<PAGE>
EXHIBIT 19.1
INFOSYS TECHNOLOGIES LIMITED
Report for the first quarter ended June 30, 2000
Infosys
<PAGE>
At a glance - Indian GAAP
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Rs. in crores, except per equity share data
---------------------------------------------------------------------------------------------------------
Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
For the period
Total revenue 370.64 184.06 921.46
Export revenue 351.06 168.62 869.70
Operating profit (PBIDT) 152.75 77.93 378.88
Profit after tax (PAT) from ordinary
activities 121.30 60.61 285.95
PBIDT as a percentage of total revenue 41.21% 42.34% 41.12%
PAT (from ordinary activities)
as a percentage of total revenue 32.73% 32.93% 31.03%
Earnings per share (from ordinary 18.34 9.16 43.23
activities)*
Dividend per share NA NA 4.50
Dividend amount NA NA 29.76
Capital investment 85.84 21.21 159.87
At the end of the period
Total assets 960.20 633.02 833.30
Fixed assets - net 275.43 112.59 207.34
Cash and equivalents 471.94 444.72 508.37
Working capital 648.60 519.68 612.13
Total debt -- -- --
Net worth 960.20 633.02 833.30
Equity 33.08 33.07 33.08
Market capitalization 54,974.43 12,040.57 59,338.17
---------------------------------------------------------------------------------------------------------
</TABLE>
Note:
Market capitalization is calculated by considering the Indian market price for
shares outstanding at the period/ year end.
*EPS figures have been calculated for the period and have not been annualized.
TOTAL REVENUE EXPORTS NET PROFIT
(Rs. in crores) (Rs. in crores) (Rs. in crores)
[CHART] [CHART] [CHART]
Year ended Year ended Year ended
March 31, 2000 March 31, 2000 March 31, 2000
Quarter ended Quarter ended Quarter ended
June 30, 1999 June 30, 1999 June 30, 1999
Quarter ended Quarter ended Quarter ended
June 30, 2000 June 30, 2000 June 30, 2000
2
<PAGE>
Letter to the shareholders
--------------------------------------------------------------------------------
Dear shareholders:
It is our pleasure to report on another satisfactory quarter. Under Indian GAAP,
revenues grew by 101.4% over Q1 FY1999 while net profits witnessed an increase
of 109.2%. For the first time, quarterly addition in employees, net of
separations, surpassed 1000 -- pointing to continuing vigorous growth in our
business. We added 32 new customers during the quarter while maintaining an
unwavering focus on long term relationships -- reflected in our repeat business
rate of 91.6%.
As expected, we reaped the benefits of our early investments in building up e-
business capabilities; e-business revenues surged to 28.7% -- up from 18.8% last
quarter.
Of the 28.7% of e-business revenues, 10.9% was from start-ups. Working with
these ventures has enabled us to keep abreast of the latest developments in
technology and management. We continue to rely on strong credit risk assessment
mechanisms and ensure a front-loaded payment structure when working with early-
stage startup clients. We believe that working with high-quality pre-IPO
ventures offers us attractive opportunities to work on cutting technologies.
The rest of our e-business revenues came from e-transforming established
traditional economy companies. From the outset, we have had strong relationships
with this segment and continue to work with Fortune 1000 corporations on a wide
range of IT initiatives. We believe that our relationships with this segment,
our track record of client satisfaction, and our expertise in traditional
platforms are all significant competitive advantages and will help us play a key
role in implementing digital strategies for large corporations across the globe.
While continuing to attract high-quality people in large numbers, we continue to
streamline internal processes -- this resulted in utilization levels (excluding
trainees) jumping to 85.6% for this quarter from 81.5% in the quarter ended
March 31, 2000.
This quarter, we brought on board marquee clients such as New York Life
International, Hollywood Entertainment Corporation and Evolving Systems.
Further, our banking division signed on several new clients and launched
FINACLE, a core banking e-platform.
The quarter also saw significant activity on the investments and incubation
front. We invested $ 3 million in CiDRA Corporation, a US-based developer of
agile photonic devices for high precision wavelength management and control for
next-generation optical networks. Earlier this year, CiDRA and Infosys launched
a partnership to develop bandwidth management products to address the exploding
optical networking equipment market. We continue to believe that making select
strategic investments will yield significant business benefits for the company.
Further, Onscan, a venture launched by Infoscions and incubated by Infosys,
successfully closed their first round of funding bringing in Argo Global
Capital, H&Q Asia Pacific@India and Satwik Fund as investors. We expect that
Infosys and Onscan will continue to have a symbiotic business relationship in
the future.
We believe scalability, execution and customer focus to be key strengths of
Infosys. Apart from the sizeable additions to our workforce this quarter, we
also focussed on creating physical infrastructure with the intention of gearing
up to meet our growth plans. We operationalized a training center that can train
1000+ employees at a time. We also operationalized two software development
blocks and a food court at our campus in Bangalore -- other amenities like a
gymnasium, a company store, etc. are in progress.
As in the past, our success was due to the commitment of our fellow Infoscions.
This quarter, we inducted three senior executives, Phaneesh Murthy (earlier
Senior Vice President - Sales & Marketing and Communication & Product Services),
T. V. Mohandas Pai (earlier Senior Vice President - Finance and Administration
and Chief Financial Officer) and Srinath Batni (earlier Senior Vice President -
Delivery - West North America) to the board of directors -- all long-standing
employees of Infosys with excellent track records. On your behalf, we welcome
them on board and also extend our appreciation to our other colleagues who have
contributed to yet another successful quarter in our history.
Bangalore Nandan M. Nilekani N. R. Narayana Murthy
July 11, 2000 Managing Director, President Chairman
and Chief Operating Officer and Chief Executive Officer
3
<PAGE>
Auditor's report to the members of Infosys Technologies Limited
--------------------------------------------------------------------------------
We have audited the attached Balance Sheet of Infosys Technologies Limited (the
Company) as at June 30, 2000 and Profit and Loss Account of the Company for the
quarter ended on that date, annexed thereto, and report that:
1. As required by the Manufacturing and Other Companies (Auditor's Report)
Order, 1988, issued by the Company Law Board in terms of Section 227(4A) of
the Companies Act, 1956, we enclose in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
2. Further to our comments in the Annexure referred to in paragraph (1) above:
(a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
(b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of these
books;
(c) The Balance Sheet and Profit and Loss Account dealt with by this
report are in agreement with the books of account;
(d) In our opinion, the Balance Sheet and Profit and Loss Account dealt
with by this report are prepared in compliance with the accounting
standards referred to in Section 211(3C) of the Companies Act, 1956,
to the extent applicable;
(e) In our opinion and to the best of our information and according to the
explanations given to us, the said accounts give the information
required by the Companies Act, 1956, in the manner so required and
give a true and fair view:
i. in the case of the Balance Sheet, of the state of affairs of the
Company as at June 30, 2000; and
ii. in the case of the Profit and Loss Account, of the profit for the
quarter ended on that date.
3. We have also examined the attached Cash Flow Statement of the Company for
the quarter ended June 30, 2000. The statement has been prepared by the
Company in accordance with the requirements of Clause 32 of the listing
agreements entered into with the Stock Exchanges.
for Bharat S Raut & Co.
Chartered Accountants
Bangalore Balaji Swaminathan
July 11, 2000 Partner
4
<PAGE>
Balance Sheet as at
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
in Rs.
-----------------------------------------------------------------------------------------------------------
June 30, 2000 June 30, 1999 March 31, 2000
-----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
SOURCES OF FUNDS
SHAREHOLDERS' FUNDS
Share capital 33,07,58,335 33,06,95,500 33,07,55,000
Reserves and surplus 927,12,34,168 599,94,93,896 800,22,73,248
-----------------------------------------------------------------------------------------------------------
960,19,92,503 633,01,89,396 833,30,28,248
===========================================================================================================
APPLICATION OF FUNDS
FIXED ASSETS
Gross block 373,65,25,244 190,40,05,553 284,03,05,143
Less: Depreciation 151,26,93,565 92,02,83,178 133,65,20,594
-----------------------------------------------------------------------------------------------------------
Net block 222,38,31,679 98,37,22,375 150,37,84,549
Add: Capital work-in-progress 53,04,58,784 14,21,61,438 56,96,03,505
-----------------------------------------------------------------------------------------------------------
275,42,90,463 112,58,83,813 207,33,88,054
INVESTMENTS 36,16,97,129 75,48,469 13,83,48,469
CURRENT ASSETS, LOANS AND ADVANCES
Sundry debtors 228,39,91,832 106,75,75,082 136,17,81,253
Cash and bank balances 426,00,41,918 389,99,38,741 431,79,35,730
Loans and advances 196,24,84,174 123,67,02,392 210,12,77,161
-----------------------------------------------------------------------------------------------------------
850,65,17,924 620,42,16,215 778,09,94,144
Less: Current liabilities 116,79,86,403 55,69,78,559 67,15,06,459
Provisions 85,25,26,610 45,04,80,542 98,81,95,960
-----------------------------------------------------------------------------------------------------------
NET CURRENT ASSETS 648,60,04,911 519,67,57,114 612,12,91,725
-----------------------------------------------------------------------------------------------------------
960,19,92,503 633,01,89,396 833,30,28,248
===========================================================================================================
</TABLE>
SIGNIFICANT ACCOUNTING POLICIES AND
NOTES ON ACCOUNTS
The Schedules referred to above and the notes thereon form an integral part of
the Balance Sheet.
This is the Balance
Sheet referred to in our
report of even date.
for Bharat S Raut & Co.
