Infosys Limited (INFY) Earnings Call Transcript & Summary

I welcome the members to the 39th Annual General Meeting. This meeting is being held through video conference in accordance with the circular issued by the Ministry of Corporate Affairs and SEBI. For safety reasons, each of us is in a different location. Before we start the main proceedings of the meeting, I request my colleagues on the video conference to introduce themselves. Salil?

Good afternoon, everyone. I'm Salil Parekh, I'm the CEO and Managing Director of Infosys. I'm in Bengaluru in my home.

Pravin?

[Foreign Language]. I'm Pravin Rao, Chief Operating Officer and member of the Board. I'm attending from my residential Bengaluru.

Kiran?

[Foreign Language ] I'm Kiran Mazumdar-Shaw, Lead Independent Director. I'm attending this AGM from my residence in Bengaluru.

Sundaram?

This is Sundaram, attending the AGM of Infosys from Mumbai. I'm an independent Director and Chair of the Audit Committee. Thank you.

Punita?

Hello. Good evening. I'm Punita Kumar Sinha, Independent Director and Chair of the Stakeholders Relationship Committee attending the AGM from Jharkhand.

Michael?

Good afternoon, everyone. This is Michael Gibbs. I'm attending from my home in Houston, Texas.

Uri?

Good afternoon, everyone. My name is Uri Levine, and I'm attending from Tel Aviv, Israel.

Nilanjan?

Good afternoon, everyone. I'm Nilanjan Roy, CFO, attending from the Bangalore campus.

Mani?

Hi. Good evening, everyone. This is Manikantha, Company Secretary, joining from Bangalore.

Apart from them, we also have key executives and senior management joining from their respective locations. Statutory auditors, Deloitte and Secretarial Auditor, Parameshwar G. Hegde, have also joined this meeting. We have the requisite quorum present through video conference to conduct the proceedings of this meeting. Participation of members through video conference is being reckoned for the purpose of quorum as per the circulars issued by MCA and Section 103 of the Companies Act 2013. The quorum being present, I call this meeting to order. I now request Manikantha, Company Secretary, to provide general instructions to the members regarding participation in this meeting.

Hi. Good evening, everyone. Members may note that this Annual General Meeting is being held through video conference in accordance with the Companies Act 2013 and circular issued with the Ministry of Corporate Affairs and SEBI. Facility for joining this meeting through video conference or other audio visual means is made available for the members on a "first come first serve" basis. The company has also provided webcast facility to view the live proceedings of this Annual General meeting on the company's website. The Register of Directors and Key Managerial Personnel, the Register of Contracts or Arrangements, has been made available electronically for inspection by the members during the AGM. Members seeking to inspect such documents can send their requests to [email protected]. As the AGM is being held through video conference, the facility for appointment of proxies by the members was not applicable, and hence, the proxy register for inspection is not available. The company has received requests from a few members to register them as speakers at the meeting. Accordingly, the floor will be open for these members to ask questions or express their views. The moderator will facilitate this session once the Chairman opens the floor for questions and answers. Members can also post their views or questions on the Ask a Question tab on their video conference screens before 4:30 p.m. IST. It may be noted that the company reserves the right to limit the number of members asking questions, depending on the availability of the time at the AGM. The company had provided the facility to cast the votes electronically on all resolutions set forth in the notice. Members who have not cast their votes electronically and who are participating in this meeting will have an opportunity to cast their votes during the meeting through the e-voting system provided by NSDL. Members can click on Vote tab on the video conference screen to avail this feature. Members are requested to refer to the instructions provided in the notice that are appearing on the video conference page for a seamless participation through video conference. In case members face any difficulty, they may reach out on the helpline numbers. Thank you very much.

