印孚瑟斯Infosys Ltd. (INFY) 2019年年度報告「NYSE」.pdf

《印孚瑟斯Infosys Ltd. (INFY) 2019年年度報告「NYSE」.pdf》由會員分享，可在線閱讀，更多相關《印孚瑟斯Infosys Ltd. (INFY) 2019年年度報告「NYSE」.pdf（304頁珍藏版）》請在三個皮匠報告上搜索。

1、LIVE ENTERPRISEAnnual Report 2018-19Section Name|1 Infosys Annual Report 2018-19To be a Live EnterpriseDigital Navigation Framework Our Digital Navigation Framework has at its core strong digital capabilities,surrounded by a robust operating model and an empowering people context,to help nurture the

2、 Live Enterprise the organization that never stops navigating its next.The idea of an enterprise likened to a living,breathing organism has been explored for several decades.After all,businesses like living creatures are driven by the need to survive,grow and flourish.Not unlike natural selection th

3、at fuels the adapt to survive response in species,market changes can either drive organizations to navigate to their next innovation,their next advantage,their next business model or to extinction.Today,enterprises are advancing on their digital transformation journey to adapt to rapidly changing ma

4、rkets,business needs and consumer preferences.They are looking to change with change nimbly,become more productive and fit to thrive.They aspire to get to the source of insights instead of relying on derivatives,leverage the enterprise knowledge graph,sense micro-feedback quickly,simulate alternativ

5、es in real time and respond with zero-latency.The complexity of legacy landscapes,exploding data,evolving business models in the large enterprise,and the resultant need for quick-paced,frequent changes make it hard for current systems and humans alone to wrestle with the transformation.Automation,da

6、ta and algorithms must come together to build this ever-evolving organization that can tackle high-frequency decision-making at the speed of data and achieve zero-latency with minimal human intervention.The same infrastructure must also enable the enterprise to listen to,learn from and leverage data

7、 to make better decisions,and be more productive in situations where human intervention is needed.A platform-powered approach can make this possible for the Live Enterprise.We help our clients transform their organization to become a Live Enterprise by reimagining the enterprise in a way that streng

8、thens its digital capabilities,progresses its operating model for the digital era and transforms its talent holistically.This annual report gives you a glimpse into that path to the Live Enterprise.The path to the evolution of the enterprise and amplified human productivity.Navigated with Infosys.In

9、fosys Annual Report 2018-19Mark LivingstonGlobal Head Infosys ConsultingBy the time you have finished reading this sentence,the universe has expanded by 4,000 km,the earth has traveled 1,800 km in space and 2,40,000 stars have been born.At the same time,2.3 million Google searches have been hit,150

10、million emails have been sent and Apple has generated$70,000 in revenue.Pretty amazing right?What is truly incredible is the lightning speed at which technology and markets are moving today,dismantling established business models and giving birth to entire new industries.In essence,an enterprise is

11、very much akin to a breathing organism,pulsing with life and striving to adapt and evolve to survive.But the intensity of industry disruption and rate-of-change of consumer needs today necessitates staying one step ahead of market demand.In this pervasive digital era,not the fittest,but the most dex

12、terous and visionary will thrive.At Infosys Consulting,we are enabling some of the worlds leading organizations to transform into Live Enterprises of their own,entwined in a symbiotic relationship with their customers through the power of machine learning,big data and predictive analytics.Not only a

13、re we exploring the vistas of new and disruptive business models for discrete manufacturers,financial service providers,retailers and telcos but we are also sowing the seeds of the future in places as far away as the farm,trailblazing from the ground up.Some of our passionate pathfinders are creatin

14、g cutting-edge innovations for a leading agri-business manufacturer to move them into the agile dimension.The vision is to help them connect with their customers in real time through a major digitization program that will reinvent the firm from the inside out.Other ideas include using AI to detect c

15、rop diseases and deploying ground-breaking drone technology to overcome the growing limitations of natural pollination by bees and designing cloud-based driverless tractors for crop farmers.As the trusted advisor to many other Fortune 500 companies,we recognize that to achieve digital transformation

16、 at scale is well beyond any playbook or boardroom directive.We believe,at the core of every client journey,must be the life force of agility this is really the only elixir that will fuel their ignitionforward.Every day we internalize the spirit of the Live Enterprise in its purest sense,which helps

17、 us power our clients forward with their lofty ambitions to reinvent at scale in todays age of digital disruption.Live Enterprise:Where navigating your next is natural4|Live Enterprise:Where navigating your next is naturalInfosys Annual Report 2018-19Mohammed Rafee TarafdarSVP Unit Technology Office

18、rThink of the simple act of sipping a cup of tea.Theres so much data being processed,and corresponding decisions being taken,in that very moment.Data that tells you how not to burn your tongue.How not to tip the cup.How the tea needs another lump of sugar to taste just right.And when the cup goes co

19、ld,because you were on the phone unexpectedly,that its time to fix yourself a fresh one.Sensing,processing information from past experience and in real time,making decisions,changing them and then responding comes naturally to living organisms.In many ways an agile startup is no different in the way

20、 it responds to market changes and opportunities to innovate.Which brings us to the question of the large incumbent enterprise.What will it take for companies with complex legacy landscapes to quickly sense changing business needs and continuously evolve in response?As several of them embark on the

21、digital transformation journey,the opportunity to transform into agile,responsive beings,at enterprise scale,is a compelling one.The opportunity to be a Live Enterprise.Our vision for Infosys as a Live Enterprise is to position our employees at the sensing-feeling-responding core of the company,with

22、 the ability to seamlessly interact with and continuously learn from our client and partner ecosystems.Each one of these interactions,with the associated intelligence,is recorded and linked in real time,through the Infosys Knowledge Graph,to drive better experience,pan-enterprise visibility and oper

23、ational efficiency.This then feeds into the Infosys Digital Brain to systematically create organizational sentience that makes every interaction value-adding while simultaneously eliminating non-productive work.To realize this vision,we are reimagining our employee experience,our core business proce

24、sses,and all our enabling IT systems and infrastructure.This means focusing on personal productivity,nurturing zero-latency in processes,ensuring just-in-time data for decision-making,driving hyper-productivity and facilitating continuous learning to instill new patterns of sentient behavior.Our IT

25、transformation is powered by the Infosys Digital Platform,based on next-generation,cloud-native,internet-scale architecture and engineered using open source software,commodity hardware and no-lockin architecture through distributed agile delivery.The initial releases of our learning(Lex)and personal

26、 productivity(InfyMe)apps,delivered on this platform,have seen record-breaking downloads of over 2,00,000and 1,20,000 respectively.As we start this proverbial journey of a thousand miles,we know we are purposefully navigating our next.Live Enterprise:Where navigating your next is natural|5 Infosys A

27、nnual Report 2018-19Several of our clients are getting it right.They are digitizing their core,increasing operational capability,reimagining customer engagement,and augmenting process execution with new digital technologies,all the while holistically integrating their transformational priorities alo

28、ng with continuously sensing,processing,and responding to changes within their business and its connected ecosystem.In fact,thats how a global sportswear leader we are helping generated exponential growth.They are transforming themselves from a brick-and-mortar retailer to a more hybrid,customer-fir

29、st dotcom company.We are helping them leverage consumer insights as the foundation for creating new automated processes and models of working.With data and technology at the heart of the experience they deliver,we are enabling precision marketing with real-time relevance and personalization,bringing

30、 their digital brand to life at every customer touchpoint.For some of our other clients like a leading American bank becoming more digital is about bringing exponential efficiencies to operations,so their human talent can focus on creating and delivering new services and experiences.As their digital

31、 innovation partner,we are infusing enabling technologies into every aspect of their operations to build a data-driven,automated Living Enterprise platform.Beyond simply transforming themselves,some businesses that we partner with are digitally transforming the industries they operate in.One of the

32、fastest-growing global logistics companies tapped Infosys to do exactly that.Our algorithms analyze customer and supply chain data to predict when and where to place products and reflow goods.We are also optimizing fleet pricing,appointment scheduling,load efficiency,driver mobility,and customer sat

33、isfaction by developing a proprietary technology that links multiple sites with cross-network visibility.Then again,sometimes being holistically digital makes so much more than just business sense,it also does a world of good.Weare also helping to transform the temporary staffing industry,for a glob

34、al leader,by modernizing their legacy processes and systems to create a brand-new business model and platform across 62+countries.This platforms algorithm matches jobs to workers based on their skills,experience,proximity to office location,as well as the job seekers real-time availability.For these

35、 and several other reasons,clients rely on Infosys to help drive their future in an increasingly uncertain,asymmetric,and complex world.We are committed to investing and delivering on the breadth and depth of our digital capabilities to connect insights to decisions,processes to outcomes,and people

36、to each other.Scott SorokinSVP Head,Global Services Digital ExperienceBuilding capabilities to deliver digital outcomes6|Building capabilities to deliver digital outcomes Infosys Annual Report 2018-19Transforming an organization into a Live Enterprise requires grappling with the duality of business

37、priorities:catching the wave of digital technologies to transform the status quo,while also generating exponential return on incumbent investments.Our clients rely on our capabilities to help them through thisjourney.The first of these is delivering differentiated Experience.We are investing in Info

38、sys Experience Design(IXD),our global design capability,which includes our acquisition of WongDoody and Brilliant Basics.IXD is building a global network of digital design studios as well as partnering with academic institutions,such as the Rhode Island School of Design,to train next-generation digi

39、tal designers.Great experiences lead to a wealth of valuable data the source of Insight.Leveraging our own artificial intelligence platform Infosys NIA,our data workbench and industry partnerships,we have built capabilities to help our clients ingest data from various sources,define a context to mak

40、e sense of it,apply predictive algorithms and automateresponse.Coupled with insights,enterprises must Innovate to compete successfully.They need an iterative process that involves all stakeholders.To enable them to do that,we offer distributed agile development methods,proximity development centers,

41、digital software platforms such as McCamish,Finacle and the Edge suite of business apps along with capabilities in blockchain,IoT and other emerging technologies.All too often,new products break down as they scale.Large incumbent organizations need to Accelerate their initiatives by modernizing thei

42、r legacy processes and systems to prepare them to easily integrate and adapt to the vitality of new products.Our strong capabilities in cloud ecosystems,legacy modernization,APIs,open source adoption,reusable automation assets,robotic process automation and investments in cloud application skills,su

43、ch as with our recent investment in Fluido,are helping clients accelerate the transformation of their legacy systems.Finally,businesses need to Assure customers that they conform to regulatory requirements and that their networks and systems are secure.We have built strong capabilities in privacy an

44、d security,and a suite of offerings to help comply with regulatory requirements such as HIPAA and GDPR.We have also built a massive repository of reusable test cases to help our clients validate their systems quickly and reliably.Every navigation needs areliable compass,and for us at Infosys,these f

