Infosys shares under pressure on CFO Nilanjan Roy's resignation

Shares of IT major Infosys on Tuesday fell up to 1.3% on BSE to the day's low of Rs 1,468.50 after the company’s CFO Nilanjan Roy resigned. Infosys shares have been underperforming and are down around 3% in the year 2023 so far.

"Nilanjan Roy, Chief Financial Officer and Key Managerial Personnel has resigned from the services of the Company. His last date with the Company would be March 31, 2024," Infosys said in a filing on Monday.

The company has appointed Jayesh Sanghrajka as the new CFO with effect from April 1, 2024.

“I am delighted to announce that Jayesh will take over as Chief Financial Officer. As Deputy CFO, he has been leading multiple portfolios in the finance function for several years now and his depth of experience and knowledge will serve us well to take the function to greater heights. I would also like to express my deep appreciation for Nilanjan for ably leading the function over the last five years and wish him the very best for his future endeavours," Infosys CEO and MD Salil Parekh said.

In his resignation letter, Roy said he was quitting due to personal reasons for exploring external growth opportunities.

Jayesh has spent over 18 years at Infosys across two stints and has performed various leadership roles. He is currently Executive Vice President and Deputy Chief Financial Officer. He comes with over 25 years of work experience and is a Chartered Accountant.

"I think that for a company like Infosys, TCS, such kind of exits do not make much difference. Honestly, because these institutions have created sufficient bandwidth in the organisation to take up the leadership position. Hopefully, the new leaders continue for a longer period of time that could be the hope that investors would give," said market expert Deven Choksey

In the September quarter, Infosys had reported a 3% year-on-year (YoY) growth in consolidated net profit to Rs 6,212 crore while the revenue grew nearly 7% YoY to Rs 38,994 crore. It reduced the upper end of its revenue growth guidance but retained its operating margin target of 20-22%.

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