Thank you, Mani. The company has taken all feasible efforts under the current circumstances to enable members to participate through video conference and vote at the AGM. I thank all the members, colleagues on the Board, auditors, and the management team for joining this meeting over a video conference. I hope all of you are safe and are in good health. Dear shareholders, welcome to the 39th Annual General Meeting of Infosys. It is a pleasure to connect with all of you again, although this time we meet virtually. On behalf of the Infosys Board of Directors, I want to thank you for taking the time out to join us today. Your support and confidence in us, even in uncertain times like these, drive us to look for more ways to do more and create greater value. During fiscal 2020, our overall revenue grew 9.8% in constant currency terms, totaling USD 12.8 billion. With operational rigor and steady focus on expense management, our margin stood at 21.3%. The value of our large transformation deal stood at USD 9 million (sic) [ USD 9 billion ] and our digital revenue in constant currency terms grew by 38%. The Board of Directors has recommended a final dividend of INR 9.5 per share for fiscal 2020. Coupled with an interim dividend of INR 8 per share paid in October 2019, the total dividend payout for the year was INR 8,120 crore. Our earnings per share grew by 8.3% in U.S. dollar terms. The Board of Directors has recommended the appointment of Uri Levine as an independent Director of the company effective April 20, 2020. Uri is a much-admired serial tech entrepreneur with extensive and in-depth business understanding of emerging technologies and will bring tremendous value to the company. D.N. Prahlad has stepped down as an independent director to devote more time to his other business commitments. Earlier, in February 2020, Roopa Kudva retired from the Board of Infosys as an independent director after the completion of her tenure. On behalf of the Board of Directors and on your behalf, I place on record our appreciation for the services rendered by them during their tenure. The COVID-19 pandemic is extraordinary and unprecedented. It has impacted the world and every country, business and individual. These are not easy times for any of us, and all our clients are dealing with several challenges as well. For instance, retailers have been hit hard in the nongrocery, apparel, lifestyle and fashion sections. Travel and hospitality have greatly slumped. Bankers will have to deal with deferred loan payments. The insurance sector is compelled to charge lower premiums in some categories and manufacturers must manage both demand and supply hurdles as they repair their broken supply chains. Media and entertainment is impacted because of reduced outdoor activities and shrinking ad spend. 5G projects and adoption will slow down as well as corporates begin to reconsider their capital allocation. From building more flexible supply chains to urgently enhancing e-commerce offerings and supporting new models of employee experience, so much needs to be done to accelerate recovery and resilience. Technology is essential to get it all working, the efficiency in automation to make it viable and experiential design to unlock more value from this work. [ We will help our clients ] with all of that. We can help them become more responsive to the changing context and develop live enterprise capabilities. We have already pivoted our resources to the new needs of our clients and strengthened our expertise in cloud, workplace transformation and smart automation to be able to help them accelerate and scale their digital endeavors. Much of the confidence that we can deliver comes from our own digital transformation in the past 2 years, guided by the Navigate Your Next strategy, articulated by Salil Parekh, our CEO and MD. This has amplified our capabilities with virtual workplaces, secure polycloud environment, micro-survey services for our digital platforms, curated offerings in our service store and tools for remote collaboration. All these are our strengths as a live enterprise. With the strategic steer from our COO, Pravin Rao and the global senior leadership, these same strengths helped us prioritize the safety of our workforce through the pandemic enabling 93% of our over 240,000 employees across 46 countries, to work from home in just a few weeks. Our remote access infrastructure was expanded 10x for virtual private network bandwidth and back-end capacity scaled by 4x to support the increase in concurrent connected remote users. Officially provided devices as well as personal ones were enabled with wireless connectivity to let our employees securely connect with our office networks. Cloud-based remote audio, video and content collaboration platforms are integral to this setup. The InfyMe application continues to connect all Infosys employees to the latest company updates, from advisories to policies and other company benefits, while also allowing them to self declare their health status. In Mysore, over 9,000 trainees and interns are relocated to their homes from a residential global education center. They're all enabled to continue training on our digital learning platform, Infosys Lex. In addition to bite-sized online content, Lex brings trainer-led lessons, a hands-on lab environment and even proctored internal certifications all virtually to the homes of our learners. Our continuous -- our clients continue to take advantage, albeit remotely, of our digital delivery centers in the Europe, Asia and in U.S. To meet the growing demand for direct in-market engagements, in early FY '20, we added a new center each in Arizona in the U.S. and in Dusseldorf, Germany. Encouraged by the strong traction we are seeing for a global network of digital studios, we added to the chain an experienced design and innovation studio in London. This year, we surpassed our Spring 2017 commitment to hire 10,000 American workers. We also hired over 19,000 college graduates from campuses in India. The post-cloud era is bringing our industry the opportunity to do so much more. Infosys, this year, was recognized as Microsoft Global Alliance SI Partner of the Year largely because of the significant influence we have over Microsoft Azure consumption with our clients. We also continue to grow solutions on Amazon Web Services to help our clients fast track their digital transformation on cloud. We expanded our relationship with Google Cloud to become the managed -- qualified managed services provider and grow in our ability to provide industry-specific solutions on Google Cloud platform. In addition, Infosys has become the first global systems integrator to join IBM's new public cloud ecosystem. This collaboration will help our clients, including those in highly regulated industries such as financial services, insurance and health care to benefit from public cloud. Our acquisition of Simplus, one of the fastest-growing sales force platinum partners in the U.S. and Australia, further accelerates our enterprise cloud capabilities. Over the last few years, we have made huge investments in making Infosys stronger and more resilient. These investments have positioned us very well, and this is demonstrated in the way we are responding to COVID-19 pandemic. Combining the scale, brand and relationships of a large company with the speed, responsiveness and agility of a start-up, we are confident of tiding through this global crisis. Our robust balance sheet, steady growth momentum, digital systems for our people and our executive team unified in their focus on strategy execution are the advantages that are clearly working for us. On behalf of the Board, I want to assure you all that we will spare no effort to build on this foundation to emerge stronger in time. We remain indebted to the generous guidance and support of our partners, clients, co-founders and governments of the several countries and states that we operate in. And I'm grateful to you, our shareholders, for your continued trust in us. Thank you. Warm regards, Nandan. I now request Salil, CEO and MD, to address the shareholders.