45、ive axes of digital transformation form the charter around which we are investing in the future for ourselves and our clients.Deepak PadakiGroup Head Corporate Strategy,and Chief Risk OfficerBuilding capabilities to deliver digital outcomes|7 Infosys Annual Report 2018-19Deverre LiermanVP Delivery H

46、eadFor our clients,digital transformation is about enabling the business to continuously develop agile,effective responses to emerging challenges and opportunities.It is also about staying ahead of change with continuous learning and evolution the mark of a Live Enterprise.Their businesses have a tr

47、ansformation plan that is owned at the top and implemented by leaders downstream.They are equipped with whats needed to drive value from its execution.Yet,many of them agree that they are yet to tackle the most difficult part of transformation how to do it.How to put together the people,processes an

48、d tools to enable successful execution and sustainability of results.Our clients count on our operating model to help manage this complexity.The accelerators of our model bring the advantages of design to their digital solutions,proximity to crunch time and space between problem-finding and solution

49、-building,agile adoption at enterprise scale,automated processes to operate at speeds unmatched by humans,and continuous learning.Take,for instance,the digital skills challenge faced by a business process services firm looking to improve their service across 50 countries.They leveraged the Infosys T

50、echnology and Innovation Center in Raleigh to build and house hyper-productive agile distributed teams of over 60 experts in just five weeks,with fresh graduates,trained to be industry-ready,accounting for 20%of these new-collar workers.When a manufacturer of transmissions and hybrid propulsion syst

51、ems in Indiana wanted to set up a 24x7 command center for automated incident management,the proximity of our digital skill-rich flagship center in Indianapolis made it their default choice.The living labs,integral to all our centers,also offer the advantage of rapid prototyping infrastructure.It was

52、 no different with a health services organization headquartered in Hartford looking for design experts to partner with their own teams to assess the effectiveness of and re-engineer their core member portal.They chose Infosys in Hartford to be their agile digital collaborationcenter.In these and sev

53、eral other instances,our delivery leadership serves as an extension of our clients core transformation teams.We address all levers of execution and influence decisions about people,investments,and operations.Our ability to see the business with fresh eyes and to unfailingly rise to meet the challeng

54、es of navigating the,often arduous,path to transformation makes us their preferred digitalpartner.Operating model for the Live Enterprise8|Operating model for the Live EnterpriseInfosys Annual Report 2018-19Narsimha Rao M.Head,Global Services Cloud,Infrastructure and Security Solutions&Independent V

55、alidation SolutionsLeveraging digital to become a Live Enterprise is not just about on-boarding the latest in technology capability;it means adopting new ways of working that bring agility at scale when responding to change.This requires progressing conventional operating models into a framework tha

56、t lets the business embrace a future of continuous evolution and productive flexibility.The Infosys operating model is already helping steer some of the worlds largest,most complex businesses through their evolution.Its five dimensions act as accelerators of digital value realization for our clients

57、.Design Plus:We work with our clients to go beyond band-aid fixes,and design holistic solutions that can evolve to respond to emerging allied and adjacent problems.Our investments in design studios around the world and our partnership with institutions such as the Rhode Island School of Design help

58、us grow in our ability to think and work across new areas.Proximity Plus:Businesses are keen to crunch time and space between problem-finding and solution-building.On-demand,in-person collaboration is often key to accelerating these outcomes.The Infosys digital innovation centers our fail-fast-learn

59、-faster,hyper-automated,distributed agile co-creation environments are meticulously modeled to serve thisneed.Agile Plus:Digital businesses take the agile approach enterprise-wide.Our aim is to enable our clients to adopt agile,with governance that ensures frequent decision-making is managed by soft

60、ware.Thus agility is not compromised even when scaled exponentially.Continuous training and people-reskilling complement these efforts.Automation Plus:We work with our clients to build processes from the ground up especially for repetitive,high-volume tasks so they can be intelligently automated.Thi

61、s enhances productivity up to 10 times,saves time,saves resources and takes routine tasks off human hands,changing the scale and scope of what people can achieve.Learning Plus:We are adept at setting up a Digital Brain for enterprises.This is instrumental in helping our clients learn from data colle

62、cted from various sources,connect it across silos using knowledge graphs,and then encode this intelligence.We are also experienced in creating and leveraging platforms for lifelong learning.Wingspan,our transformational learning solution for enterprises,is a great example.Yes,its about systems,about

63、 methods,about processes.But its also perhaps more importantly about culture,mindset and people.Because the operating model,like all models,is only as good as the context in which it is put to work.Operating model for the Live Enterprise|9 Infosys Annual Report 2018-19Jonquil HackenbergPartner Infos

64、ys ConsultingWith the demand for digital talent far outstripping its current supply,a multitude of newly-created roles are going unfilled.As businesses pivot more into digital operating models,we see a unique opportunity to help our clients embrace holistic talent transformation.Our experience tells

65、 us this is a common challenge across all industries.It is unrealistic to assume that a majority of the digital jobs will be filled by STEM talent alone.The digital eras new-collar worker will likely have a rich background in diverse disciplines,with a variety of perspectives that will serve as a re

66、al asset when tackling yet-to-be-defined business challenges.In fact,at Infosys,we have trained and integrated at scale liberal arts experts and design talent,along with our developers,to work together to build digital solutions for our clients.Having learned from these endeavors,we are fully equipp

67、ed to help our clients better prepare their own legacy workforce for a bright and prosperous digital future.We share with them alternative education paths,that often include coding camps,online certification classes,training-on-employment and other types of vocational skilling,that have helped us bu

68、ild our own robust digital talent pipeline.We are also mindful of the frenetic pace of work and life today that makes it hard for workers to take learning breaks.We believe,on-demand,job-relevant,modular learning delivered to the workforce throughout the period of their employment will bring transfo

69、rmational results.For this reason,we offer to our clients Infosys Wingspan our cloud and mobile-first learning solution,that is designed to provide modular interactive learning experiences,accessible anytime,anywhere and on any device.It facilitates a culture of lifelong learning and helps organizat

70、ions reimagine their talent transformation experience and open up to a more diverse workforce,reflective of a diverse customer base.Its not just the workforce,but also the workspace that must transform.Open,collaborative living labs-like setups amplified by automation,data-led insights and seamless

71、employee experiences are more suited to the needs of the digital economy.We offer clients the use of our purpose-built digital proximity centers to bring these advantages to accelerate their talent transformation journey and maximize employee productivity.By helping businesses manage the work-workfo

72、rce-workplace transformation,we help them not only remove barriers that would otherwise have prevented them from fully participating in the modern economy,but we also ensure that they remain relevant in the future and a Live Enterprise.The talent transformation imperative10|The talent transformation

73、 imperativeInfosys Annual Report 2018-19Krishnamurthy ShankarGroup Head Human Resources and Infosys Leadership InstituteThe world of work is rapidly changing.A newfound digital fluency enables so many people to find and solve incredibly hard problems using software tools that seem to be getting shar

74、per by the day.As jobs that were once executed by humans alone now become tasks jointly driven by humans and software-driven machines,the division of labor between the two is becoming stark.People must become better problem-finders because machines are evolving to be the more efficient problem-solve

75、r.Even better,as the gig economy grows stronger globally,human enterprise can now be scaled with as much flexibility as we scale the leverage of our digitalhelpers.The Live Enterprise fully appreciates the reality of this blended nature of work and the need to transform its workplace and workforce i

76、n response.At Infosys,thats our endeavor too.We are transforming our workplaces into open,collaborative spaces allowing employees to connect with each other and co-create seamlessly.This makes for an agile,immersive environment conducive for ideas to take shape and innovations to be prototyped at sp

77、eed.From paperless employee onboarding to information and applications on the go,we are also bringing a mobile-first convenience to our ways of working.For example,our InfyMe app is a window to the world of Infosys that every employee can access with a simple tap on the mobile.Compass and Lex are tw

78、o other apps that are immensely popular among top-performing employees seeking to proactively shape their careers to leverage emerging opportunities and to also develop corresponding skills.These are early manifestations of the connected,sentient digital world we are beginning to build for our peopl

79、e.While the workplace is changing,so is our workforce.We have identified the digital skills essential for our people to thrive and are creating learning paths for them through training,hackathons,lab hours,apprenticeships and on-the-job experience.We deeply acknowledge and incentivize skill-building

80、 in new digital areas,while our Be the Navigator program encourages its proactive application to innovate and solve new problems within the clientcontext.With the accelerated pace of digital innovation,the simple fact is that keeping up with change and continuously striving to transform talent is ha

81、rd work.Yet,embracing creative,people-first solutions and new ideas to ensure workers continue to be relevant for the future,is exactly the way the Live Enterprise would respond to the challenge.That has been our response too.The talent transformation imperative|11 Infosys Annual Report 2018-19Conte

82、nts 14 Changing to lead the change 16 Letter to the shareholder 18 How we are getting better at being better 20 The growth year in close-up 22 Delivering on the Live Enterprise promise 23 Institutionalizing a Live Sales Enterprise in the age of no constants 24 The Infosys Board of Directors 26 The I

83、nfosys leadership team 28 Board and committees Infosys Limited 29 Key trends 31 The year at a glance 33 Boards report Results of our operations and state of affairs Business description Human resources management Corporate governance Audit reports and auditors Corporate social responsibility Acknowl

84、edgments 50 Annexures to the Boards report Annexure 1 Statement containing the salient features of the financial statements of subsidiaries/associate companies/jointventures Annexure 2 Particulars of contracts/arrangements made with related parties Annexure 3 Particulars of employees Annexure 4 Inde

85、pendent Auditors certificate on corporate governance Annexure 5 Secretarial audit report for the financial year ended March 31,2019 Annexure 6 Extract of annual return Annexure 7 Annual report on CSR activities Annexure 8 Conservation of energy,research and development,technology absorption,foreign

86、exchange earnings andoutgo Annexure 9 Corporate policiesInfosys Annual Report 2018-19 81 Managements discussion and analysis Industry structure and developments Financial condition Results of our operations Opportunities and threats Outlook,risks and concerns Internal control systems and their adequ

87、acy101 Corporate governance report Our corporate governance philosophy Board composition Board meetings Board committees Management review and responsibility Shareholders Compliance with the corporate governance codes Annexure A:Certificate from Company Secretary in Practice124 Shareholder informati

88、on132 Risk management report136 CEO and CFO certification137 Standalone financial statements Index Independent Auditors Report Annexure A to the Independent Auditors Report Annexure B to the Independent Auditors Report Balance Sheet Statement of Profit and Loss Statement of Changes in Equity Stateme

89、nt of Cash Flows Overview and notes to the financial statements198 Consolidated financial statements Index Independent Auditors Report Annexure A to the Independent Auditors Report Consolidated Balance Sheet Consolidated Statement of Profit and Loss Consolidated Statement of Changes in Equity Consol

