The company, which employs around 6,000 people in Europe with many at its Canary Wharf office, has also attempted to diversify, buying Swiss-based consultancy Lodestone last year for £218m.