Thank you, Nandan, and good afternoon, again, to all the shareholders that are joining in. I will take a few minutes to share with you our journey in financial year '20 and then give you a little flavor of how things have developed in just the last few weeks as well and a glimpse of where we are going in the future. The way I'm trying to define this for the session, first, it's about our successful financial year '20; second is about the stability that we have seen in the time of crisis; and the third, to show or demonstrate our live enterprise concept very much in action. In terms of how financial '20 was and the way that we made a difference with our clients, first, we have excellent growth. The growth was 9.8% for the full year. We had a strong operating margin. Even better, our earnings per share grew very strongly at 8.3% in dollar terms. Our digital revenue was excellent, far in advance of where the market is. And more critically, [ a percentage ] of our overall company, the digital business is now well over 40% and becoming bigger and bigger. We had put a lot of efforts into large deals, and those came in at over $9 billion -- just at $9 billion for the year. Our company today is $12.8 billion in size, 240,000 employees across 46 countries. One of the things we had started a few years ago was our digital journey. In this digital journey with this Pentagon, which is something we use inside the company extensively with our clients every day and also with everyone outside in terms of analysts, show how we think about digital. Both the digital revenue growth has [indiscernible] and has been accelerating. If you look at the difference between financial year '19 and financial year '20, and the percentage of digital in our company is going up. We know this is a business that our clients are really close to. And the more we pursue this, the more we become relevant for their future. In support of these, and as a result of these, we have seen our overall growth accelerate across the last 2 years from where we were. And we plan to maintain this to come out of the crisis as well. What is even happening is the way we are focused on our large client accounts and relationships. Here, we check relationships, which yield more than $100 million per year, relationships which yield more than $50 million per year. And you can see a clear and steady progress that your company has made in building, maintaining and expanding those relationships. We've all talked about how the large deals have [ passed ] and this is also heartening to see that what we had as a very strong foundation, we then built upon it in the previous year, in financial year '19, and further scaled it in financial '20 to have a solid engine for large deals momentum. In summary, our financial performance is strong. Here, I want to share some of our numbers in rupees to show all of the movement in income, in profit, in EPS, in rupee terms as well. As we have done all of this, we have got tremendous recognition from the outside world beyond the numbers and beyond the financial metrics. We have been ranked #3 by Forbes as the World's Best Regarded Company. This is truly something everyone within Infosys has a huge amount of pride and everyone outside, including all of our shareholders, to feel tremendous joy to see company having received this. We won a UN award on Global Climate, again, something that was started 10 or 15 years ago by the founders as a really leading mission, as something we are proud that the company continues to do and build upon. And we've also received awards from our partners like Microsoft from independent analysts, Gartner and IDC. And in many different fields, I've given just a few examples here, but these are in a number of different fields that we are starting to perform and have been performing in a leading way. Then I want to share something to give you a clear view that we are in excellent financial strength as we closed the year. We had $3.6 billion of cash on our balance sheet, with 0 debt. We provided $1.1 billion of dividends financial year and a critical measure, 97.8% of our revenue comes from non-rupee currencies, mainly U.S. dollars, euro, Australian dollar and the U.K. pound. To give you a little bit more detail on the balance sheet, you can see that it's strong, it's debt-free and it's liquid, something which is very important when one enters the crisis of the nature we are in the middle of. Here, I want to share a little bit about how we have return capital to our shareholders. In fact, we expanded our capital return policy through the financial year and made it spread out over 5 years to make sure all the right measures of returning capital across a 5-year period. We remain committed to this, and this is something that we are quite proud of in returning the capital to shareholders. As a consequence, we built an extremely strong foundation for our future success. So in addition to having a good year in financial year '20, we are preparing a foundation for the future years, so that we can be as strong in the market as we've been. We have the trust of our clients, relevant services, especially on the digital side. We have an extremely motivated team of employees, and we have an aligned leadership team that is working hand-in-hand and