90、idated Statement of Cash Flows Overview and notes to the consolidated financial statements268 Business responsibility reportInfosys Annual Report 2018-19Changing to lead the changeNandan M.NilekaniChairman“At Infosys,our work across industries,value chains,and geographies,gives us keen insights into

91、 the pattern of changes impacting the fundamental wiring across a diverse set of businesses,and we believe with this understanding,we can help our clients pick up the right signals and work out whats next.”14|Changing to lead the change Infosys Annual Report 2018-19It is now very evident that we liv

92、e in an era of continuous and rapid disruption.Yet,it is hard not to feel empathy for incumbents who are besieged every day with reports of doomsday scenarios and menacing trends that seem to challenge their very existence.It is very difficult to sift the signal from the noise,to separate the genuin

93、e disruption from the hype cycle which will disappear in the next round of news.It is also not easy to tell if the shift is in the distant horizon or is imminent and in your face.At Infosys,our work across industries,value chains,and geographies,gives us keen insights into the pattern of changes imp

94、acting the fundamental wiring across a diverse set of businesses,and we believe with this understanding,we can help our clients pick up the right signals and work out whats next.We are seeing like never before,that distribution is power.Digital natives are using their Direct to Consumer channels to

95、create learning machines that let them gain an acute understanding of their consumers,and create unique,continually improving experiences for each of them.Platform companies are bringing customers more choices by moving quickly into adjacencies or by unbundling traditional value chains to reassemble

96、 new business models where the source of revenue is completely different.Winner takes all thinking,turbocharged by limitless access to cheap capital is creating new competitors playing by different rules.Underlying it all is a tsunami of data that is unrivalled in business history for its velocity,v

97、olume and variety,further amplified by AI and Machine Learning.Incumbents need not be fazed by this disruption.The markets have always rewarded businesses that display an understanding of these shifts and act boldly in response.We want to contribute to our clients to help them do exactly that.To be

98、able to adapt to thrive and find new forms and mechanisms for creating value.As champions of embracing change,keen on making a difference to our clients on their transformation journey,clearly,we must prepare ourselves for this new world too.Over the past year,we have been working relentlessly to re

99、build a 200,000+people organization to operate with the speed and agility of a startup.We are reforming root and branch,replacing legacy systems and mindsets,dissolving thick encrusted silos,energizing the believers and converting the sceptics.We are seeking to be agile in our responses to a rapidly

100、 changing external environment,and with it to increase the velocity of ideas and innovations we generate and execute.Extreme automation will free up our people to focus even more on solving client challenges,mentor their teams and invest in continuous learning.Our focus on collaboration and seamless

101、 networking,across the global organization,is to ensure that our clients have immediate access to all these ideas,so that they can leverage the best of Infosys every time they interact with us.This is enabling us to be a source of competitive differentiation for them.In fact,we first implement our i

102、deas for ourselves,hone them at speed and scale,and only then advocate their use to our clients.In every way,we want to be that organization that is deeply committed to the promise weve made to our clients Navigate your next with Infosys.Thats why,we continuously navigate our own next with rigor and

103、 speed.To be that organization morphing itself for the rapidly changing times,so we can help our clients do the same.A Live Enterprise,committed to helping our clients build theirs.Changing to lead the change|15 Infosys Annual Report 2018-1916|Letter to the shareholderLetter to the shareholderSalil

104、ParekhChief Executive Officer and Managing Director“Our digital capabilities helped increase client relevance,we built business model resilience,and increased the stability in our business.”Infosys Annual Report 2018-19Letter to the shareholder|17 Dear Shareholder,Weve had an exceptional year!Thanks

105、 to our clients and our employees.Our approach to help our clients Navigate your next resulted in increased client relevance driven by the four pillars of scaling our agile digital business,energizing the core,expanding our employee skills,and localization.As we look back at fiscal 2019,this strateg

106、ic direction has yielded strong results.Our clients have increased their trust in us.Our overall revenues grew by 9%in constant currency terms,to reach US$11.8 billion.Our digital revenue grew by over 30%annually and in Q4 is 34%of our business.Our attention and focus on building deeper capabilities

107、 across our digital pentagon,especially in the areas of Experience,Data,Analytics,Cloud,SaaS,IoT,Cybersecurity,AI,and Machine Learning have helped us become more relevant to the agenda of our clients.As our clients seek to transform their businesses,they are increasingly engaging with us to help the

108、m achieve their business objectives leveraging digital technology.A good example of our expanding digital expertise is a leading global bank choosing our digital banking platform to build their new digitalbank.Our deep capabilities in Automation and AI have helped us become one of the most sophistic

109、ated service delivery organizations a strength our clients value and leverage to make them more efficient.We expanded our approach to engaging with clients via a larger team of client-facing individuals and a stronger team that drives strategic partnerships.This resulted in a significant increase in

110、 our ability to engage with clients for their large transformation programs.We expanded our digital centers in the US,Europe,and Asia Pacific,thereby gaining increased direct engagement with our clients in these geographies.At the same time,we expanded our digital agile spaces in India,creating new

111、infrastructure for the future of digital delivery.We recruited over 1,500 college graduates outside India and more than 20,000 college graduates in India,preparing for the increased demand we see in our client engagements.Our acquisitions of Brilliant Basics,WongDoody,and Fluido are seeing strong tr

112、action with our clients and are helping us build a newer,more powerful digital capability set.Our strategic partnerships with Temasek in Singapore and South-East Asia,and with Hitachi,Panasonic and Pasona in Japan,are concrete steps to build a foundation for expanding future relationships.Our reskil

113、ling program with Lex,our learning app,is progressing at a fast clip.We now have over 2,00,000 of our employees downloading Lex to rapidly build and expand their digitalskills.Through many of these initiatives,we are building business model resilience with increased client relevance,a recipe that wi

114、ll help us shape Infosys of the next 10 years.All these focus areas,combined with our strong operational discipline,resulted in an operating margin of 22.8%for fiscal 2019 and operating cash flow of US$2.3 billion.After some years of change,we have seen a year of stability with a steady leadership t

115、eam,ready to engage with our clients and ready to drive our superior delivery capability.This transformation was guided by the clear articulation of our strategy,the strong support of our Board,and the continual commitment of the management team to make this a reality.All of this resulted in our mar

116、ket capitalization increasing by nearly US$10 billion.As I sit in my office,looking out of my window at the lovely green of our campus,I am thrilled with the anticipation of what lies ahead.We have laid a solid foundation for a growing business that has increased client relevance,built real digital

117、muscle,ensured strong operating discipline,and increased business model resilience.We also have a greater sense of stability and an aligned and driven management team eager to serve our clients in a world where technology is becoming more and more critical.I cant imagine a better place for us to be.

118、With my warmest regards,Bengaluru May 10,2019Salil ParekhChief Executive Officer and Managing DirectorInfosys Annual Report 2018-19U.B.Pravin RaoChief Operating Officer and Whole-time DirectorHow we are getting better at being better“In a world where the only constant is change,the how of adapting t

119、o and even thriving on change supersedes several other considerations.In many ways,that ability toadapt is the mark of the Live Enterprise.”18|How we are getting better at being better Infosys Annual Report 2018-19Look at any industry and its not hard to see that what businesses do is not dramatical

120、ly different.What actually distinguishes high-performing organizations is how they go about doing it.How they stay attuned to customer and employee needs.How they continuously monitor problems that need to be fixed.How they benchmark themselves against the best and look for opportunities to improve.

121、How they maintain high levels of performance and passion among their people.It is the how that ultimately makes all the difference.In a world where the only constant is change,the how of adapting to and even thriving on change supersedes several other considerations.In many ways,that ability to adap

122、t is the mark of the Live Enterprise.Our own journey of continuous evolution,and journey to improve the Infosys way of working comprises five interconnected execution engines powered by the Agile approach.Process busting sets the context for this journey.We collect feedback,through focus group discu

123、ssions,from employee-users about the processes they most frequently use.We then convene Design Thinking workshops across our Delivery Centers to curate ideas for improving the efficiency and experience of these processes.The best of these ideas are shared with the process owners who then pick the on

124、es that best fit their objectives,build out implementation plans,so they can create the lean and sentient processes we work with.For example,process busting has resulted in project IT setup getting ready in just 1 day as against the hitherto 10-12 days.Background check process time,for our hires,has

125、 reduced by 60%and is now completely paperless.We have also reduced by half the time taken,by our teams,to process visas for our employees.IT transformation ensures that these processes are available to our people in the flow of work anytime,anywhere and on the go.This flexibility in our work enviro

126、nment is made possible by our mobile-first approach to employee engagement.Although executing extensive tasks may not be possible on smartphones,our mobile apps,like InfyMe,allow our people the convenience of conducting both routine and critical business activities from almost anywhere.From booking

127、official travel to sales management,so many key transactions can now be completed on-the-go.Our digital platform makes it convenient for our employees to interact,connect with the network,be relevant and access contextual information on demand to amplify their personal and work life.Its open source

128、architecture ensures that the configurable components we need are always available for quick development to both improve existing experiences as well as create new ones on demand.This also means we can painlessly evolve our workplace landscape in response to growing needs and changing employee prefe

129、rences.Organizational change management is supported with extensive and targeted in-person and digital employee communication encouraging adoption of emerging tools and sensitizing them about the benefits of the continuous improvement efforts.Channels of feedback and participation are always open.Ou

130、r most senior executives often take the lead on this,with the rank and file enthusiastically following.As an always-learning organization,Lex is our next-gen learning solution purpose-designed to provide robust holistic learning that will enable all of us to focus on continuous learning,better ways

131、of working and be ready for tomorrow in a hands-on way.Almost every employee has tested the platform(2,00,000+downloads).The average user leverages the platform every day for 30 to 40 minutes.One-third of them use it on their own time and on weekends too.It also makes a great change management platf

132、orm for our overall efforts,helping us learn to accelerate our own transformation journey.We continue to work hard to make work simple,and remove undue process overhead in favor of trust,employee autonomy,and a focus on collaboration.What this is doing,in addition to positively impacting productivit

133、y,is facilitating improved employee experience,through:Enabling individuals to do purposeful work,supported by systems that let them outsource more of the routine to technology Empowering teams to make data-led decisions,act on these decisions effectively,leveraging user-friendly processes Creating

134、an agile,energetic workplace Ours is a company that has always attracted passionate individuals who want to contribute,and are willing and ready to work together.We want to improve our workplace quality for them,so their collective motivation can make us more effective through these times of acceler

135、ating change,and we in turn can offer them a greater sense of mission,purpose and pride.How we are getting better at being better|19 Infosys Annual Report 2018-1920|The growth year in close-up Nilanjan RoyChief Financial OfficerThe growth year in close-up“The Board of Directors has recommended a fin

136、al dividend of 10.50 per share for fiscal 2019.Coupled with an interim dividend of 7 per share paid in October 2018 and a special dividend of 4 per share paid in January 2019,the Company will pay out a total dividend in excess of 11,200 crore(21.50 per share).”Infosys Annual Report 2018-19The growth