Chartered Accountants
<TABLE>
<S> <C> <C> <C>
Balaji Swaminathan N. R. Narayana Murthy Nandan M. Nilekani Prof. Marti G. Subrahmanyam
Partner Chairman and Managing Director, President Director
Chief Executive Officer and Chief Operating Officer
S. Gopalakrishnan K. Dinesh S. D. Shibulal T. V. Mohandas Pai
Dy. Managing Director Director Director Director and
Chief Financial Officer (Finance &
Administration)
Phaneesh Murthy Srinath Batni V. Viswanathan
Director Director Company Secretary
</TABLE>
Bangalore
July 11, 2000
5
<PAGE>
Profit and Loss Account
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
in Rs.
--------------------------------------------------------------------------------------------------------------------------
Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
INCOME
Software development services and products
Overseas 351,05,78,423 168,62,11,001 869,69,80,931
Domestic 4,47,21,726 1,64,95,994 12,62,56,042
Other income 15,11,07,532 13,79,13,245 39,14,11,095
--------------------------------------------------------------------------------------------------------------------------
370,64,07,681 184,06,20,240 921,46,48,068
==========================================================================================================================
EXPENDITURE
Software development expenses 189,39,05,266 89,18,81,292 466,26,84,578
Administration and other expenses 28,50,11,949 13,61,38,961 69,48,50,282
Provision for contingencies - 3,33,00,000 3,33,00,000
Provision for e-inventing the Company - - 3,50,00,000
--------------------------------------------------------------------------------------------------------------------------
217,89,17,215 106,13,20,253 542,58,34,860
Operating profit (PBIDT) 152,74,90,466 77,92,99,987 378,88,13,208
Interest - - -
Depreciation 17,73,71,717 9,32,18,149 53,23,27,389
Profit before tax 135,01,18,749 68,60,81,838 325,64,85,819
Provision for tax - earlier years 1,40,00,000 - 24,00,000
- current period 12,31,00,000 8,00,00,000 39,46,00,000
Profit after tax before extraordinary item 121,30,18,749 60,60,81,838 285,94,85,819
Extraordinary item - transfer of intellectual
property right (net of tax) 5,49,44,000 - -
- provision no longer required - - 7,56,70,846
Net profit after tax and extraordinary item 126,79,62,749 60,60,81,838 293,51,56,665
--------------------------------------------------------------------------------------------------------------------------
AMOUNT AVAILABLE FOR APPROPRIATION 126,79,62,749 60,60,81,838 293,51,56,665
--------------------------------------------------------------------------------------------------------------------------
Dividend
Interim - - 9,92,08,200
Final (proposed) - - 19,84,18,210
Dividend Tax - - 3,27,38,905
Amount transferred - general reserve - - 260,47,91,350
--------------------------------------------------------------------------------------------------------------------------
Balance in the Profit and Loss Account 126,79,62,749 60,60,81,838 -
--------------------------------------------------------------------------------------------------------------------------
126,79,62,749 60,60,81,838 293,51,56,665
==========================================================================================================================
</TABLE>
SIGNIFICANT ACCOUNTING POLICIES AND
NOTES ON ACCOUNTS
The Schedules referred to above and the notes thereon form an integral part of
the Profit and Loss Account.
This is the Profit and Loss
Account referred to in our
report of even date.
for Bharat S Raut & Co.
Chartered Accountants
<TABLE>
<S> <C> <C> <C>
Balaji Swaminathan N. R. Narayana Murthy Nandan M. Nilekani Prof. Marti G. Subrahmanyam
Partner Chairman and Managing Director, President Director
Chief Executive Officer and Chief Operating Officer
S. Gopalakrishnan K. Dinesh S. D. Shibulal T. V. Mohandas Pai
Dy. Managing Director Director Director Director and
Chief Financial Officer (Finance &
Administration)
Phaneesh Murthy Srinath Batni V. Viswanathan
Director Director Company Secretary
</TABLE>
Bangalore
July 11, 2000
6
<PAGE>
Schedules to the Profit and Loss Account
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
in Rs.
--------------------------------------------------------------------------------------------------------------------------
Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
OTHER INCOME
Interest received on deposits with banks and others 7,45,64,700 5,57,81,765 26,68,79,106
(Tax deducted at source Rs. 69,02,206, Rs.14,86,424,
Rs. 1,67,51,195 respectively)
Sale of special import licenses - - 2,02,31,549
Profit on sale of assets - 47,547 8,73,015
Miscellaneous income 23,66,852 7,81,555 41,00,350
Exchange differences * 7,41,75,980 8,13,02,378 9,93,27,075
--------------------------------------------------------------------------------------------------------------------------
15,11,07,532 13,79,13,245 39,14,11,095
==========================================================================================================================
*arising on translation of foreign currency deposits maintained abroad
SOFTWARE DEVELOPMENT EXPENSES
Salaries and bonus including overseas staff expenses 131,59,03,108 58,72,39,063 307,54,46,295
Staff welfare 1,51,05,488 96,00,224 4,93,07,308
Contribution to provident and other funds 9,49,72,021 2,05,62,775 22,08,36,923
Foreign travel expenses 30,21,47,079 17,91,35,095 84,09,02,293
Consumables 90,94,196 58,68,491 2,70,06,251
Cost of software packages
for own use 7,54,06,306 3,27,92,026 16,53,57,382
for software development 83,50,829 16,12,057 2,84,48,397
Provision for post-sales client support (1,80,160) 66,72,756 2,09,62,627
Computer maintenance 1,48,09,400 39,33,051 3,27,43,350
Communication expenses 4,70,05,737 3,83,31,714 17,31,23,718
Consultancy charges 1,12,91,262 61,34,040 2,85,50,034
--------------------------------------------------------------------------------------------------------------------------
189,39,05,266 89,18,81,292 466,26,84,578
==========================================================================================================================
ADMINISTRATION AND OTHER EXPENSES
Travelling and conveyance 2,72,52,199 1,07,78,342 7,68,26,394
Rent 3,26,94,228 2,05,30,401 10,34,93,593
Telephone charges 2,91,31,034 1,38,05,537 5,93,95,252
Legal and professional charges 2,55,65,071 1,25,27,056 7,55,68,079
Printing and stationery 2,50,66,901 82,91,883 2,76,70,902
Advertisements 1,13,04,298 43,68,253 2,12,41,343
Brand building 1,09,58,146 - 99,17,816
Office maintenance 2,73,12,516 84,08,885 5,81,01,381
Repairs to building 82,54,771 26,16,995 1,13,44,232
Repairs to plant and machinery 33,86,262 14,09,481 84,12,905
Power and fuel 2,06,50,482 1,00,17,440 5,01,41,466
Insurance charges 52,89,398 40,57,836 2,41,35,289
Rates and taxes 35,64,331 20,18,759 1,03,80,848
Donations 1,58,07,369 40,00,000 3,49,27,871
Auditor's remuneration - audit fees 4,46,250 4,25,000 17,85,000
- certification charges - - 2,00,000
- other services - - 4,50,000
- out-of-pocket expenses 50,000 50,000 2,00,000
Bad loans and advances written off - - 3,13,050
Bad debts written off - - 1,59,20,938
Provision for bad and doubtful debts 40,87,456 1,20,19,784 94,03,099
Provision for doubtful loans and advances (1,412) - -
Bank charges and commission 5,30,303 9,54,847 42,21,668
Commission charges 22,64,589 34,84,800 64,70,454
Other miscellaneous expenses 1,48,35,302 37,29,270 2,10,64,341
Marketing expenses 53,30,276 76,59,732 3,14,93,837
Postage and courier 48,77,958 36,69,936 1,37,56,638
Books and periodicals 38,54,221 13,14,724 77,13,886
Research grants 25,00,000 - 1,03,00,000
28,50,11,949 13,61,38,961 69,48,50,282
</TABLE>
7
<PAGE>
Statement of Cash Flows
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
in Rs.
--------------------------------------------------------------------------------------------------------------------------
Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Cash flows from operations
Profit before tax 135,01,18,749 68,60,81,838 325,64,85,819
Other Income (14,87,40,680) (13,71,31,690) (36,70,79,196)
Loss on sale of fixed assets 45,109 - -
Increase (decrease) in provision for contingencies - 3,33,00,000 (6,66,00,000)
Increase (decrease) in provision for e-inventing
the company (39,00,977) - 39,00,977
Depreciation, depletion and amortization 17,73,71,717 9,32,18,149 53,23,27,389
Decrease (increase) in sundry debtors (92,22,10,579) (22,23,86,657) (51,65,92,828)
Decrease (increase) in loans and advances (8,10,46,519) (9,43,88,854) (41,49,70,588)
Increase (decrease) in current liabilities and
provisions 41,34,59,784 13,53,08,834 42,26,37,450
Income taxes paid (8,66,32,475) (2,92,11,001) (35,53,53,877)
--------------------------------------------------------------------------------------------------------------------------
Net cash from operations 69,84,64,129 46,47,90,619 249,47,55,146
--------------------------------------------------------------------------------------------------------------------------
Cash flows from financing
Proceeds from conversion of options 10,01,506 - 1,76,25,277
Expenses relating to issue of American Depositary
Shares - (2,02,03,690) (2,35,06,514)
Expenses relating to issue of ADS linked stock
options (1,01,93,113)
Dividends paid (including dividend tax) (22,02,44,213) (8,91,36,007) (19,92,57,109)
--------------------------------------------------------------------------------------------------------------------------
Net cash from (used for) financing (21,92,42,707) (10,93,39,697) (21,53,31,459)
--------------------------------------------------------------------------------------------------------------------------
Cash flows from investing
Income from investments 7,45,64,700 5,57,81,765 26,68,79,106
Proceeds of sale of fixed assets 50,738 1,51,261 10,20,400
Purchase of fixed assets (85,83,69,973) (21,20,46,465) (159,87,03,617)
Other long-term investments (13,40,08,660) - (13,08,00,000)
--------------------------------------------------------------------------------------------------------------------------
Net cash used for investing (91,77,63,195) (15,61,13,439) (146,16,04,111)
--------------------------------------------------------------------------------------------------------------------------
Effect of exchange differences on translation of
foreign currency deposits maintained abroad 7,41,75,980 8,13,02,378 9,93,27,075
Total increase (decrease) in cash and cash
equivalents during the period (36,43,65,793) 28,06,39,861 91,71,46,651
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE
PERIOD 508,37,37,595 416,65,90,944 416,65,90,944
--------------------------------------------------------------------------------------------------------------------------
Cash and cash equivalents at the end of the period 471,93,71,802 444,72,30,805 508,37,37,595
==========================================================================================================================
</TABLE>
Note: During the quarter ended June 30, 2000, the company transferred
intellectual property rights in Onscan - a web focussed wirless-enabled
notification product, to Onscan Inc., USA, a company incubated by Infosys as
part of its ongoing effort to encourage and promote enterpreneurs amongst its
employees. The product was transferred for a gross consideration of Rs.8.93
crore (US$ 2 million) received as equity, preferred voting and preferred non-
voting securities in Onscan Inc. and accordingly, is not considered in this
statement of cash flows.