working together for the better of the company. Now as March came upon us, at the end of March, the crisis started, and we have maintained an absolutely laser focus during this crisis so far. We very quickly moved our attention to some new and very limited few priorities. The first amongst them was employee safety. The second, we wanted to have absolute stability in delivering our work for our clients. Third, we could sense that the clients were looking at new things, and we wanted to shift to those needs. And of course, fourth, we wanted to be even more careful with our cost and expense, as we entered the crisis, even if we had a strong balance sheet, we did not want to take any chances. First, on employee safety, that is the most critical element for us. Our entire team led by Pravin and everyone in the leadership put this absolutely into motion right away. We had -- we have social distancing masks, sanitation, temperature checks and a variety of measures which we have implemented within our campus to make sure everything for our employees is safe. We already have 99% of our employees working effectively with technology enablement, thanks to the foresight that the company had some years ago and the [ arrangements ] that were made in the infrastructure and then the rapid way we could, in a modular manner, expand that infrastructure. On this slide, I give just some examples without reading all of them, of the detailed positive comment that I, our whole team, all of our leaders have received from hundreds of clients of the company. It is actually quite touching to see how the clients reacted in the way that the company has supported the clients and therefore, feeling of depending strongly on the company. Then we noticed that clients are looking for new things in this environment. One of the things that Nandan mentioned was the quick agility, quick reflex, even if it's a big company. We have now looked at what is the client's need on cloud and digital. To give you one example in a discussion I was having over [indiscernible] with the CEO of a company 2 weeks ago. They made a statement taking 24 months to do in the digital transformation program, they want to finish in a matter of 2 months. This is the type of speed that our clients are now looking for. They are ready to help them. The second, as we have been careful with our cost and expenses, our clients are similarly careful with our cost and expenses. With that, we have seen an increased use of automation that we have put in place. Third, because of the strength of what we have done recently and the long history of trust that our clients have with us. In addition to the financial strength of the company, many clients are looking at consolidations, and we feel we will be well positioned to take advantage of that. In this crisis, we are also operating with tremendous [ stability ]. We are able to continue our work on service delivery, on transitions, on even sales activities with our clients in a new contactless method. We've adopted huge amounts of reskilling across the company in the platform that Nandan was sharing with you. And in many ways, making it very important for the individuals to reskill. We've also developed an agile methodology, which we've launched and expanded across the company. Those things are making us more ready for the future. And then we launched a localization component of our strategy, which allows us, in addition to the depth we have in India, to build a more resilient business in different geographies and help us navigate better in the new and changing visa regulations. While we are doing all of this in terms of business, we continue to remain committed to the communities that we operate in and that we are involved in. The Infosys Foundation in India is absolutely a leading example of the sorts of work that is being done, whether it's in [indiscernible], whether it's in food, whether it's in rural development, the list is extensive and very detailed and exhaustive in the way the support is provided. We've also started, on a small way, in the U.S. with our foundation activities. And we did some small activities in the U.K. as well in this financial year, given what was going on in the country. Again, as a consequence of all of these actions and the strength of the company, our expectation and my expectation is we will emerge stronger from this crisis. [indiscernible] through this crisis in a good momentum. And we believe keeping all the attention we have, we will emerge with a good momentum. Second, we have changed the direction to make sure we are focused on [ employees' ] safety, on client's needs and the client's service delivery. We have, with our actions, increased the trust that our clients have with us. The commitment and motivation of employees remains strong, and our leadership is quite focused and aligned. And so in conclusion, we had a successful potential year in '20. We have stability during the first few months of the crisis. We are convinced that we will emerge stronger from this crisis. I really want to thank you all for your continued support, dear shareholders, [ for giving us ] the guidance and the support and the voice to make sure that the company continues on its journey into the future. Thank you. And back to you, Nandan.