137、 year in close-up|21 Navigate your next,more than just a strategy,has now become a way of life at Infosys.As enterprises focus on reshaping their businesses to prepare for the digital era,we are helping them drive the transformation and sustain gains from their large-scale change efforts.Across the

138、organization,I see our people engage with our clients in richer conversations born from deep insights and sound experience of having partnered with them across functions and departments.Helping these businesses grapple with the various dimensions of their digitization,during the year,has brought us

139、strong revenue growth.Our digital revenues,in constant currency terms,grew at 33.8%during fiscal 2019 and is now a third of our total revenues.Revenue by offerings31.2%25.5%2019201874.5%CoreDigital68.8%The overall revenue growth stood at 9.0%in fiscal 2019,in constant currency,up from 5.8%in fiscal

140、2018.In INR terms,revenue growth was even more robust,at 17.2%,on a year-on-year basis,making fiscal 2019 one of our strongest growth years in the recent past.This positive focus is also clearly visible in our strong deal momentum.The Total Contract Value(TCV)of large deals(deals of TCV greater than

141、 US$50 million)more than doubled during fiscal 2019 to US$6.3 billion from US$3.1 billion in fiscal 2018.20185.8%20199.0%Revenue growth in US$CC termsWhile managing profitability and controlling costs,we made strategic investments to execute on our four-pillared strategy of scaling agile digital,bri

142、nging intelligent automation to our core services,localizing our talent pools and reskilling our employees.These investments are crucial to future-proof our business and create growth capabilities for the coming years.Notwithstanding these investments,we had strong cash generation from business oper

143、ations.Our operating cash flows were at 103%and free cash flows(net cash provided by operating activities less capital expenditure)were at 87%of our net profits for the year.Reported EPS for the year was lower by 0.3%at 35.44 as against 35.53 in fiscal 2018.Normalized EPS*for the year was higher by

144、13%in INR terms compared to fiscal 2018.RoE for the year was 22.7%as compared to 24.1%in the previous year.Normalized RoE*increased to 24.2%from 22.5%in fiscal 2018.The Board of Directors has recommended a final dividend of 10.50 per share for fiscal 2019.Coupled with an interim dividend of 7 per sh

145、are paid in October 2018 and a special dividend of 4 per share paid in January 2019,the Company will pay out a total dividend in excess of 11,200 crore(21.50 per share).201816.75201917.50Regular dividend per share()We took significant steps towards executing our Capital Allocation Policy,which was a

146、nnounced in April 2018,to return 13,000 crore to shareholders.Over two special dividends paid out in June 2018 and January 2019,we distributed 4,740 crore as special dividend(including dividend distribution tax).We commenced buyback of 8,260 crore on March 20,2019 through the open market route at a

147、maximum price of 800 per share.To celebrate 25 years of listing in India and to further increase the liquidity of shares,the Company issued bonus shares in the ratio of 1:1 in September 2018.In sum,we generated 36%Total Shareholder Return(TSR)for fiscal 2019 a mark of how we are creating shared pros

148、perity even as we strive to make continued progress in the service of our vision to be the digital transformation partner our clients trust to navigate them towards the future.*Normalized EPS/RoE Non-IFRS measure Reported net profit for fiscal 2019 is normalized by excluding the impact of reduction

149、in the value of Panaya and Skava of 721 crore as against a benefit of 1,432 crore on account of a conclusion of an Advance Pricing Agreement and a reduction in the value of Panaya of 118 crore during fiscal 2018.Infosys Annual Report 2018-1922|Delivering on the Live Enterprise promise To be a Live E

150、nterprise is to build a business rhythm that continuously reflects the changing realities of the industry it operates in.And the biggest change now for enterprises is the future of their work.As work becomes more digital,the technology skills shortage that surrounds us all is hugely aggravated.We mu

151、st urgently build a new holistic digital talent pool of new-collar workers to execute for our clients,and we must find ways to help them be hyper-productive at scale.We started to respond to this challenge first in our biggest market the United States.We expanded recruitment to a diverse set of disc

152、iplines,beyond just computer science and STEM graduates,to include the liberal arts and design.We welcome students from community colleges and even displaced workers.Today,we know that the way to quickly bring a high-performing,high-tech talent pool to our clients is by meeting people where they are

153、 with the right training.One example is what we are doing with CCRI New Englands largest community college to build the Digital Economy Aspirations Labs.This will be a space for students to access new technology and new ways of working with it.Construction on our US Education Center in Indianapolis

154、is also gathering momentum.This training campus for our employees and our clients will prepare Americas new-collar workforce for the jobs of the future.With talent secured,the need of the hour is to empower the workforce to bring a huge productivity advantage to our clients businesses.This means amp

155、lifying human effort with a combination of next-generation digital platforms,insights from data,sentient routines injected into business processes and experiences that leverage user archetypes to precisely match the emotional and usability needs of consumers.This is complemented by a distributed agi

156、le delivery ecosystem,a deep embrace of open source along with automation and a design-led approach to solutions that drive hyper-productivity at enterprise scale.Today,our technology and innovation centers in the United States are orchestrated to work with this precise efficacy.These workspaces are

157、 built like living labs to provide the immersive prototyping environment our clients need to rapidly deploy functionality for a dynamically changing market.As our clients leverage our operating model to build and grow their Live Enterprises in the Americas,we are now confidently scaling this approac

158、h across markets in Europe and Australia as well.The evolutioncontinues.Ravi Kumar S.President and Deputy Chief Operating OfficerDelivering on the Live Enterprise promiseInfosys Annual Report 2018-19Institutionalizing a Live Sales Enterprise in the age of no constants|23 Institutionalizing a Live Sa

159、les Enterprise in the age of no constantsMohit JoshiPresidentA live enterprise has the innate ability to thrive in ones surroundings.This ability comes naturally to humans and enterprises alike,but these days,there are external triggers that might force change more rapidly.Andreessen Horowitz descri

160、bes this urgency for change with wit:“The battle between every startup and incumbent comes down to whether the startup gets distribution before the incumbent gets innovation.”While I think that is a very apt quote for todays times,I dont think it is anymore an either-or conversation of incumbents be

161、ing able to continuously innovate,while the digitally savvy market entrants scurry to get distribution.In working with clients,our sales teams advocate a happy mix of internal innovation and partnerships with like-minded digital innovators to co-create and co-execute digital transformation journeys.

162、These partnerships strengthen our clients digital capabilities and help them adapt to a rapidly changing business landscape by leveraging the larger digital innovation ecosystem that is now available.The question for us then,is,how does our sales force stay relevant during these shifting times?We ha

163、ve approached these shifts in three concrete ways:Strengthen our access to clients by doubling down and hiring new sales talent for todays digital market needs;Uplift our seasoned sales force to keep them relevant in the context of large established relationships that constantly demand more,and;Infu

164、se young,vibrant millennial-minded sales talent to complement a sales powerhouse To further boost these efforts,we have created specific programs to go after theme-based,industry-specific,proactive large deals that are most appealing to clients.With fresh new ideas,refreshed sales processes,data-dri

165、ven sales intelligence,and socially enabled go-to-market strategies,our sales teams are now ready to take to new,expanding sales frontiers.Our products and platforms,such as Finacle for banking and Edge and Infosys NIA for Robotic Process Automation and AI,are equally mature.Clients can build on top

166、 of these platforms or use them to collaborate with the startup partner ecosystem to create market-leading solutions and achieve greater client adoption through open APIs.With all of the investments we have made and the strategy we have in place,Im thrilled to share that our field sales force is rea

167、dy to seize the benefits of a Live Sales Enterprise in this age of no constants and the lack of a proverbial end-state for ourclients.Infosys Annual Report 2018-1924|The Infosys Board of DirectorsThe Infosys Board of DirectorsNandan M.NilekaniChairmanSalil ParekhChief Executive Officer and Managing

168、DirectorU.B.Pravin RaoChief Operating Officer and Whole-time DirectorKiran Mazumdar-ShawLead Independent DirectorInfosys Annual Report 2018-19The Infosys Board of Directors|25 As on April 1,2019D.N.PrahladIndependent Director D.SundaramIndependent Director Michael GibbsIndependent Director Roopa Kud

169、vaIndependent Director Dr.Punita Kumar-SinhaIndependent Director Infosys Annual Report 2018-1926|The Infosys leadership team The Infosys leadership teamPresidentsNilanjan RoyChief Financial OfficerU.B.Pravin RaoChief Operating Officer and Whole-time DirectorSalil ParekhChief Executive Officer and Ma

170、naging Director Mohit JoshiPresident Ravi Kumar S.President and Deputy Chief Operating OfficerInfosys Annual Report 2018-19The Infosys leadership team|27 Executive Vice PresidentsKarmesh VaswaniSegment Head CPG,Logistics&RetailKoushik R.N.Group Head Procurement&Global ImmigrationJasmeet SinghSegment

171、 Head ManufacturingInderpreet SawhneyGroup General Counsel and Chief Compliance OfficerJayesh SanghrajkaDeputy Chief Financial OfficerDeepak PadakiGroup Head Corporate Strategy,and Chief Risk OfficerDinesh R.Head Global Services Enterprise Package Application ServicesBinod R.HampapurGlobal Head Tale

172、nt&Technology OperationsAnand SwaminathanSegment Head Communication,Media and TechnologyAnantharaman RadhakrishnanChief Executive Officer&Managing Director BPMRichard LoboHead,HR Infosys Limited Satish H.C.Head,Global Services Data&AnalyticsRamadas Kamath U.Head Administration,Facilities,Infrastruct

173、ure and Security&SustainabilityKrishnamurthy ShankarGroup Head Human Resources and Infosys Leadership InstituteNarsimha Rao M.Head,Global Services Cloud,Infrastructure and Security Solutions&Independent Validation SolutionsShaji MathewService Offering Head Financial Services,Healthcare,Insurance&Lif

174、e SciencesSrikantan MoorthyHead US Operations and Global Head Education,Training and AssessmentInfosys Annual Report 2018-1928|Board and committees Infosys LimitedBoard and committees Infosys LimitedThe Board of DirectorsNandan M.NilekaniChairmanSalil ParekhChief Executive Officer and Managing Direc

175、torU.B.Pravin RaoChief Operating Officer and Whole-time DirectorKiran Mazumdar-ShawLead Independent DirectorMichael GibbsIndependent DirectorD.N.PrahladIndependent DirectorDr.Punita Kumar-SinhaIndependent DirectorRoopa KudvaIndependent DirectorD.SundaramIndependent DirectorExecutive officersSalil Pa

176、rekhChief Executive Officer and Managing DirectorU.B.Pravin RaoChief Operating Officer and Whole-time DirectorNilanjan RoyChief Financial OfficerRavi Kumar S.President and Deputy Chief Operating OfficerMohit JoshiPresidentKrishnamurthy ShankarGroup Head,Human Resources and InfosysLeadership Institut