This is the Cash Flow Statement referred to in our report of even date.
for Bharat S Raut & Co.
Chartered Accountants
<TABLE>
<S> <C> <C> <C>
Balaji Swaminathan N. R. Narayana Murthy Nandan M. Nilekani Prof. Marti G. Subrahmanyam
Partner Chairman and Managing Director, President Director
Chief Executive Officer and Chief Operating Officer
S. Gopalakrishnan K. Dinesh S. D. Shibulal T. V. Mohandas Pai
Dy. Managing Director Director Director Director and
Chief Financial Officer (Finance &
Administration)
Phaneesh Murthy Srinath Batni V. Viswanathan
Director Director Company Secretary
</TABLE>
Bangalore
July 11, 2000
8
<PAGE>
Statement of Cash Flows
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
in Rs.
----------------------------------------------------------------------------------------------------------------------------
Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Reconciliation of Balance Sheet items with cash flow items
1. Loans and advances
As per Balance sheet 196,24,84,174 123,67,02,392 210,12,77,161
Less: Deposits with financial institutions/body corporate,
included in cash equivalents (45,93,29,884) (54,72,92,064) (76,58,01,865)
Advance income taxes considered separately (63,07,28,828) (21,86,13,119) (54,40,96,353)
----------------------------------------------------------------------------------------------------------------------------
Balance considered for preparing the cash flow statement 87,24,25,462 47,07,97,209 79,13,78,943
----------------------------------------------------------------------------------------------------------------------------
2. Additions to fixed assets
As per Balance sheet 89,75,14,694 21,87,20,827 117,79,35,912
Add: Closing capital work-in-progress 53,04,58,784 14,21,61,438 56,96,03,505
Less: Opening capital work-in-progress (56,96,03,505) (14,88,35,800) (14,88,35,800)
----------------------------------------------------------------------------------------------------------------------------
Balance considered for preparing the cash flow statement 85,83,69,973 21,20,46,465 159,87,03,617
----------------------------------------------------------------------------------------------------------------------------
3. Cash and cash equivalents
As per Balance sheet 426,00,41,918 389,99,38,741 431,79,35,730
Add: Deposits with financial institutions/body corporate
(as per 1 above) 45,93,29,884 54,72,92,064 76,58,01,865
Balance considered for preparing the cash flow statement 471,93,71,802 444,72,30,805 508,37,37,595
----------------------------------------------------------------------------------------------------------------------------
4. Income taxes paid
As per Profit and Loss account 13,71,00,000 8,00,00,000 39,70,00,000
Add: Provision for tax on sale of intellectual property
rights 3,43,96,000 - -
Decrease(increase) in balance in provision for taxes
account (17,14,96,000) (7,83,21,896) (39,46,62,254)
Increase(decrease) in balance in advance income tax
account 8,66,32,475 2,75,32,897 35,30,16,131
----------------------------------------------------------------------------------------------------------------------------
Balance considered for preparing the cash flow statement 8,66,32,475 2,92,11,001 35,53,53,877
----------------------------------------------------------------------------------------------------------------------------
5. Other income
As per Profit and Loss account 15,11,07,532 13,79,13,245 39,14,11,095
Less: Income from operating activities (23,66,852) (7,81,555) (2,43,31,899)
----------------------------------------------------------------------------------------------------------------------------
Balance considered for preparing the cash flow statement 14,87,40,680 13,71,31,690 36,70,79,196
----------------------------------------------------------------------------------------------------------------------------
6. Current liabilities and provisions
As per Balance sheet 202,05,13,013 100,74,59,101 165,97,02,419
Less: Provision for taxation considered separately (79,75,15,742) (30,96,79,384) (62,60,19,742)
Provision for dividend considered separately - - (19,84,18,210)
Provision for dividend tax considered separately - - (2,18,26,003)
Provision for contingencies - (9,99,00,000) -
Provision for e-inventing the company - - (39,00,977)
----------------------------------------------------------------------------------------------------------------------------
Balance considered for preparing the cash flow statement 122,29,97,271 59,78,79,717 80,95,37,487
----------------------------------------------------------------------------------------------------------------------------
</TABLE>
This is the Cash Flow Statement referred to in our report of even date.
for Bharat S Raut & Co.
Chartered Accountants
<TABLE>
<S> <C> <C> <C>
Balaji Swaminathan N. R. Narayana Murthy Nandan M. Nilekani Prof. Marti G. Subrahmanyam
Partner Chairman and Managing Director, President Director
Chief Executive Officer and Chief Operating Officer
S. Gopalakrishnan K. Dinesh S. D. Shibulal T. V. Mohandas Pai
Dy. Managing Director Director Director Director and
Chief Financial Officer (Finance &
Administration)
Phaneesh Murthy Srinath Batni V. Viswanathan
Director Director Company Secretary
</TABLE>
Bangalore
July 11, 2000
9
<PAGE>
Schedules to the balance sheet and profit and loss account
1. SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTS
1.1 Significant accounting policies
1.1.1 Basis of preparation of financial statements
The financial statements are prepared under the historical cost convention, in
accordance with Indian Generally Accepted Accounting Principles ("GAAP"), the
accounting standards issued by the Institute of Chartered Accountants of India
and the provisions of the Companies Act, 1956, as adopted consistently by the
company. All income and expenditure having a material bearing on the financial
statements are recognized on the accrual basis.
The preparation of the financial statements in conformity with GAAP requires
that the management make estimates and assumptions that affect the reported
amounts of assets and liabilities, and disclosure of contingent assets and
liabilities as of the date of the financial statements, and the reported
amounts of revenue and expenses during the reporting period. Examples of such
estimates include expected contract costs to be incurred to complete software
development, provision for doubtful debts, future obligations under employee
retirement benefit plans and the useful lives of fixed assets. Actual results
could differ from those estimates.
1.1.2 Revenue recognition
Revenue from software development on the time-and-material basis is recognized
based on software developed and billed to clients as per the terms of specific
contracts. In the case of fixed-price contracts, revenue is recognized based
on milestones achieved as specified in the contracts, on the percentage of
completion basis. Revenue from the sale of software products is recognized
with the passing of title of the user license. Revenue from Annual Technical
Services ("ATS") is recognized on a pro-rata basis over the period in which
such services are rendered. Interest on deployment of surplus funds is
recognized using the time-proportion method, based on interest rates implicit
in the transactions. Dividend income is recognized when the right to receive
dividend is established. Revenue from the sale of special import licences is
recognized when the licences are actually sold.
1.1.3 Expenditure
Expenses are accounted on the accrual basis and provisions are made for all
known losses and liabilities. The cost of software purchased for use in
software development and services is charged to revenue in the same year.
Costs in the nature of salaries, travel and other project related expenses,
where milestones are yet to be reached, incurred on contracts are carried in
the balance sheet as "Costs in excess of billings". Provisions are made for
future unforeseeable factors that may affect the profit on fixed-price
software development contracts. The leave encashment liability of the company
is provided on the basis of an actuarial valuation. Provisions are made
towards likely expenses on providing post-sales client support for fixed-price
contracts.
1.1.4 Fixed assets
Fixed assets are stated at the cost of acquisition, less accumulated
depreciation. Direct costs are capitalized till the assets are ready to be put
to use. These costs include financing costs relating to specific borrowing(s)
attributable to fixed assets.
1.1.5 Capital work-in-progress
Advances paid towards the acquisition of fixed assets, and the cost of assets
not put to use before the period-end, are disclosed under capital work-in-
progress.
1.1.6 Depreciation
Depreciation on fixed assets is provided using the straight-line method, based
on useful lives of assets as estimated by the management. Depreciation is
charged on a pro-rata basis for assets purchased / sold during the period.
Individual assets costing less than Rs. 5,000 are depreciated in full in the
year of purchase. The management's estimate of useful lives for the various
fixed assets is given below.
