Infosys’ Business Process Management (BPM) arm – the largest subsidiary of the IT company – last fiscal year recorded its slowest growth since 2016-17, hurt by a decline in revenue from its top accounts and the nature of deals where the bulk of the proceeds were already accounted for in the previous two years.
“The current trends (low growth) are primarily due to 20-30% lower value from large deals as compared to when the deals started. There is much more recognition of revenue in the early years and then a deceleration in the latter years,” said Peter Bendor-Samuel, founder and CEO of Everest Group. “Hence, we are now entering year three with the mega deals recognizing less revenue,” he said.