177、eInderpreet SawhneyGroup General Counsel and Chief Compliance OfficerBoard committeesAudit committeeD.SundaramChairperson and Financial ExpertDr.Punita Kumar-SinhaRoopa KudvaCorporate social responsibility committeeKiran Mazumdar-ShawChairpersonU.B.Pravin RaoDr.Punita Kumar-SinhaRoopa KudvaNominatio

178、n and remuneration committeeKiran Mazumdar-ShawChairpersonD.N.PrahladD.SundaramRisk management committeeD.N.PrahladChairpersonKiran Mazumdar-Shaw Michael GibbsD.SundaramStakeholders relationship committeeRoopa KudvaChairpersonD.N.Prahlad Dr.Punita Kumar-SinhaAs on April 1,2019Infosys Annual Report 2

179、018-19Key trends|29 Key trends2019201820172016201582,67570,52268,48462,44153,3192019201820172016201515,41016,02914,35313,49112,3292019201820172016201511,79910,93910,2089,5018,711201920182017201620152,2002,4862,1402,0522,013Revenues(1)(in crore)Net profit(1)(4)(5)(in crore)Revenues(1)(in US$million)N

180、et profit(1)(4)(5)(in US$million)2019201820172016201513,39912,56111,3039,5208,505Free cash flow(1)(6)(in crore)Dividend per share(2)(in)2019201820172016201521.5021.7512.8812.1311.13Interim dividend of 7.00 and fnal dividend of 10.50Special dividend of 4.00 declared in fscal 2019 and 5.00 in fscal 20

181、182019201831.2%25.5%Digital revenues(8)201920182017201620153,24,4482,47,1982,34,8052,79,8372,54,771Market capitalization(3)(7)(in crore)(1)Based on IFRS consolidated financial statements(2)Based on dividend declared.Adjusted for bonus issue,wherever applicable(3)At the end of the respective fiscal y

182、ears(4)During the quarter ended December 31,2017,on account of the conclusion of an Advance Pricing Agreement(APA)with the US Internal Revenue Service(IRS),the Company had reversed income tax expense provision of US$225 million(1,432 crore),which pertained to previous periods.(5)During the year ende

183、d March 2018,Kallidus and Skava(together referred to as“Skava”)and Panaya were classified under Held for Sale,resulting in a reduction in fair value in respect of Panaya amounting to 118 crore.In the year ended March 31,2019,a further reduction of 270 crore was recorded in respect of Panaya and on r

184、eclassification of Panaya and Skava from Held for Sale,the Company recognized an adjustment in respect of excess of carrying amount over recoverable amount of 451 crore in respect of Skava.(6)Free cash flow is defined as net cash provided by operating activities less capital expenditure as per the C

185、onsolidated Statement of Cash Flows prepared under IFRS.(7)In line with the Capital Allocation Policy announced in April 2018,shareholders approved the buyback of equity shares from the open market route through Indian stock exchanges of up to 8,260 crore(maximum buyback size)at a price not exceedin

186、g 800 per equity share(maximum buyback price).The buyback shall close within six months from the date of opening of the buyback,i.e March 20,2019,or such other period as may be permitted under the Act or Buyback Regulations.Accordingly,during the year ended March 31,2019,1,26,52,000 equity shares we

187、re purchased from the Indian stock exchanges.Subsequent to the year end,the Company has purchased 81,31,000 shares till the date of the Boards report.During the previous year,11,30,43,478 equity shares(not adjusted for the September 2018 bonus issue)were bought back by the Company for a total amount

188、 of 13,000crore.(8)Data prior to fiscal 2018 is not available,since we are reporting digital revenues only from fiscal 2018 onwards.Infosys Annual Report 2018-1930|Key trends 201920182017201620152,28,1232,04,1072,00,3641,94,0441,76,187Number of employees(2)201920182017201620151,2791,2041,1621,092950

189、201920182017201620152520191415Number of clients(2)Number of US$100 million+clients(2)2019201820172016201584.3%84.6%81.7%80.6%80.9%2019201820172016201554,03854,60251,37550,74552,340Utilization(excluding trainees)Revenue per employee(1)(in US$)2019201820172016201522.7%24.1%21.4%22.7%24.1%Return on Equ

190、ity(RoE)(1)(3)(4)2019201820172016201535.4435.5331.4029.5126.97Basic earnings per share(1)(3)(4)(5)(in)2019201820172016201522.8%24.3%24.7%25.0%25.9%Operating margin(1)(1)Based on IFRS consolidated financial statements(2)At the end of the respective fiscal years(3)During the quarter ended December 31,

191、2017,on account of the conclusion of an APA with the IRS,the Company had reversed an income tax expense provision of US$225 million(1,432 crore),which pertained to previous periods.(4)During the year ended March 2018,Kallidus and Skava(together referred to as“Skava”)and Panaya were classified under

192、Held for Sale,resulting in a reduction in fair value in respect of Panaya amounting to 118 crore.In the year ended March 31,2019,a further reduction of 270 crore was recorded in respect of Panaya and on reclassification of Panaya and Skava from Held for Sale,the Company recognized an adjustment in r

193、espect of excess of carrying amount over recoverable amount of 451 crore in respect of Skava.(5)In line with the Capital Allocation Policy announced in April 2018,shareholders approved a buyback of equity shares from the open market route through Indian stock exchanges of up to 8,260 crore(maximum b

194、uyback size)at a price not exceeding 800 per share(maximum buyback price).The buyback shall close within six months from the date of opening of the buyback,i.e March 20,2019,or such other period as may be permitted under the Act or Buyback Regulations.Accordingly,during the year ended March 31,2019,

195、1,26,52,000 equity shares were purchased from the Indian stock exchanges.Subsequent to the year end,the Company has purchased 81,31,000 shares till the date of the Boards report.During the previous year,11,30,43,478 equity shares(not adjusted for the September 2018 bonus issue)were bought back by th

196、e Company for a total amount of 13,000 crore.The year at a glance|31 Infosys Annual Report 2018-19The year at a glanceBased on Ind AS consolidated financial statementsin crore,except per equity share data20192018Growth(%)Financial performanceRevenues82,67570,52217.2Gross profit28,80825,39213.5Operat

197、ing profit 18,88017,14810.1Profit after tax(1)(2)(3)(4)15,41016,029(3.9)Profit attributable to owners of the Company(1)(2)(3)(4)15,40416,029(3.9)Earnings per share(par value of 5 each):Basic(6)(7)35.4435.53(0.3)Diluted(6)(7)35.3835.50(0.3)Financial position Cash and cash equivalents(6)19,56819,818(1

198、.3)Current investments6,6276,4073.4Assets held for sale(2)2,060Net current assets(5)34,24034,1760.2Property,plant and equipment(including capital work-in-progress)12,86711,7229.8Goodwill(2)3,5402,21160.1Intangible assets(2)691247179.8Other non-current assets14,76215,693(5.9)Total assets84,73879,8906

199、.1Liabilities directly associated with assets held for sale(2)324Non-current liabilities1,09486127.1Total equity(6)65,00664,9240.1Total equity and liabilities(6)84,73879,8906.1(1)During the quarter ended December 31,2017,on account of the conclusion of an Advance Pricing Agreement(APA)with the US In

200、ternal Revenue Service(IRS),the Company had reversed an income tax expense provision of US$225 million(1,432 crore),which pertained to previous periods.(2)During the year ended March 2018,Kallidus and Skava(together referred to as“Skava”)and Panaya were classified under Held for Sale,resulting in a

201、reduction in fair value in respect of Panaya amounting to 118 crore.Accordingly,assets amounting to 2,060 crore and liabilities amounting to 324crore in respect of the disposal group had been classified as held for sale.During the year ended March 31,2019,a further reduction of 270 crore was recorde

202、d in respect of Panaya and on reclassification of Panaya and Skava from Held for Sale,the Company recognized an adjustment in respect of excess of carrying amount over recoverable amount of 451 crore in respect of Skava.(3)Includes 51 crore and 262 crore for the years ended March 31,2019 and March 3

203、1,2018,respectively,towards interest on income tax refund.(4)During the year ended March 31,2018,the Company had written down the entire carrying value of 71 crore in its associate,DWA Nova LLC.(5)Excludes assets held for sale and liabilities directly associated with assets held for sale for the yea

204、r ended March 31,2018.(6)In line with the Capital Allocation Policy announced in April 2018,shareholders approved a buyback of equity shares from the open market route through Indian stock exchanges of up to 8,260 crore(maximum buyback size)at a price not exceeding 800 per equity share(maximum buyba

205、ck price).Thebuyback shall close within six months from the date of opening of the buyback,i.e.March 20,2019 or such other period as may be permitted under the Companies Act,2013 or the SEBI(Buy-back of Securities)Regulations,2018.Accordingly,during the year ended March 31,2019,1,26,52,000 equity sh

206、ares were purchased from the Indian stock exchanges.Subsequent to the year end,the Company has purchased 81,31,000 shares till the date of the Boards report.During the previous year,11,30,43,478 equity shares(not adjusted for the September 2018 bonus issue)were bought back by the Company for a total

207、 amount of 13,000 crore.(7)EPS is adjusted for the September 2018 bonus issue and computed based on full numbers without rounding off.32|The year at a glanceInfosys Annual Report 2018-19Based on IFRS US$consolidated financial statementsin US$million,except per equity share data20192018Growth(%)Finan

208、cial performanceRevenues11,79910,9397.9Gross profit4,1123,9384.4Operating profit2,6962,6591.4Net profit(1)(2)(3)(4)2,2002,486(11.5)Net profit attributable to owners of the Company(1)(2)(3)(4)2,1992,486(11.5)Earnings per share(par value of 5(US$0.16)each):Basic(6)(7)0.510.55(8.2)Diluted(6)(7)0.510.55

209、(8.3)Financial position Cash and cash equivalents(6)2,8293,041(7.0)Current investments958982(2.4)Assets held for sale(2)316Net current assets(5)4,9515,243(5.6)Property,plant and equipment1,9311,8633.7Goodwill(2)51233951.0Intangible assets(2)10038163.2Other non-current assets2,0652,342(11.8)Total ass

210、ets12,25212,255Liabilities directly associated with assets held for sale(2)50Non-current liabilities15913121.4Total equity(6)9,4009,960(5.6)Total equity and liabilities(6)12,25212,255(1)During the quarter ended December 31,2017,on account of the conclusion of an APA with the US IRS,the Company had r

211、eversed income tax expense provision of US$225 million,which pertained to previous periods.(2)During the year ended March 2018,Kallidus and Skava(together referred to as“Skava”)and Panaya were classified under Held for Sale,resulting in a reduction in fair value in respect of Panaya amounting to$18

212、million.Accordingly,assets amounting to$316 million and liabilities amounting to$50 million in respect of the disposal group had been classified as held for sale.During the year ended March 31,2019,a further reduction of$39 million was recorded in respect of Panaya and on reclassification of Panaya