Buildings 15 years
Plant and machinery 5 years
Computer equipment 2-5 years
Furniture and fixtures 5 years
Vehicles 5 years
13
<PAGE>
1.1.7 Retirement benefits to employees
1.1.7a Gratuity
In accordance with Indian law, the company provides for gratuity, a defined
benefit retirement plan (the "Gratuity Plan") covering all employees. The plan
provides a lump sum payment to vested employees at retirement, death or
termination of employment, based on the respective employee's salary and the
years of employment with the company.
The company has established the Infosys Technologies Limited Employees'
Gratuity Fund Trust (the "Trust"). Liabilities with regard to the Gratuity
Plan are determined by actuarial valuation, based upon which, the company
makes contributions to the Trust. Trustees administer the contributions made
to the Trust. The funds contributed to the Trust are invested in specific
designated securities as mandated by law and generally comprise central and
state government bonds, and debt instruments of government-owned corporations.
1.1.7b Superannuation
Apart from being covered under the Gratuity Plan described above, the senior
officers of the company are also participants of a defined contribution plan.
The plan is termed the superannuation plan (the "plan") to which the company
makes monthly contributions, based on a specified percentage of each covered
employee's salary. The company has no further obligations under the plan
beyond its monthly contributions.
13.1.7c Provident fund
In addition to the above benefits, all employees receive benefits from a
provident fund, which is a defined contribution plan. Both the employee and
the employer make monthly contributions to this provident fund plan equal to
12% of the covered employee's salary.
The company has established a Provident Fund Trust to which a part of the
contributions are made each month. The remainders of the contributions are
made to the Government's provident fund. The company has no further
obligations under the provident fund plan beyond its monthly contributions.
1.1.8 Research and development
Revenue expenditure incurred on research and development are charged off in
the same year in which such expenditure is incurred. Capital expenditure
incurred on research and development is depreciated over the estimated useful
lives of the related assets.
1.1.9 Foreign currency transactions
Sales made to clients outside India and realizations deposited into foreign
currency bank accounts are accounted for on the basis of the exchange rate as
on the date of the transaction. Adjustments are made for any variations in the
sale proceeds on conversion into Indian currency upon actual receipt.
Expenditure in foreign currency is accounted at the exchange rate prevalent
when such expenditure is incurred. Disbursements made out of foreign currency
bank accounts are reported at a rate that approximates the actual monthly
rate. Fixed assets purchased at overseas offices are accounted for on the
basis of the actual cost incurred at the exchange rate prevalent at the time
of purchase. Depreciation is charged as per company policy. Exchange
differences arising on foreign currency transactions are recognized as income
or expense in the period in which they arise.
Current assets and current liabilities denominated in foreign currency are
translated at the exchange rate prevalent at the date of the balance sheet.
The resulting difference is accounted for in the profit and loss account. In
the case of forward contracts, the difference between the forward rate and the
exchange rate on the date of the transaction is recognized as income or
expense over the life of the contract.
1.1.10 Investments
Investments are classified into current investments and long-term investments.
Current investments are carried at the lower of the cost and the fair value,
and provision is made to recognize any decline in the carrying value. Long-
term investments are carried at cost, and provision is made to recognize any
decline, other than temporary, in the value of such investment. Overseas
investments are carried at their original rupee cost less provision as
described above.
1.1.11 Investment in subsidiary
The investment in the subsidiary is accounted on the cost method, whereby, the
company recognizes only dividends received from the subsidiary as income. In
case of losses made by the subsidiary, other than temporary, adequate
provision is made to recognize any decline in the value of the investment.
15
<PAGE>
1.1.12 Income tax
Provision is made for income tax on an annual basis, under the tax-payable
method, based on the tax liability as computed after taking credit for
allowances and exemptions. In case of matters under appeal, due to
disallowances or otherwise, full provision is made when the said liabilities
are accepted by the company.
16
<PAGE>
1.2 Notes on accounts
The previous period's figures have been recast / restated, wherever necessary,
to conform to the current period's classification.
1.2.1 Contingent liabilities
a The estimated amount of contracts remaining to be executed on capital
account, and not provided for (net of advance) is Rs. 118,86,56,390 as
at June 30, 2000. The amount of such contracts as at June 30, 1999 was
Rs. 34,26,03,611 and as at March 31, 2000 was Rs. 80,31,29,007.
b The company has outstanding counter guarantees of Rs. 5,71,30,000 as
at June 30, 2000, to various banks, in respect of guarantees given by
the banks in favour of various government authorities. The counter
guarantees outstanding, as at June 30, 1999 were Rs. 2,82,65,263 and
as at March 31, 2000 were Rs. 5,26,30,000.
c Claims against the company, not acknowledged as debts, amounted to Rs.
73,78,977 as at June 30, 2000. Such claims, as at June 30, 1999 were
Rs. 17,91,814 and as at March 31, 2000 were Rs.32,89,661.
1.2.2 Quantitative details
The company is engaged in the development and maintenance of computer
software. The production and sale of such software cannot be expressed in any
generic unit. Hence, it is not possible to give the quantitative details of
sales and certain information as required under paragraphs 3, 4C and 4D of
part II of Schedule VI to the Companies Act, 1956.
1.2.3 Managerial remuneration paid to the chairman, managing director and
whole-time directors
in Rs.
------------------------------------------------------------------------------
Quarter ended Quarter ended Year ended
June 30, 2000* June 30, 1999 March 31, 2000
------------------------------------------------------------------------------
Salary 22,64,968 9,73,800 38,00,059
Contribution to provident
fund and other funds 3,83,405 3,09,780 12,08,855
Perquisites 7,39,873 9,45,399 37,32,482
------------------------------------------------------------------------------
*includes the remuneration paid to three new directors who were co-opted into
the board on May 27, 2000
1.2.4 Managerial remuneration paid to non-whole-time directors
in Rs.
------------------------------------------------------------------------------
Quarter ended Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
------------------------------------------------------------------------------
Salary - - 48,17,800
Sitting fees 1,12,000 40,000 92,000
Reimbursement of expenses 2,04,161 2,30,714 10,13,703
------------------------------------------------------------------------------
1.2.5 Imports on CIF basis
in Rs.
------------------------------------------------------------------------------
Quarter ended Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
------------------------------------------------------------------------------
Capital goods 16,76,46,420 7,63,84,991 37,47,31,691
Software packages 61,84,284 40,96,977 2,54,95,652
------------------------------------------------------------------------------
1.2.6 Expenditure in foreign currency
in Rs.
------------------------------------------------------------------------------
Quarter ended Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
------------------------------------------------------------------------------
Travel expenses 17,70,40,100 17,17,34,260 70,29,13,532
Professional charges 72,06,920 61,83,106 4,51,95,637
Other expenditure incurred
overseas for software
development 80,78,78,995 34,15,81,916 221,74,57,133
------------------------------------------------------------------------------
17
<PAGE>
1.2.7 Earnings in foreign exchange
<TABLE>
<CAPTION>
in Rs.
-------------------------------------------------------------------------------------------------------------------------------
Quarter ended Quarter ended Year ended March
June 30, 2000 June 30, 1999 31, 2000
-------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Income from software development services and 833,29,73,465
products on a receipt basis 304,28,30,950 166,29,87,194
Interest received on deposits with banks 5,49,26,100 4,24,43,966 18,42,65,368
</TABLE>
1.2.8 Depreciation on assets costing less than Rs. 5,000 each
During the quarter, the company charged depreciation at 100% in respect of
assets costing less than Rs. 5,000 each, amounting to Rs. 3,40,36,128. The
corresponding amount for the previous period was Rs. 76,15,031 and the
previous year was Rs. 13,21,59,074.
1.2.9 Exchange differences
During the quarter, realised and unrealised exchange gains amounted to Rs.
15,05,47,349 including Rs. 7,41,75,980 arising out of exchange differences on
the translation of foreign currency deposits maintained abroad. The
corresponding amounts for the same quarter in previous year were Rs.
13,62,59,335 and Rs. 8,13,02,378, respectively and the corresponding amounts
for the previous year were Rs. 18,69,58,099 and Rs.9,93,27,075 respectively.
Exchange difference on translation of foreign currency deposits maintained
abroad is disclosed separately under "Other income" in the financial
statements. The balance of realised and unrealised exchange gains amounting to
Rs. 7,63,71,369 (corresponding previous period Rs. 5,49,56,957 and previous
year Rs.8,76,31,024) is included as a component of "Income from software
development services and products-overseas" in the financial statements.
1.2.10 Research and development expenditure
Research and development expenses charged to the Profit and Loss Account on
both capital and revenue accounts amounts to Rs. 3,35,84,540 (corresponding
previous period Rs. 1,62,34,400 and previous year Rs. 8,22,63,440). This
includes Rs. 20,02,050 being the depreciation charged at 100% in respect of R
& D assets acquired during the quarter (corresponding previous period Rs. Nil
and previous year Rs. 15,27,500).
1.2.11 Provision for contingencies
The company had instituted a contingency plan effective October 1, 1998 and
made a total provision of
Rs. 9,99,00,000 to meet any possible disruption in client support due to the
Year 2000 impact on the technology and communication infrastructure provided
to the company by its vendors. For the year ended March 31, 2000, Rs.
2,42,29,154 was spent towards the Year 2000 transition effort, which was set
off against the provision and the balance of Rs. 7,56,70,846 was written back
to the profit and loss account.
1.2.12 Provision for e-inventing the company
The company made a provision of Rs. 3,50,00,000 for the quarter ended
September 30, 1999 towards e-inventing the company. As on March 31, 2000, Rs.
3,10,99,023 was incurred towards e-inventing the company, which was set-off
against the provision made earlier. The balance of Rs. 39,00,977 was incurred
and set-off against this provision during the quarter ended June 30, 2000.
