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Infosys has suspended its guidance; it speaks volumes on covid-19 impact

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From ever since we remember, Infosys Ltd has provided guidance either on annual revenues or revenue growth in constant currency terms.

The company has suspended this practice temporarily citing the uncertainty over the impact of covid-19 and the related lockdowns in multiple countries across the world.

This is quite the opposite of what Tata Consultancy Services Ltd did late last week. While TCS has never provided guidance, its post-results commentary suggested revenues will decline sharply in the June quarter in a range similar to that during the global financial crisis.

It also added that its internal models assume a recovery in the second half of the year, with revenues and profitability being flat year-on-year by the March 2021

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