213、and Skava from Held for Sale,the Company recognized an adjustment in respect of excess of carrying amount over recoverable amount of$65 million in respect of Skava.(3)Includes US$7 million and US$41 million for the years ended March 31,2019 and March 31,2018,respectively,towards interest on income t

214、ax refund.(4)During the year ended March 31,2018,the Company had written down the entire carrying value of US$11 million in its associate,DWA Nova LLC.(5)Excludes assets held for sale and liabilities directly associated with assets held for sale for the year ended March 31,2018.(6)In line with the C

215、apital Allocation Policy announced in April 2018,shareholders approved a buyback of equity shares from the open market route through Indian stock exchanges of up to 8,260 crore(maximum buyback size)at a price not exceeding 800 per equity share(maximum buyback price).Thebuyback shall close within six

216、 months from the date of opening of the buyback,i.e.March 20,2019 or such other period as may be permitted under the Companies Act,2013 or the SEBI(Buy-back of Securities)Regulations,2018.Accordingly,during the year ended March 31,2019,1,26,52,000 equity shares were purchased from the Indian stock e

217、xchanges.Subsequent to the year end,the Company has purchased 81,31,000 shares till the date of the Boards report.During the previous year,11,30,43,478 equity shares(not adjusted for the September 2018 bonus issue)were bought back by the Company for a total amount of US$2,035 million.(7)EPS is adjus

218、ted for the September 2018 bonus issue and computed based on full numbers without rounding off.Boards report|33 Infosys Annual Report 2018-19Boards reportDear members,The Board of Directors hereby submits the report of the business and operations of your Company(“the Company”or“Infosys”),along with

219、the audited financial statements,for the financial year ended March 31,2019.The consolidated performance of the Company and its subsidiaries has been referred to wherever required.1.Results of our operations and state of affairsin crore,except per equity share dataParticularsStandalone ConsolidatedF

220、or the year ended March 31,For the year ended March 31,2019201820192018Revenue from operations73,10761,941 82,67570,522 Cost of sales47,41239,138 53,86745,130 Gross profit25,69522,803 28,80825,392 Operating expenses Selling and marketing expenses3,6612,763 4,4733,560 General and administration expen

221、ses4,2253,562 5,4554,684 Total operating expenses7,8866,325 9,9288,244 Operating profit17,80916,478 18,88017,148 Reduction in fair value of assets held for sale/disposal group held for sale(2)(265)(589)(270)(118)Adjustment in respect of excess of carrying amount over recoverable amount on reclassifi

222、cation from Held for Sale(2)(469)(451)Other income,net(3)(4)2,8524,019 2,8823,311 Profit before non-controlling interests/share in net loss of associate19,92719,908 21,04120,341 Share in net loss of associate,including impairment of associate(4)(71)Profit before tax19,92719,908 21,04120,270 Tax expe

223、nse(1)5,2253,753 5,6314,241 Profit after tax14,70216,155 15,41016,029 Profit attributable to owners of the Company14,70216,155 15,40416,029 Non-controlling interests 6 Other comprehensive income Items that will not be reclassified subsequently to profit or loss5759 4862 Items that will be reclassifi

224、ed subsequently to profit or loss22(38)86281 Total other comprehensive income,net of tax7921 134343 Total comprehensive income for the year attributable to owners of the Company14,78116,176 15,53816,372 Non-controlling interest6Earnings per share(EPS)(5)Basic33.6635.64 35.4435.53 Diluted33.6435.6235

225、.3835.501 crore=10 millionNotes:The above figures are extracted from the audited standalone and consolidated financial statements as per Indian Accounting Standards(Ind AS).(1)During the quarter ended December 31,2017,on account of the conclusion of an Advance Pricing Agreement(APA)with the US Inter

226、nal Revenue Service(IRS),the Company had reversed income tax expense provision of US$225 million(1,432 crore),which pertained to previous periods.(2)During the year ended March 2018,Kallidus and Skava(together referred to as“Skava”)and Panaya were classified under Held for Sale,resulting in a reduct

227、ion in fair value in respect of Panaya amounting to 118 crore.In the year ended March 31,2019,a further reduction of 270 crore was recorded in respect of Panaya and on reclassification of Panaya and Skava from Held for Sale,the Company recognized an adjustment in respect of excess of carrying amount

228、 over recoverable amount of 451 crore in respect of Skava.In the Standalone financial statements of the Company,during the year ended March 31,2018,investments in respect of these subsidiaries were reclassified under Held for Sale.On reclassification,these investments were measured at the lower of c

229、arrying amount and fair value less cost to sell and consequently,a reduction in the fair value of assets held for sale of 589 crore in respect of Panaya has been recognized in the Standalone Statement of Profit and Loss.During the year ended March 31,2019,a further reduction of 265 crore was recorde

230、d in respect of Panaya and on reclassification of these investments from Held for Sale,the Company recognized an adjustment in respect of excess of carrying amount over recoverable amount of 469 crore in respect of Skava.(3)Other income includes 51 crore and 262 crore for the years ended March 31,20

231、19 and March 31,2018,respectively,in the Consolidated financial statements of the Company towards interest on income tax refund.Other income includes 50 crore and 257 crore for the years ended March 31,2019 and March 31,2018,respectively,in the Standalone financial statements of the Company towards

232、interest on income tax refund.(4)During the year ended March 31,2018,the Company has written down the entire carrying value of the investment in its associate,DWA Nova LLC,amounting to 71 crore in the Consolidated Statement of Profit and Loss.Consequent to the above,the Company has written down the

233、entire carrying value of the investment in its subsidiary,Infosys Nova Holdings LLC,amounting to 94 crore in the Standalone Statement of Profit and Loss.(5)Equity shares are at par value of 5 per share and adjusted for the September 2018 bonus issue.34|Boards reportInfosys Annual Report 2018-19Finan

234、cial positionin crore,except equity share dataParticularsStandaloneConsolidatedAs at March 31,2019As at March 31,2018As at March 31,2019As at March 31,2018Cash and cash equivalents15,55116,77019,56819,818Current investments6,0775,9066,6276,407Assets held for sale(1)1,5252,060Net current assets(2)30,

235、79330,90334,24034,176Property,plant and equipment(1)(including capital work-in-progress)11,60610,46912,86711,722Goodwill(1)29293,5402,211Other intangible assets(1)74101691247Other non-current assets20,99821,18814,76215,693Total assets78,93075,87784,73879,890Liabilities directly associated with asset

236、s held for sale(1)324Non-current liabilities7897131,094861Retained earnings opening balance55,67149,957 58,47752,882 Add:Profit for the year14,70216,155 15,40416,029 Transfer from Special Economic Zone Re-investment Reserve on utilization(4)1,386582 1,430617 Less:Dividends including dividend distrib

237、ution tax(13,768)(7,500)(13,712)(7,469)Transfer to general reserve(1,615)(1,382)(1,615)(1,382)Transfer to Special Economic Zone Re-investment Reserve(4)(2,306)(2,141)(2,417)(2,200)Transferred to other reserves(1)Retained earnings closing balance54,07055,671 57,56658,477 Equity share capital(3)2,1781

238、,0922,1701,088Other reserves and surplus(5)6,3686,7234,3094,589Other comprehensive income9516903769Non-controlling interest581Total equity(3)62,71163,50265,00664,924Total equity and liabilities78,93075,87784,73879,890Number of equity shares(3)435,62,79,444 218,41,14,257 433,59,54,462217,33,12,301(1)

239、During the year ended March 2018,Kallidus and Skava(together referred to as“Skava”)and Panaya were classified under Held for Sale,resulting in a reduction in fair value in respect of Panaya amounting to 118 crore.Accordingly,assets amounting to 2,060 crore and liabilities amounting to 324 crore in r

240、espect of the disposal group had been classified under Held for Sale.In the year ended March 31,2019,a further reduction of 270 crore was recorded in respect of Panaya and on reclassification of Panaya and Skava from Held for Sale,the Company recognized an adjustment in respect of excess of carrying

241、 amount over recoverable amount of 451 crore in respect of Skava.In the Standalone financial statements of the Company,on reclassification,these investments were measured at the lower of carrying amount and fair value less cost to sell and consequently,a reduction in the fair value of assets held fo

242、r sale of 589 crore in respect of Panaya has been recognized in the Standalone Statement of Profit and Loss during the year ended March 31,2018.Accordingly,investments amounting to 1,525 crore in respect of these subsidiaries were reclassified under Held for Sale.During the year ended March 31,2019,

243、a further reduction of 265 crore was recorded in respect of Panaya and on reclassification of these investments from Held for Sale,and an adjustment was recognized in respect of excess of carrying amount over recoverable amount of 469 crore in respect ofSkava.(2)Excludes assets held for sale and lia

244、bilities directly associated with assets held for sale as at March 31,2018.(3)In line with the Capital Allocation Policy announced in April 2018,shareholders approved a buyback of equity shares from the open market route through Indian stock exchanges of up to 8,260 crore(maximum buyback size)at a p

245、rice not exceeding 800 per share(maximum buyback price).Thebuyback shall close within six months from the date of opening of the buyback,i.e.March 20,2019,or such other period as may be permitted under the Companies Act,2013 or SEBI(Buy-Back of Securities)Regulations,2018.Accordingly,during the year

246、 ended March 31,2019,1,26,52,000 equity shares were purchased from the stock exchange,which includes 18,18,000 shares that have been purchased but not extinguished as of March 31,2019 and 36,36,000 shares that have been purchased but have not been settled and therefore not extinguished.The buyback o

247、f equity shares through the stock exchange commenced on March 20,2019 and is expected to be completed by September 2019.Subsequent to the year end,the Company has purchased 81,31,000 shares till the date of the Boards report.During the previous year,11,30,43,478 equity shares(not adjusted for the Se

248、ptember 2018 bonus issue)were bought back by the Company for a total amount of 13,000 crore.(4)The Special Economic Zone(SEZ)Re-investment Reserve has been created out of the profit of eligible SEZ units in terms of the provisions of Section 10AA(1)(ii)of the Income-tax Act,1961.The reserve should b

249、e utilized by the Company for acquiring new plant and machinery for the purpose of its business in the terms of Section 10AA(2)of the Income-tax Act,1961.(5)Excluding retained earnings.Boards report|35 Infosys Annual Report 2018-19Summary Profit and Loss standaloneParticularsYear ended March 31,2019

250、%of revenue2018%of revenue YoY growth(%)Revenue from operations73,107100.061,941100.018.0Gross profit25,69535.222,80336.812.7Selling and marketing expenses3,6615.02,7634.532.5General and administration expenses4,2255.83,5625.718.6Operating profit 17,80924.416,478 26.68.1Profit before tax19,92727.319