1.2.13 Unearned revenue
Unearned revenue as of June 30, 2000 amounting to Rs. 64,25,65,243
(corresponding previous period
Rs. 22,54,44,217 and previous year Rs.17,56,71,963) primarily consists of
client billings on fixed-price, fixed-time-frame contracts for which the
related costs have not yet been incurred.
1.2.14 Dues to Small-Scale Industrial undertakings
As of June 30, 2000, the company had no outstanding dues to small-scale
industrial undertakings.
18
<PAGE>
1.2.15 Balance of unutilized money raised by issue of ADS
During the year ended March 31, 1999, the company made an Initial Public
Offering ("IPO") of American Depositary Shares ("ADS"), of USD 70,380,000
equivalent to Rs. 296,86,00,000. The issue expenses amounted to Rs. 19,68,00,000
and the amount utilised for capital investment is Rs. 211,05,00,000. The balance
of unutilised money as on June 30, 2000 amounting to Rs. 66,13,00,000
(corresponding previous period Rs. 289,56,00,000 and previous year Rs.
140,99,00,000) is maintained in foreign currency deposit accounts with various
banks outside India.
1.2.16 Stock options
The company currently has three stock option plans. These are summarized
below.
1994 Stock Option Plan ("the 1994 Plan")
As of June 30, 2000, 3,36,000 options to acquire 3,36,000 shares were
outstanding with the employees under the 1994 Plan. These options were granted
at an exercise price of Rs. 100 per option. In addition to the above shares
earlier issued to employees subject to lock-in is 17,32,600 shares.
1998 Stock Option Plan ("the 1998 Plan")
The company's 1998 Stock Option Plan ("the 1998 Plan") provides for the grant of
non-statutory stock options and incentive stock options to employees. The
establishment of the 1998 Plan was approved by the Board of Directors in
December 1997 and by the company's shareholders in January 1998. The Government
of India approved the 1998 Plan, subject to a limit of 14,70,000 equity shares
representing 29,40,000 ADSs to be issued under the plan. A total of 16,00,000
equity shares corresponding to 32,00,000 ADSs are currently reserved for
issuance pursuant to the 1998 Plan. These options may be issued at an exercise
price that is not less than 90% of the fair market value of the underlying
equity share on the date of the grant. The 1998 Plan will terminate in January
2008, unless terminated earlier. All options under the 1998 Plan are exercisable
for ADSs representing equity shares. A committee of the Board of Directors
administers the 1998 Plan.
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------------------------------------
Number of options granted, exercised and forfeited Quarter ended Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
-----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Options outstanding, beginning of period/year 6,89,500 4,19,000 4,19,000
Granted 1,46,700 - 2,94,300
Exercised 1,334 - 23,800
Forfeited 11,500 - -
------------------------------------------------------------------
Options outstanding, end of period/year 8,23,366 4,19,000 6,89,500
==================================================================
Weighted average exercise price US$ 77.06 US$ 17.00 US$ 58.53
(Rs. 3,440) (Rs. 737) (Rs. 2,552)
------------------------------------------------------------------
</TABLE>
1999 Stock Option Plan ("the 1999 Plan")
In fiscal 2000, the company instituted the 1999 Plan. The 1999 Plan was approved
by the shareholders and the Board of Directors in June 1999. The 1999 Plan
provides for the issue of 66,00,000 equity shares to the employees. The 1999
Plan is administered by a Compensation Committee comprising a maximum of seven
members, the majority of whom are independent directors on the Board of
Directors. Under the 1999 Plan, options will be issued to employees at an
exercise price, which shall not be less than the Fair Market Value. Fair Market
Value is the closing price of the company's shares in the stock exchange where
there is the highest trading volume on a given date and if the shares are not
traded on that day, the closing price on the next trading day. Under the 1999
Plan, options may be issued to employees at exercise prices that are less than
Fair Market Value only if specifically approved by the members of the company in
a general meeting.
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------------------
Number of options granted, exercised and forfeited Quarter ended Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
-------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Options outstanding, beginning of period/year 10,06,800 - -
Granted 6,58,650 - 10,14,500
Exercised - - -
Forfeited 23,600 - 7,700
--------------------------------------------------------------
Options outstanding, end of period/year 16,41,850 - 10,06,800
==============================================================
Weighted average exercise price Rs. 4,931 Rs. 4,268
--------------------------------------------------------------
</TABLE>
19
<PAGE>
1.2.17 Employee Stock Option Plan ("ESOP")
The Securities and Exchange Board of India (SEBI) recently issued the (Employee
Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999 which
is effective for all stock option schemes established after June 19, 1999. In
accordance with these guidelines, the excess of the market price of the
underlying equity shares as of the date of the grant of the options over the
exercise price of the options, including up-front payments, if any is to be
recognized and amortized on a straight line basis over the vesting period.
The company's 1994 stock option plan was established prior to the SEBI
guidelines on stock options.
Had the stock compensation costs for this stock option plan been determined as
per the guidelines issued by SEBI, the company's reported net profit would have
been reduced to the proforma amounts indicated below.
<TABLE>
<CAPTION>
in Rs.
--------------------------------------------------------------------------------------------------------
Quarter ended Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
--------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net profit: 126,79,62,749 60,60,81,838 293,51,56,665
- As reported 121,14,70,502 55,19,02,504 271,34,60,717
- Adjusted pro forma
</TABLE>
1.2.18 Provision for taxation
The company's profits from export activities are deductible from taxable income.
Further, most of the company's operations are conducted through 100% Export
Oriented Units, which are entitled to a tax holiday for a period of ten years
from the date of commencement of operations. The provision for taxation includes
taxes payable in respect of domestic income and income arising from the
company's overseas operations, primarily in the United States, Europe, Far East
and South East Asia.
1.2.19 Cash and bank balances
The cash and bank balances include interest accrued but not due on fixed
deposits amounting to Rs. 27,33,684 for the quarter ended June 30, 2000
(corresponding previous period Rs. 5,99,173 and previous year Rs. 94,92,514).
1.2.20 Loans and advances
Advances recoverable in cash or kind or for value to be received mainly comprise
of prepaid travel and per-diem expenses and advance paid to vendors towards
current assets.
Deposits with financial institutions consist of Rs. 10,41,44,577 (corresponding
previous period Rs. 25,44,80,556 and previous year Rs. 25,50,19,994) and Rs.
10,20,30,140 (corresponding previous period Rs. 4,00,21,918 and previous year
Rs. 25,75,52,742) deposited with Housing Development Finance Corporation
Limited, and ICICI Limited, respectively. Mr. Deepak M Satwalekar, director of
the company, is also the Managing Director in Housing Development Finance
Corporation Limited. Mr. N R Narayana Murthy, Chairman and CEO of the company
and Prof. Marti G. Subrahmanyam, director of the company are also directors in
ICICI Limited. Except as directors in these financial institutions, they have no
direct interest in these transactions. "Deposit with a body corporate" consists
of Rs. 25,31,55,167 (corresponding previous period Rs. 25,27,89,590 and previous
year Rs. 25,32,29,129) deposited with GE Capital Services India Limited. All
these financial institutions and the body corporate have AAA rating from Credit
Rating and Information Services of India Limited (CRISIL). These amounts include
interest accrued but not due amounting to Rs. 92,97,693 (corresponding previous
period Rs. 72,83,022 and previous year Rs. 1,58,01,863).
1.2.21 Current liabilities
Sundry creditors for other liabilities represent mainly the retention amount
payable to the vendors, and amounts accrued for various other operational
expenses.
1.2.22 Fixed assets
The company has entered into lease-cum-sale agreements to acquire certain
properties. In accordance with the terms of these agreements, the company has
the option to purchase the properties outright at the expiry of the lease
period. The company has already paid 99% of the value of the properties at the
time of entering into the lease-cum-sale agreements. These amounts are disclosed
as "Land - leasehold" under "Fixed assets" in the financial statements.
1.2.23 Transfer of Intellectual Property Rights
During the quarter ended June 30, 2000, the company transferred its intellectual
property rights in Onscan - a web-focussed wireless-enabled notification
product, to Onscan Inc., USA, a company incubated by Infosys as part of its
ongoing effort to encourage and promote budding entrepreneurs among its
employees. The product was transferred for a gross consideration of Rs.
8,93,40,000 (US$ 2 million), received as equity, preferred voting and
20
<PAGE>
preferred non-voting securities in Onscan Inc. The income arising out of the
transfer of Rs. 5,49,44,000 (net of tax) is disclosed as an extraordinary item.
1.2.24 Investment in CiDRA Corporation
During the quarter the company made a strategic investment of Rs. 13,40,08,660,
(33,333 Series D Convertible Preferred Stock, par value of US$ 0.01 each, at US$
90 each fully paid up) in CiDRA Corporation, USA. CiDRA Corporation is a
developer of photonic devices for high-precision wavelength management and
control for next generation optical networks.
21
<PAGE>
At a glance - US GAAP
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
US$ in millions, except as otherwise stated
-------------------------------------------------------------------------------------------------------------
Three months ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
-------------------------------------------------------------------------------------------------------------
For the period
<S> <C> <C> <C>
Total revenues 80.26 39.73 203.44
Export revenues 79.24 39.35 200.54
Operating income 26.41 12.31 60.50
Net income 26.83 13.31 61.34
Operating income as a percentage of
total revenues 32.90% 30.98% 29.74%
Net income as a percentage of total 31.35% 28.73% 28.74%
revenues
Basic earnings per share $ 0.41 $ 0.20 $ 0.93
Cash dividend per equity share $ 0.07 NA $ 0.04
Dividend amount 4.73 NA 2.53
Capital investments 18.15 4.25 35.93
At the end of the period
Total assets 247.03 165.64 219.28
Property, plant and equipment - net 61.70 25.98 47.55
Cash and cash equivalents 105.76 102.61 116.60
Working capital 139.12 117.99 137.94
Total debt -- -- --
Stockholders' equity 216.67 149.75 198.14
Common stock 8.59 8.59 8.59
Market capitalization 12,315.06 2,778.17 13,609.67
-------------------------------------------------------------------------------------------------------------
</TABLE>
Note:
All ratios are calculated excluding income from exchange differences on
translation of foreign currency deposits kept abroad
Market capitalization is calculated by considering the Indian market price for
the shares outstanding at the period / year end.