251、,908 32.10.1Net profit(1)14,70220.116,15526.1(9.0)Based on Ind AS standalone financial statements201816,478201917,809Operating proft(in crore)2018201961,94173,107Total revenue(in crore)201822,803201925,695Gross proft(in crore)Net proft(1)(in crore)201816,155201914,702201835.64201933.66Basic EPS(1)(2

252、)(in)(1)Includes the following:Reversal of income tax provision of US$225 million(1,432 crore)pertaining to previous periods on account of conclusion of APA during the previousyear During the year ended March 2018,recorded a reduction in fair value in respect of Panaya amounting to 589 crore.In the

253、year ended March 31,2019,a further reduction of 265 crore was recorded in respect of Panaya.During the year ended March 31,2019,on reclassification of Panaya and Skava from Held for Sale,the Company recognized an adjustment in respect of excess of carrying amount over recoverable amount of 469 crore

254、 in respect of Skava.(2)Adjusted for the September 2018 bonus issue.Summary Profit and Loss consolidatedParticularsYear ended March 31,2019%of revenue2018%of revenue YoY growth(%)Revenue from operations82,675100.070,522100.017.2Gross profit28,80834.825,39236.013.5Selling and marketing expenses4,4735

255、.43,5605.125.6General and administration expenses5,4556.64,6846.616.5Operating profit 18,88022.817,14824.310.1Profit before tax21,04125.520,27028.73.8Net profit(1)15,41018.616,02922.7(3.9)36|Boards reportInfosys Annual Report 2018-19Based on Ind AS consolidated financial statements201870,522201982,6

256、75Total revenue(in crore)201825,392201928,808Gross proft(in crore)201817,148201918,880Operating proft(in crore)Net proft(1)(in crore)201816,029201915,410201835.53201935.44Basic EPS(1)(2)(in)201824.1%201922.7%Return on equity(3)Revenue distribution by geographical segments(in%)North AmericaEuropeRest

257、 of the WorldIndia60.524.112.92.5Revenue distribution by business segments(in%)FS(4)Retail(5)COM(6)EURS(7)32.016.412.612.59.97.56.32.8MFG(8)Hi-Tech(9)LS(10)Others(11)(1)Includes impact on account of:Reversal of income tax provision of US$225 million(1,432 crore)pertaining to previous periods on acco

258、unt of conclusion of an APA during the previousyear Recorded a reduction in fair value in respect of Panaya amounting to 118 crore and 270 crore,for the years ended March 31,2018 and March 31,2019,respectively On reclassification of Panaya and Skava from Held for Sale,the Company recognized an adjus

259、tment in respect of excess of carrying amount over recoverable amount of 451 crore in respect of Skava during the year ended March 31,2019(2)Adjusted for the September 2018 bonus issue(3)Based on IFRS USD financial statements(4)FS Includes enterprises in Financial Services and Insurance(5)Retail Inc

260、ludes enterprises in Retail,Consumer Packaged Goods and Logistics(6)COM Includes enterprises in Communication,Telecom OEM and Media(7)EURS Includes enterprises in the Energy,Utilities,Resources and Services(8)MFG Includes enterprises in Manufacturing(9)Hi-Tech Includes enterprises in Hi-Tech(10)LS I

261、ncludes enterprises in Life Sciences and Healthcare(11)Others Includes segments of businesses in India,Japan,China,Infosys Public Services and other public services enterprises.Capital expenditure on tangible assets standaloneThis year,on a standalone basis,we incurred a capital expenditure of 3,040

262、 crore.This comprises 2,008 crore in infrastructure,1,023 crore for investment in computer equipment,and 9 crore in vehicles.In the previous year,we had incurred a capital expenditure of 1,823 crore.This comprised 1,422 crore in infrastructure,396 crore for investment in computer equipment,and 5 cro

263、re in vehicles.Capital expenditure on tangible assets consolidatedThis year,on a consolidated basis,we incurred a capital expenditure of 3,193 crore.This comprises 2,055 crore in infrastructure,1,129 crore in computer equipment and 9 crore in vehicles.In the previous year,we had incurred a capital e

264、xpenditure of 1,955 crore.This comprised 1,479 crore in infrastructure,471 crore for investment in computer equipment and 5 crore in vehicles.Boards report|37 Infosys Annual Report 2018-19LiquidityOur principal sources of liquidity are cash and cash equivalents,current investments and the cash flow

265、that we generate from our operations.We continue to be debt-free and maintain sufficient cash to meet our strategic and operational requirements.We understand that liquidity in the Balance Sheet has to balance between earning adequate returns and the need to cover financial and business requirements

266、.Liquidity enables us to be agile and ready for meeting unforeseen strategic and business needs.We believe that our working capital is sufficient to meet our current requirements.As of March 31,2019,we had 30,793 crore in working capital(working capital defined as current assets minus current liabil

267、ities)on a standalone basis,and 34,240 crore on a consolidated basis.Liquid assets stand at 25,790 crore on a standalone basis and 30,690 crore on a consolidated basis as at March 31,2019,as against 27,752 crore on a standalone basis,and 31,765 crore on a consolidated basis as on March 31,2018.Liqui

268、d assets,on both standalone and consolidated basis,include deposits with banks and high-rated financial institutions,investments in liquid mutual funds,fixed maturity plan securities,tax-free bonds,government bonds and securities,non-convertible debentures,certificates of deposit(CDs),and commercial

269、 paper.CDs represent marketable securities of banks and eligible financial institutions for a specified time period with high credit rating given by domestic credit rating agencies.Investments made in non-convertible debentures are issued by government-owned institutions and financial institutions w

270、ith high credit rating.The details of these investments are disclosed under the non-current and current investments section in the standalone and consolidated financial statements in this Annual Report.Capital Allocation Policy In line with the Capital Allocation Policy announced in April 2018,the B

271、oard,at its meeting on January 11,2019,approved the buyback of equity shares through the open market route through the Indian stock exchanges,amounting to 8,260 crore(maximum buyback size)at a price not exceeding 800 per equity share(maximum buyback price),subject to the shareholders approval by way

272、 of a postal ballot.Further,the Board also approved a special dividend of 4 per share which resulted in a payout of 2,107 crore(including dividend distribution tax).The buyback is offered to all eligible equity shareholders of the Company(other than the Promoters,the Promoter Group and Persons in Co

273、ntrol of the Company)under the open market route through Indian stock exchanges.The shareholders approved the proposal of buyback of equity shares through the postal ballot that concluded on March 12,2019.At the maximum buyback price of 800 per equity share and the maximum buyback size of 8,260 cror

274、e,the maximum indicative number of equity shares bought back would be 10,32,50,000 equity shares(maximum buyback shares)comprising approximately 2.36%of the paid-up equity share capital of the Company.The Company will fund the buyback from its free reserves.The buyback of equity shares through India

275、n stock exchanges commenced on March 20,2019 and is expected to be completed by September 2019.During the year ended March 31,2019,1,26,52,000 equity shares were bought back from the Indian stock exchanges.Subsequent to the year end,the Company has purchased 81,31,000 shares till the date of the Boa

276、rds report.After the execution of the above,along with the special dividend(including dividend distribution tax)of 2,633 crore already paid in June 2018,the Company would complete the distribution of 13,000 crore to the shareholders,which was announced as part of its Capital Allocation Policy in Apr

277、il 2018.Basic EPSBasic earnings per share decreased by 5.6%to 33.66 at the standalone level and by 0.3%to 35.44 at the consolidated level.DividendDividend per share declared is in line with the Capital Allocation Policy approved by the Board on April 13,2018.The Company declared dividend as under:Fi

278、scal 2019Fiscal 2018(1)Dividend per share(in)Dividend PayoutDividend per share(in)Dividend PayoutInterim dividend7.003,680 6.503,422 Final dividend(2)10.50(3)5,504 10.255,349 Special dividend4.002,107 5.002,633 Total dividend21.5021.75Payout ratio(4)(interim and final dividend)(5)68.6%69.8%Dividend

279、payout includes dividend distribution tax(1)Adjusted for the September 2018 bonus issue(2)Recommended by the Board of Directors at its meeting held on April 12,2019.The payment is subject to the approval of the shareholders at the ensuing Annual General Meeting(AGM)of the Company to be held on June

280、22,2019 and will be paid on June 25,2019.(3)Actual dividend payout will be based on the number of shares outstanding as on the book closure date.(4)Our dividend policy is to pay up to 70%of free cash flow.Free cash flow is defined as net cash provided by operating activities less capital expenditure

281、 as per the Consolidated Statement of Cash Flows prepared under IFRS.(5)Based on the outstanding number of shares as on March 31,2019.38|Boards reportInfosys Annual Report 2018-19The Register of Members and Share Transfer Books will remain closed on June 15,2019 for the purpose of payment of the fin

282、al dividend for the financial year ended March 31,2019.The AGM is scheduled to be held on June 22,2019 and the final dividend will be paid on June 25,2019.Bonus issue The Board,at its meeting held on July 13,2018,approved and recommended the issue of bonus shares to celebrate the 25th year of the Co

283、mpanys public listing in India and to further increase the liquidity of its shares.The shareholders approved the issue of bonus shares(vide postal ballot concluded on August 22,2018).The Company had allotted 218,41,91,490 fully-paid-up equity shares of face value 5 each.A bonus share of one equity s

284、hare for every equity share held,and a bonus issue,viz.,a stock dividend of one American Depositary Share(ADS)for every ADS held have been allotted.The bonus shares were credited to the eligible shareholders as on the record date,i.e.September 5,2018.Particulars of loans,guarantees or investmentsLoa

285、ns,guarantees and investments covered under Section 186 of the Companies Act,2013 form part of the Notes to the financial statements provided in this Annual Report.Transfer to reservesWe propose to transfer 1,470 crore to the general reserve on account of the declaration of dividend.Fixed depositsWe

286、 have not accepted any fixed deposits,including from the public,and,as such,no amount of principal or interest was outstanding as of the Balance Sheet date.Particulars of contracts or arrangements made with related partiesParticulars of contracts or arrangements with related parties referred to in S

287、ection 188(1)of the Companies Act,2013,in the prescribed Form AOC-2,is appended as Annexure 2 to the Boards report.Managements discussion and analysisIn terms of the provisions of Regulation 34 of the SEBI(Listing Obligations and Disclosure Requirements)Regulations,2015,the Managements discussion an

288、d analysis is set out in this Annual Report.Risk management reportIn terms of the provisions of Section 134 of the Companies Act,2013,a Risk management report is set out in this Annual Report.Board policiesThe details of the policies approved and adopted by the Board are provided in Annexure 9 to th

289、e Boards report.Material changes and commitments affecting financial position between the end of the financial year and date of the reportAcquisitionHitachi Procurement Service Co.LtdOn April 1,2019,Infosys Consulting Pte Limited(awholly-owned subsidiary of Infosys Limited)acquired 81%of voting inte

290、rests in Hitachi Procurement Service Co.,Ltd.(HIPUS),Japan,a wholly-owned subsidiary of Hitachi Ltd,Japan for a total cash consideration of JPY 3.29 billion(approximately 206 crore),on fulfilment of closing conditions.The Company had paid an advance of JPY 3.29 billion(approximately 206 crore)to Hit

291、achi towards cash consideration on March 29,2019.HIPUS handles indirect materials purchasing functions for the Hitachi Group.The name of the Company Hitachi Procurement Service Co.,Ltd.has been changed to HIPUS Co.,Ltd.with effect from April 1,2019.As of April 12,2019(i.e.,the date of adoption of fi

292、nancial statements by the Board of Directors),the Company is in the process of finalizing the accounting for acquisition of HIPUS,including allocation of purchase consideration to identifiable assets and liabilities.2.Business descriptionStrategyOur strategic objective is to build a sustainable orga

293、nization that remains relevant to the agenda of our clients,while creating growth opportunities for our employees and generating profitable growth for our investors.Our clients and prospective clients are faced with transformative business opportunities due to advances in software and computing tech

294、nology.These organizations are dealing with the challenge of having to reinvent their core offerings,processes and systems rapidly and position themselves as digitally enabled.The journey to the digital future requires not just an understanding of new technologies and new ways of working,but a deep

295、appreciation of existing technology landscapes,business processes and practices.Ourstrategy is to be a navigator for our clients as they ideate on,plan and execute their journey to a digital future.We have embraced a four-pronged strategy to strengthen our relevance to clients and drive accelerated

296、value creation.Towards implementing the strategy,we will:Scale Agile Digital Reskill our people Energize the core Expand localizationBoards report|39 Infosys Annual Report 2018-19Invest in digital capabilitiesand priority servicesInfuse AI and automation,leveraging Infosys NIAReskill talent at scale

297、for us and our clientsHire locally in markets,local delivery and trainingScale Agile DigitalEnergize the CoreReskill our PeopleExpand LocalizationScale Agile DigitalWe will continue to make targeted investments to rapidly accelerate our Agile Digital business.We define digital as a set of use cases

298、that drive business outcomes for our clients across five areas:Experience:Well-designed systems for digital marketing,omnichannel interaction,personalization and content management that can enhance customer experience Insight:AI-based systems for advanced analytics,leveraging Big Data Innovate:Engin

299、eering new and digital-first products and offerings leveraging Internet of Things and advanced industry Software-as-a-Service platforms Accelerate:The digitization of core systems by migrating to cloud technologies,abstracting APIs,modernizing legacy systems and infrastructure,integrating applicatio

300、ns and leveraging Robotic Process Automation(RPA)Assure:Implementing advanced cyber-security systems and specialized validation of software systems.THE CLIENT DIGITALJOURNEYEXPERIENCEINSIGHTINNOVATEACCELERATEASSUREWe use our Digital Navigation Framework to help our clients transform their organizati

301、on and achieve these business outcomes.The framework is a set of accelerators that,when combined together,fast-track the process of transformation.These accelerators are distinct capabilities in the areas of Design,Proximity centers,Agile methodologies,Automation assets and Learning platforms.In add

302、ition to these,we will also invest in sales and consulting capabilities to engage with clients both in their technology divisions and their business organizations.We will continue to leverage alliances that complement our core competencies.We will continue to partner with leading technology software

303、 and hardware providers in creating,deploying,integrating and operating business solutions for our clients.We will continue to invest in research and development(R&D)to stay abreast of new technologies and to incubate new offerings in areas such as blockchain,AR/VR and speech,vision,video and image

304、intelligence.We will expand the scope of our collaborations to encompass universities,research organizations and the startup innovation ecosystem.We will continue to deploy our capital in making selective business acquisitions that augment our Agile Digital expertise,to complement our presence in ce

305、rtain market segments.Energize the coreWe will continue to embrace automation and artificial intelligence(AI)-based techniques and software automation platforms to boost productivity of our clients core processes and systems.We will continue to leverage these,along with lean processes,agile developm

306、ent and our Global Delivery Model to deliver solutions and services to our clients in the most cost-effective manner,while at the same time optimizing our cost structure to remain competitive.We will continue to invest in our flagship RPA platform AssistEdge,our AI platform,Infosys NIA,and in core b

307、usiness applications such as Finacle,McCamish and others to bring differentiated and market-leading features and capabilities to our projects with clients.Reskill our peopleAn exponential adoption of new technologies is leading to a wide digital talent gap.As technology shifts gain rapid acceleratio

308、n,we will continue to drive talent reskilling at scale for our own employees and for our clients organizations in the new areas of digital services.Teaching and learning are central to the Infosys culture.Our investments in our Global Education Center and in creating various learning opportunities f

309、or our employees help our employees stay abreast of new developments in software technologies,spur innovation and help them build a lifelong career with the Company.We will continue to invest in advanced,anytime-anywhere learning systems such as our Lex platform and in creating and harnessing up-to-

310、date content from internal and external sources.Further,we are expanding our relationships with universities around the world to curate specific curricula for our employees in areas such as creative design skills,machine learning,autonomous technologies,blockchain etc.Expand localizationWe believe t

311、hat client proximity lends several benefits while delivering Agile Digital transformations,and we will continue to invest in localizing our workforce in various geographies.We had announced the setting up of four delivery and innovation centers in the US in fiscal 2018,and announced one more in fisc

312、al 2019.These centers are already operational in Indiana,Connecticut,Rhode Island,Texas and North Carolina.We are recruiting locally from universities in the US.We aim to become an employer of choice for US universities and will set up dedicated leadership and support teams in the US,Europe and Aust

313、ralia.Our strategy to localize will also reduce our dependence on immigration policies.40|Boards reportInfosys Annual Report 2018-19OrganizationOur go-to-market business units are organized as:Financial Services and Insurance Life Sciences and Healthcare Manufacturing Retail,Consumer Packaged Goods

314、and Logistics Hi-Tech Communications,Telecom OEM and Media Energy,Utilities,Resources and Services China Japan India Infosys Public Services Other public services enterprisesOur solutions are primarily classified as digital and core.Digital Experience Insight Innovate Accelerate Assure Core Applicat

315、ion management services Proprietary application development services Independent validation solutions Product engineering and management Infrastructure management services Traditional enterprise application implementation Support and integration services Products and Platforms Finacle Edge suite Inf

316、osys NIA Infosys McCamish Panaya Skava Business Process Management Infosys BPMClient baseOur client-centric approach continues to bring us high levels of client satisfaction.We derived 97.3%of our consolidated revenues from repeat business this fiscal.We,along with our subsidiaries,added 345 new cli

317、ents,including a substantial number of large global corporations.Our total client base at the end of the year stood at 1,279.The client segmentation,based on the last 12 months revenue for the current and previous years,on a consolidated basis,is as follows:Clients20192018100 million dollar+252050 m

318、illion dollar+605710 million dollar+2221981 million dollar+662634InfrastructureWe added 2.75 million sq.ft.of physical infrastructure space during the year.The total available space as on March 31,2019 stands at 49.32 million sq.ft.We have presence in 191 locations across 46 countries as on March 31

319、,2019.Infosys Innovation FundOur investment and acquisition strategy is designed to strengthen our competitive positioning and bring technology innovation to our clients.We have a multi-pronged strategy in identifying,investing in,and evangelizing next-generation technologies.We believe we will achi

320、eve this through organic investments in R&D,as well as by making investments in external innovation ecosystems and in particular,technology startup companies.The Infosys Innovation Fund identifies early-stage startup companies developing innovative,next-generation solutions and technologies in the a

321、reas of AI and machine learning,Big Data and analytics,convergence of physical and digital processes,technology infrastructure management,cloud systems and cybersecurity.The Fund partners with startups by providing early-stage capital and in helping bring their innovations to market,attaining scale,

322、product validation and customer introductions.The Fund has invested US$59 million to date in the form of minority holdings in early-stage companies.During the year,the Company divested its stake in two investments resulting in a net gain of US$8 million.As of March 31,2019,the Fund has an additional

323、 US$12 million in uncalled/pending capital commitments.The carrying value of investments as on March31,2019 was US$20 million(138 crore).SubsidiariesWe,along with our subsidiaries,provide consulting,technology,outsourcing and next-generation digital services.At the beginning of the year,we had 20 di

324、rect subsidiaries and 26 step-down subsidiaries.As on March 31,2019,we have 25 direct subsidiaries and 34 step-down subsidiaries.We have acquired following subsidiaries during the year:On May 22,2018,Infosys acquired 100%of the voting interests in WongDoody Holding Company Inc.,(WongDoody)an US-base

325、d,full-service creative and consumer insights agency.The business acquisition was conducted by entering into a share purchase agreement for a total consideration of up to US$75 million(approximately 514 crore on acquisition date).On October 11,2018,Infosys Consulting Pte Limited(a wholly-owned subsi

326、diary of Infosys Limited)acquired 100%voting interests in Fluido Oy(Fluido),a Nordic-based Salesforce advisor and consulting partner in cloud consulting,implementation and training services,for a total consideration of up to 65 million(approximately 560 crore).On November 16,2018,Infosys Consulting

327、Pte Limited(a wholly-owned subsidiary of Infosys Limited)acquired 60%stake in Infosys Compaz Pte.Ltd,a Singapore-based IT services company.The business acquisition was conducted by entering into a share purchase agreement for a total consideration of up to SGD 17 million(approximately 91 crore on ac

328、quisition date).Assets held for sale:During the year ended March 2018,the Company had initiated identification and evaluation of potential buyers for its subsidiaries,Kallidus and Skava(together referred to as“Skava”)and Panaya,collectively referred to as“the disposal group”.The disposal group was B

329、oards report|41 Infosys Annual Report 2018-19classified and presented separately as Held for Sale and was carried at the lower of carrying value and fair value.Consequently,a reduction in the fair value of the disposal group held for sale amounting to 118 crore in respect of Panaya had been recogniz

330、ed in the Consolidated Statement of Profit and Loss for the year ended March 31,2018.Accordingly,assets amounting to 2,060 crore and liabilities amounting to 324 crore in respect of the disposal group had been classified as“held for sale”.In the standalone financial statements,on reclassification,th

331、e investment in these subsidiaries was classified and presented separately as Held for Sale and was carried at the lower of carrying value and fair value.Consequently,a reduction in the fair value of investment of 589 crore in respect of Panaya was recognized in the Standalone Statement of Profit an

332、d Loss.Accordingly,investments amounting to 1,525 crore in respect of these subsidiaries had been reclassified as“held for sale”.During the year ended March 31,2019,on remeasurement,including consideration of progress in negotiations on offers from prospective buyers for Panaya,the Company recorded

333、a reduction in the fair value of the disposal group held for sale amounting to 270 crore in respect of Panaya in the consolidated financial statements and a reduction in the fair value of investment amounting to 265 crore in respect of Panaya in the standalone financial statements.Further,during the year ended March 31,2019,based on the evaluation of proposals received and progress of negotiations