<TABLE>
<CAPTION>
TOTAL REVENUE EXPORT NET INCOM
(US$ in millions) (US$ in millions) (US$ in millions)
<S> <C> <C> <C>
Year ended
March 31,2000 203.4 200.5 61.34
Quarter ended
June 30, 1999 39.73 39.35 13.31
Quarter ended
June 30, 2000 80.26 79.24 26.83
</TABLE>
22
<PAGE>
Shareholder information
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
1. Listing on stock exchanges Bangalore Stock Exchange Ltd.
in India at Stock Exchange Towers, No. 51, 1st Cross, J.C. Road,
Bangalore - 560 027, India.
Tel.: +91-80-299 5234, Fax: +91-80-299 5242
The Stock Exchange, Mumbai
Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400 001, India.
Tel.: +91-22-265 5581, Fax: +91-22-265 8121
National Stock Exchange of India Ltd.
Trade World, Senapati Bapat Marg, Lower Parel, Mumbai - 400 013, India.
Tel.: +91-22-497 2950, Fax: +91-22-491 4275 / 85
2. Listing fees Paid for all the above stock exchanges for 2000-2001.
3. Listing on stock exchanges NASDAQ National Market in the United States
outside India 33 Whitehall Street, New York, NY-1004-4087
Tel.: +1-212-709-2400, Fax: +1-212-709-2496
4. Registered office Electronics City, Hosur Road, Bangalore - 561 229, India.
Tel.: +91-80-852 0261, Fax: +91-80-852 0362
Homepage: www.infy.com
------------
</TABLE>
5. Stock market data relating to shares listed in India
a. The company's market capitalization is included in the computation of the
BSE-30 Sensitive Index (Sensex), the BSE Dollex and S&P CNX NIFTY Index.
b. Monthly high and low quotations as well as the volume of shares traded
at Mumbai, National and Bangalore Stock Exchanges for the three-month
period ended June 30, 2000 are:
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------------
BSE NSE BgSE
High Low Volume High Low Volume High Low Volume
Rs. Rs. Nos. Rs. Rs. Nos. Rs. Rs. Nos.
-------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
April, 2000 10,626 6,651 38,63,008 10,601 6,671 38,41,367 10,568 6,541 23,243
May 8,780 5,600 80,35,618 8,740 5,525 1,06,05,877 8,749 5,501 57,567
June 8,938 6,801 75,60,300 8,950 6,833 84,59,664 8,895 6,806 73,934
-------------------------------------------------------------------------------------------------------------
Total 1,94,58,926 2,29,06,908 1,54,744
% of volume traded to
average shares
outstanding 30.37% ** 35.75% ** 0.24% **
-------------------------------------------------------------------------------------------------------------
</TABLE>
** The number of shares outstanding is 6,40,68,800. The equity shares
underlying the American Depositary Shares (ADSs) have been excluded for the
purpose of this calculation.
6. Par value of equity shares Rs. 5 each fully paid-up
<TABLE>
<S> <C>
7. Share transfers in physical form Karvy Consultants Limited
and other communication regarding Registrars and Share Transfer Agents
share certificates, dividends, T.K.N. Complex, No. 51/2, Vanivilas Road,
change of address, etc., in India Opp. National College, Basavanagudi,
may be addressed to Bangalore - 560 004, India.
Tel.: +91-80-662 1184, Fax: +91-80-662 1169
E-mail: [email protected]
</TABLE>
8. Share transfer system
Shares sent for physical transfer are generally registered and returned
within a period of 15 days from the date of receipt, if the documents are
clear in all respects. The share transfer committee of the company meets as
often as required.
The total number of shares transferred in physical form during the three-
month period ended June 30, 2000 was 6,636 (previous year - 20,900). 78.90%
of transfers (previous year - 92.35%) were completed within 15 days.
24
<PAGE>
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------
Three month period ended June 30,
------------------------------------------------------------------------------------------------------
2000 1999
Transfer No. of No. of No. of No. of
period transferees (folios) shares % transferees (folios) shares %
in days New Existing New Existing
------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1- 10 7 3 4,836 72.88 16 9 15,600 74.65
11- 15 1 0 400 6.02 8 2 3,700 17.70
16- 20 3 0 1,400 21.10 3 0 1,200 5.74
* 21 and above 0 0 0 0.00 3 0 400 1.91
------------------------------------------------------------------------------------------------------
11 3 6,636 100.00 30 11 20,900 100.00
------------------------------------------------------------------------------------------------------
</TABLE>
* Delays beyond 21 days were due to compliance with legal requirements.
9. Investors' services - Complaints received during the three-month period
ended June 30
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------
Nature of complaints 2000 1999
Received Attended to Received Attended to
--------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
1. Non-receipt of share certificates 0 0 3 3
2. Non-receipt of bonus shares 1 1 38 38
3. Letters from Stock Exchanges, SEBI, etc. 0 0 1 1
4. Non-receipt of dividend warrants 10 10 2 2
--------------------------------------------------------------------------------------------------------
11 11 44 44
--------------------------------------------------------------------------------------------------------
</TABLE>
The company has attended to most of the investors'
grievances/correspondence within a period of 10 days from the date of
receipt of the same, during the three-month period ended June 30, 2000
except in cases which are constrained by disputes or legal impediments.
10. Legal proceedings
There are some pending cases relating to disputes over title to shares, in
which the company is made a party. These cases are however not material in
nature.
11. Distribution of shareholding as on June 30
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------
2000 1999
No. of equity No. of % of No. of % of No. of % of No. of % of
shares held share- share- shares share- share- share- shares share-
holders holders holding holders holders holding
------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
1- 100 52,308 81.51 7,45,648 1.16 5,969 41.02 3,91,946 0.61
101- 200 2,532 3.94 4,31,292 0.67 2,124 14.60 8,39,238 1.31
201- 500 2,996 4.67 10,70,430 1.67 2,516 17.29 19,77,116 3.09
501- 1000 2,718 4.23 20,25,170 3.16 2,172 14.93 33,36,980 5.21
1001- 5000 2,930 4.57 61,57,016 9.61 1,309 9.00 57,50,942 8.98
5001- 10000 305 0.48 21,95,063 3.43 189 1.30 28,84,932 4.50
10001 and above 384 0.60 5,07,28,433 79.18 270 1.86 4,88,87,646 76.30
NSDL transit- - 7,15,748 1.12 - - - -
------------------------------------------------------------------------------------------------------------------------
64,173 100.00 6,40,68,800 100.00 14,549 100.00 6,40,68,800 100.00
Equity shares underlying 1* 20,82,567 1* 20,70,000
American Depositary Shares
------------------------------------------------------------------------------------------------------------------------
Total 64,174 6,61,51,367 14,550 6,61,38,800
------------------------------------------------------------------------------------------------------------------------
</TABLE>
* Held by beneficial owners outside India.
# Shares have been restated consequent to the 2 for 1 stock-split in
February 2000.
25
<PAGE>
12. Categories of shareholders as on June 30,
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------------------------
2000 1999
----------------------------------------------------------------------------------------------------------------------
Category No. of Voting No. of shares No. of Voting No. of shares
shareholders strength (%) held shareholders strength (%) held #
----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Individuals 60,592 25.50 1,68,66,371 13,505 26.45 1,74,95,388
Companies 2,653 1.84 12,18,249 713 2.67 17,68,120
FIIs 316 25.26 1,67,13,447 151 24.00 1,58,69,678
OCBs and NRIs 426 0.73 4,82,811 76 0.26 1,71,942
Founders and their families 23 29.30 1,93,80,560 18 29.69 1,96,39,200
Mutual Funds, Banks, FIs 163 13.14 86,91,614 86 13.80 91,24,472
NSDL transit - 1.08 7,15,748 _ _ _
Equity shares underlying 1* 3.15 20,82,567 1* 3.13 20,70,000
American Depositary Shares
----------------------------------------------------------------------------------------------------------------------
Total 64,174 100.00 6,61,51,367 14,550 100.00 6,61,38,800
----------------------------------------------------------------------------------------------------------------------
</TABLE>
* Held by beneficial owners outside India.
# Shares have been restated consequent to the 2-for-1 stock-split in
February 2000.
13. Shares under lock-in
Employees Stock Offer Plan (ESOP) 1994
Details of shares of par value of Rs. 5 each held by employees under the
Employee Stock Offer Plan (ESOP) 1994 subject to lock-in are given below.
These shares are also included in the categories of shareholders given in
(12) above.
<TABLE>
<CAPTION>
No. of shares subject to lock-in as on June 30,
-----------------------------------------------------------------------------------------------------
2000 1999
-----------------------------------------------------------------------------------------------------
Period of lock-in No. of shares No. of employees No. of shares # No. of employees
-----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
4-5 years - - 8,03,000 1,081
3-4 years 7,75,000 1,017 5,09,600 345
2-3 years 5,00,400 340 2,12,400 156
1-2 years 2,00,000 149 2,62,400 107
0-1 years 2,57,200 105 2,22,200 76
-----------------------------------------------------------------------------------------------------
</TABLE>
# Shares have been restated consequent to the 2-for-1 stock-split in
February 2000.
As on June 30, 2000, 552 employees hold rights to 3,36,000 shares of par
value of Rs. 5 each which are subject to a lock-in of 3-4 years. Currently,
1,590 employees hold shares under the 1994 Stock Offer Plan. Shares subject
to lock-in held by the employees will be transferred back to the ITL
Employees Welfare Trust if such employees leave the services of the company
before the vesting period. As on June 30, 2000, the ITL Employees Welfare
Trust holds 1,84,800 shares of par value of Rs. 5 each. The 1994 Stock
Offer Plan has since been terminated.
Employees Stock Offer Plan (ESOP) 1998
The company established the 1998 Stock Offer Plan which provides for the
grant of non-statutory stock options and incentive stock options to the
employees of the company. This plan was approved by the board of directors
in December 1997 and by the shareholders in January 1998. The Government of
India has approved the 1998 plan, subject to a limit of 14,70,000 equity
shares of par value of Rs. 5 each representing 29,40,000 ADSs to be issued
under the plan. During the three-month period ended June 30, 2000, options
were granted to 48 employees to acquire 1,46,700 ADSs corresponding to
73,350 equity shares of par value of Rs. 5 each. During the three-month
period ended June 30, 2000, 5 employees exercised the options to acquire
1,334 ADSs corresponding to 667 equity shares of par value of Rs. 5 each.
As on June 30, 2000, 126 employees hold options to acquire 8,23,366 ADSs
corresponding to 4,11,683 equity shares of par value of Rs. 5 each. Details
of the number of ADSs options granted and exercised are given below.
<TABLE>
<CAPTION>
No. of options granted and exercised
-----------------------------------------------------------------------------------------------
Granted Exercised
-----------------------------------------------
Period No. of ADSs No. of ADSs Balance
employees Options employees ADSs options
(Net)
-----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Year ended March 31, 1999 34 4,19,000 20 25,134 3,93,866
Year ended March 31, 2000 71 2,90,300 - - 2,90,300
Quarter ended June 30, 2000 48 1,39,200 - - 1,39,200
-----------------------------------------------------------------------------------------------
Total 8,48,500 25,134 8,23,366
-----------------------------------------------------------------------------------------------
</TABLE>
26
<PAGE>
Employees Stock Offer Plan (ESOP) 1999
The 1999 plan was approved by the board of directors and the shareholders
in June 1999 and was instituted in fiscal 2000. The plan provides for the
issue of 66,00,000 equity shares of par value of Rs. 5 each to the
employees. During the three-month period ended June 30, 2000, options were
granted to 4,227 employees to acquire 6,58,650 equity shares of par value
of Rs. 5 each. As on June 30, 2000, 5,122 employees hold options to acquire
16,41,850 shares of par value of Rs. 5 each. Details of options held by
employees under the Employee Stock Offer Plan (ESOP) 1999 are given below.
<TABLE>
<CAPTION>
No. of options granted and exercised
---------------------------------------------------------------------------------------------
Year ended March 31, Granted Exercised
-----------------------------------------------
No. of No. of No. of No. of Balance
employees Options employees Options
---------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Year ended March 31, 2000 1,228 10,14,500 40 18,800 9,95,700
---------------------------------------------------------------------------------------------
Quarter ended June 30, 2000 4,227 6,58,650 86 12,500 6,46,150
---------------------------------------------------------------------------------------------
Total 16,73,150 31,300 16,41,850
---------------------------------------------------------------------------------------------
</TABLE>
14. Dematerialization of shares and liquidity
Your company was the first in India to pay a one-time custodial fee of Rs.
44.43 lakh to National Securities Depositary Limited (NSDL). Consequently,
the company's shareholders do not have to pay depositary participants, the
custodial fee charged by the NSDL on their holding. Over 97% of the
company's shares are now held in electronic form.
15. Financial calendar (tentative and subject to change)
<TABLE>
<S> <C> <C>
Financial reporting for the second quarter ending September 30, 2000 October 10, 2000
Interim dividend payment (if any) November 2000
Financial reporting for the third quarter ending December 31, 2000 January 9, 2001
Financial results for the year ending March 31, 2001 April 11, 2001
Annual General Meeting for the year ending March 31, 2001 May 2001
16. Investors' correspondence in India Any queries relating to the financial statements
may be addressed to: of the company may be addressed to:
The Company Secretary, Mr. T. V. Mohandas Pai,
Investors' Service Cell, Director (F&A) and CFO,
Infosys Technologies Ltd., Electronics City, Infosys Technologies Ltd., Electronics City,
Hosur Road, Bangalore - 561 229, India. Hosur Road, Bangalore - 561 229, India.
Tel.: +91-80-852 1518, Fax: +91-80-852 0362 Tel.: +91-80-852 0396, Fax: +91-80-852 0362
(e-mail address: [email protected]) (e-mail address: [email protected])
17. Reuters code - INFY.BO (BSE) Bridge code - IN;INF (BSE) Bloomberg code - INFO IN (BSE)
- INFY.NS (NSE) - IN;INFN (NSE) - NINFO IN (NSE)
- INFY.O (NASDAQ) - US;INFY (NASDAQ)
18. Stock market data relating to American Depositary Shares (ADSs)
a. ADS listed at NASDAQ National Market in the United States
b. Ratio of ADS to equity shares 2 ADS for one equity share
c. ADS symbol INFY
d. The American Depositary Shares issued under the ADS program of the company were listed
on the NASDAQ National Market in the United States on March 11, 1999. The monthly high
and low quotations as well as the volume of ADSs traded at the NASDAQ National Market
for the three-month period ended June 30, 2000 are:
</TABLE>
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------
High Low Volume
$ Rs. $ Rs. Nos.
----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
April, 2000 284.56 24,837 131.13 11,445 59,99,400
May 214.50 19,116 130.75 11,652 36,98,600
June 199.94 17,850 154.38 13,783 18,88,300
----------------------------------------------------------------------------------
Total 1,15,86,300
----------------------------------------------------------------------------------
</TABLE>
27
<PAGE>
% of volume traded to total float 278.17%
* 2 ADS = 1 equity share
$ have been converted into Indian rupees at the monthly closing rates
e. Premium of American Depositary Shares over the shares traded on the Indian
stock exchanges The ADS price quoted below is in Indian rupees and has been
converted into $ at the monthly closing rates.
[Graph here]
* 2 ADS = 1 equity share (Source: Bloomberg)
f. Investor correspondence in P. R. Ganapathy
the US may be addressed to Investor Relations Officer
Infosys Technologies Limited
34760, Campus Drive,
Fremont CA 94555, USA.
Tel.: +1-510-742-3030, Mobile: +1-510-872-4412,
Fax: +1-510-742-2930, E-mail: [email protected]
-------------
g. Name and address of the Deutsche Bank A.G.
depositary bank Corporate Trust and Agency Services
4 Albany Street
New York, NY 10006, USA.
Tel.: +1-212-250-8500, Fax: +1-212-250-5644.
Corporate Trust and Agency Services
Deutsche Bank A.G.
1 st Floor, Kodak House
222, Dr. D. N. Road.
Fort, Mumbai - 400 001, India
Tel.: +91-22-207 3262, Fax: +91-22-207 9614
i. Name and address of the ICICI Limited
custodian in India ICICI Towers
Bandra Kurla Complex
Mumbai - 400 051, India.
Tel.: +91-22-653 1414, Fax: +91-22-653 1164/65.
[CHART]
* 2 ADS = 1 equity share (Source: Bloomberg)
28
<PAGE>
<TABLE>
<S> <C>
f. Investor correspondence in P. R. Ganapathy
the US may be addressed to Investor Relations Officer
Infosys Technologies Limited
42808 Christy Street, Suite 203
Fremont CA 94538, USA.
Tel.: 1-510-770-3400 Ext. 412, Mobile: 1-510-872-4412,
Fax: 1-510-770-9469, E-mail: [email protected]
g. Name and address of the Bankers Trust Company
Depositary Bank Corporate Trust and Agency Services
4 Albany Street
New York, NY 10006, USA.
Tel.: 1-212-250-8500, Fax: 1-212-250-5644.
Bankers Trust Company 702, Dalamal
House Jamnalal Bajaj Marg, Nariman
Point Mumbai - 400 021, India.
Tel.: 91-22-284 3593, Fax: 91-22-284 3652.
i. Name and address of the ICICI Limited
Custodian in India Mistry Bhavan, 1 Floor Sir
Dinshaw Vacha Road 122, Backbay
Reclamation Mumbai - 400 020, India.
Tel.: 91-22-204 4370, Fax: 91-22-204 4237.
</TABLE>
29
<PAGE>
Segment information
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Rs. in lakhs
---------------------------------------------------------------------------------------------------------
Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Revenue by geographic segments
North America 27,713.54 14,364.42 71,327.35
Europe 6,105.80 2,792.19 12,909.74
Rest of the World 2,524.09 888.46 5,240.03
India 720.64 361.13 2,669.36
---------------------------------------------------------------------------------------------------------
Total 37,064.08 18,406.20 92,146.48
=========================================================================================================
Revenue by Business segment
Branded services - 2,146.27 5,895.00
Products 857.57 256.92 2,290.12
Software development and maintenance 34,695.43 14,623.88 80,047.26
Treasury 1,511.08 1,379.13 3,914.10
---------------------------------------------------------------------------------------------------------
Total 37,064.08 18,406.20 92,146.48
=========================================================================================================
</TABLE>
Note: Exchange differences arising on translation of foreign currency deposits
kept abroad has been included under treasury.
[PIE CHART]
<TABLE>
<S> <C>
By geographical area - quarter ended June 30, 1999 By business segment - quarter ended June 30, 1999
-------------------------------------------------- -------------------------------------------------
India - 1.9% Treasury - 4.1%
Row - 6.8% Products - 2.3%
Europe - 16.5% Software development and maintenance - 93.6%
North America - 74.8%
</TABLE>
30
<PAGE>
Ratio analysis
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------
Quarter ended Year ended
June 30, 2000 June 30, 1999 March 31, 2000
------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Ratios - Financial performance
Export revenue / total revenue (%) 94.72 91.61 94.38
Domestic revenue / total revenue (%) 1.21 0.90 1.37
Other income / total revenue (%) 4.08 7.49 4.25
Employee costs / total revenue (%) 38.47 33.54 36.31
Administration expenses / total revenue (%) 7.69 7.40 7.54
Operating expenses / total revenue (%) 58.79 57.66 58.88
Depreciation / total revenue (%) 4.79 5.06 5.78
Tax / total revenue (%) 3.70 4.35 4.31
Tax / PBT (%) 10.15 11.66 12.19
EBIDTA / total revenue (%) 41.21 42.34 41.12
PAT from ordinary activities / total revenue (%) 32.73 32.93 31.03
PAT from ordinary activities / average net worth 43.51 40.95 40.63
(%)(LTM)
ROCE (PBIT/Average capital employed) (%) (LTM) 49.22 47.68 46.27
Return on invested capital (%) (LTM) 97.28 99.44 111.68
Capital output ratio (LTM) 1.34 1.40 1.31
Invested capital output ratio (LTM) 3.16 3.52 3.82
Ratios - Balance sheet
Debt-Equity ratio - - -
Debtors turover ( Days) * 59 57 56
Current ratio 4.21 6.16 4.69
Cash and equivalents / total assets (%) 49.15 70.25 61.00
Cash and equivalents / total revenue (%) (LTM) 42.59 74.32 55.17
Depreciation / average gross block (%) (LTM) 21.86 26.80 23.50
Technology investment / total revenue (%) (LTM) 6.44 8.48 5.86
Ratios - Growth**
Export revenue (%) 108 75 74
Total revenue (%) 101 87 80
Operating expenses (%) 105 59 69
Operating profit (%) 96 147 98
Net profit (from ordinary activities) (%) 100 156 115
Per - share data (for the period)
Earnings per share from ordinary activities (Rs.) 18.34 9.16 43.23
Earnings per share (including extraordinary items) 19.17 9.16 44.37
(Rs.)
Cash earnings per share from ordinary activities 21.02 10.57 51.27
(Rs.)
Cash earnings per share(including extraordinary 21.85 10.57 52.42
items) (Rs.)
Book value (Rs.) 145.15 95.69 125.97
Price / earning 113.30 99.35 207.50
Price / cash earnings 108.38 99.38 174.96
Price / book value 57.25 38.05 71.21
EPS growth (%) 100.22 155.86 115.07
PE / EPS Growth 1.13 0.64 1.80
</TABLE>
* Annualized
** Denotes growth compared with figures of the corresponding period in the
previous year.
Note: The ratio calculations are based on Indian GAAP.
LTM - Last twelve months
31
<PAGE>
<TABLE>
<S> <C> <C> <C> <C>
United States Australia India
Addison Melbourne Bangalore Chennai Mohali (Chandigarh)
15305 Dallas Parkway Level 7, 505 Plot No. 44 & 97A 1st & 2nd Floor B 100, Phase VIII
Suite St Kilda Road Electronics City Alexander Square, 35 Industrial Area, SAS
100 Addison Melbourne Hosur Road Sardar Patel Road, Nagar
TX 75001 Victoria 3004 Bangalore-561 229 Guindy Mohali-160 059, Punjab
Tel.: (972) 770-0450 Tel.: 613 9868 1607 Tel.: (080) 8520261 Chennai-600 035 Tel.: (0172) 254191/92/ 94
Fax: (972) 770-0490 Fax: 613 9868 1652 Fax: (080) 8520362 Tel.: (044) 2300031-40 Fax: (0172) 254193
Fax: (044) 2300091
Bellevue Belgium Reddy Building Mumbai
10900 NE 4th St. K-310, 1st Main Archbishop Arokia No.85, Mittal Towers `C'
#2300 Bellevue Brussels 5th Block, Swamy Bldg. 8th Floor, Nariman Point
WA 98004 Dreve Richelle 161 Koramangala 145, Santhome High Road Mumbai-400 021
Tel.: (425) 990 1028 Building N 1410 Waterloo Bangalore-560 095 Mylapore (Santhome) Tel.: (022) 2846490
Fax: (425) 990 1029 Brussels Tel.: (080) 5530392 Chennai-600 004 Fax: (022) 2846489
Tel.: 322-352-8743 Fax: (080) 5530391 Tel.: (044) 4612021
Cranford Fax: 322-352-8889 Fax: (044) 4956958 Mysore
20 Commerce Drive Pavithra Complex SJCE-STEP
Cranford Canada #1, 27th Main, 2nd Cross No.138, Sholinganallur Sree Jayachamarajendra College
NJ 07016 1st Stage, BTM Layout Old Mahabalipuram Road of Engg., Science and
Tel.: (908) 497 1710 Toronto Bangalore-560 068 Chennai-600 119 Technology
Fax: (908) 497 1770 3300 Bloor Street Tel.: (080) 6681755 Tel.: (044) 4964304 Entrepreneurs Park
West Centre Tower Fax: (080) 6680181 Mysore-570 006
Fremont 11th Floor Suite 3140 Hyderabad Tel.: (0821) 500389/ 90
34760 Campus Drive Ontario M8X 2X3 Infosys Towers I Floor, Q3 A1 Fax: (0821) 500391
Fremont Tel.: (416) 207-3311 No. 27, Bannerghatta Road Cyber Towers
CA 94555 Fax: (416) 207-2087 3rd Phase, J. P. Nagar HI-TEC City, Madhapur New Delhi
Tel.: (510) 742 3000 Bangalore-560 076 Hyderabad-500 033 K30, Green Park Main
Fax: (510) 742 3090 Germany Tel.: (080) 6658667 Tel.: (040) 3100242/44-49 Behind Green Park Market
Fax: (080) 6658676 Fax: (040) 3100243 New Delhi-110 066
Marietta Frankfurt Tel.: (011) 6514829-30
1950 Spectrum Circle TOPAS 2 N-403, Manipal Centre Mangalore Fax: (011) 6853366
#400, Marietta Mergenthalerallee Dickenson Road #16/403
GA 30067 79-8, 65760 Bangalore-560 042 Star of Bombay Complex Pune
Tel.: (770) 857 4428 Eschborn/Frankfurt Tel.: (080) 5592082 3rd Floor, Kankanady 3rd Floor, 321/A/3
Fax: (770) 857 2258 Tel.: 49 6196 9202115 Fax: (080) 5588065 Mangalore-575 002 TPS III, Shankar Seth Road
Fax: 49 6196 9202320 Tel.: (0824) 439401-07/ Mahatma Phule Peth
Newport Beach Bhubaneswar 434401-06 Pune-411 042
4590 MacArthur Japan Plot #N-1/70, Nayapalli Fax: (0824) 439430 Tel.: (0212) 647420/21
Suite 500 Adjoining Planetarium on Fax: (0212) 648226
Newport Beach Tokyo NH5, Post RRL Kottara Cross
CA 92660 4F Madre Matsuda Bldg. Bhubaneswar-751 013 Kulur Ferry Road Plot # 1
Tel.: (949) 475 0196 4-13, Kioi-Cho, Tel.: (0674) 584068-71 Mangalore-575 006 Infotech Park MIDC
Fax: (949) 475 0198 Chiyoda-Ku Fax: (0674) 583991 Tel.: (0824) 451485-88 Hinjewadi, Taluka Mulshi
Tokyo 102-0094 Fax: (0824) 451484 Pune-411027
Oakbrook Terrace Tel.: 813-3234-3597 Plot No.E/4 Tel.: (02139) 32801-03
One Tower Lane Fax: 83-3239-3300 Infosys City, Chandaka Fax: (02139) 32832
#1700 Bhubaneswar-751 014
Oakbrook Terrace Sweden
IL 60181
Tel.: (630) 573 6050 Stockholm Bankers Visit Infosys at
Fax: (630) 573 6051 Stureplan 4C, 4tr www.infy.com
114 35, Stockholm ICICI Bank Ltd.
Quincy Tel.: 44-7932-004640 Hongkong and Shanghai Send e-mail to
Two Adams Place (Mobile) Banking Corporation Ltd. [email protected]
Quincy Bank of America
MA 02169 UK Call us at
Tel.: (781) 356 3100 Company secretary within the U.S.
Fax: (781) 356 3150 Milton Keynes 1-800-ITL INFO
Suite 415, Premier Suites V. Viswanathan outside the U.S.
Troy Exchange House +91-80-8520261
100 Liberty Center 494, Midsummer Boulevard Auditors
#200 West Big Beaver MK9 2EA
Troy, MI 48084 Tel.: 44-1908 255 778 Bharat S Raut and Co.
Tel.: (248) 524 0320 Fax: 44-1908 608 279 Chartered Accountants
Fax: (248) 524 0321
Independent auditors
(US GAAP)
KPMG
</TABLE>
32