Thank you, Salil. I now request Manikantha, Company Secretary, to provide a summary of the auditor's report.

Thank you. The statutory auditors, Deloitte Haskins & Sells LLP and Secretarial Auditor, Parameshwar G. Hegde, has expressed unqualified opinion in the respective audit reports for the financial year 2019, 2020. There were no qualifications, observations or adverse comments on financial statements and matters which have any material bearing on the functioning of the company. The statutory auditor's report on stand-alone financial statements and consolidated financial statements are available on page number 150 and 212 of the annual report. Secretarial Auditor report is enclosed Annexure V to the Board's report on page number 45 of the annual report. Thank you.

Thank you, Manikantha. As the notice has already circulated to all the members, I take the notice convening the meeting as read. Before we proceed, I'm pleased to bring to your notice that, as required under the Companies Act 2013, the company has provided you all the facility to cast your vote electronically on all resolutions set forth in the notice. Members who have not cast their vote electronically and who are participating in this meeting will have an opportunity to cast their vote through the e-voting system provided by NSDL. Members may please note that there will be no voting by show of hands. We now take up the resolutions as set forth in the notice. We will open the floor for any question by members after all the resolutions are tabled. Item #1, adoption of financial statements. The financial statement of the company, including the consolidated financial statements for the financial year ended March 31, 2020, including the report of Board of Directors and auditors have already been provided to the members. Item #2 of the notice, declaration of dividend. The Board has recommended a final dividend of INR 9.5 per equity share. You would recall that an interim dividend of INR 8 per equity share was already paid for the financial year ended March 31, 2020. The dividend amount, including interim will be INR 17.50 per equity share. Item #3 of the notice, to appoint a director in place of Salil Parekh, who retires by rotation and being eligible, seeks reappointment. Item #4 of the notice, appointment of Uri Levine as an independent director. The text of the resolutions, along with explanatory statement is provided in the notice circulated to the members. If any member desires to ask any question pertaining to any item in the notice, he/she may do so now. Members are requested to keep their questions brief and specific. The moderator will facilitate the questions on the video feature. To avoid repetition, the answers to all the questions will be provided towards the end. Members may also note that the company reserves are right to limit the number of members asking questions depending on the availability of times. While the members are queuing up to ask questions, may I request the team to play short videos on Building a Live Enterprise and Making of the Aarohan Social Innovation Awards. [Presentation]

Dear shareholders. Thank you for joining our 39th AGM today and for taking time to participate in today's AGM. Before we go live with the Q&A, here are some points to note for your convenience. [Operator Instructions].

Now we request Mr. Sadananda Shastri to unmute himself and kindly proceed with the question.

I'm Sadananda Shastri. My number is 11702201, I am coming from Bangalore. Sir, first of all, I have sent an appeal to you or postponement of meeting [ as it's ] COVID period, but there is no response for that one. And why the company is hurriedly convening this meeting? I do not know what is the reason, when this Ministry of Corporate Affairs is so liberal in giving the extension of period for conducting the meeting. Secondly, sir, is a question to the Chairman. Sir, that is in Page #13, you have said, 9,000 trainees from Mysore unit have been sent home. But what about the Hyderabad unit, sir? Neither you have shown us, nor we have seen that one. That is one pending is there, of course. But what about that particular Hyderabad unit? So secondly, that is a question to the -- to Salil Parekh. Salil Parekh. Sir, in your statement, you had given, that with all cooperation of these officials and the employees that you have achieved any extraordinary results. What is an extraordinary result that is [ wordly ]? That is the total profit that has the implications and this explanation that we do in a financial statement. Sir, while appreciating this year the company's help to the public in the -- this COVID period. I felt sorry, one thing that particularly -- I mean when the people are losing job, livelihood and they are partial salary they are getting without many -- they are looking after that one. But amid that one, the company has declared a perquisite package to these Infosys employees. In this period, particularly COVID period, that somewhere I heard, somewhere I've seen that Mr. Parekh has been given a INR 43 crores of package that I do not know whether it is true or not. But the public will think otherwise, when [indiscernible] position, if you broadcast it through paper, it will be burdensome to the other peoples also and as well as the public will think otherwise, and distorts the image of the company. But anyway, now in this aspect, our Chairman is poor -- that is poor, and our CEO is rich. Further, I will give a special wishes to him. Sir, coming to its financial aspect. This -- sir -- I'm not talking about your dividend or bonus shares or rates issues or there is [ mementos ], et cetera, et cetera. But I want to maintain, I want to look after the -- that is safety and this one, concerned about the strength and stability of the company. Sir, in your financial statement, that is the Page #22 to 24, you have given -- you have shown that a profit of 16,639 is the PAT. That is the profit after tax. So I'm just...

Sir, we request you to kindly wrap up your question at the earliest.

Only another three questions, small questions, sir, please. And when compared to that one, there is a growth of INR 1,230 crore that are compared to the earliest. Out of that, that is INR 760 crore, that is interest earned on refund orders as well as this Panama adjustment, other things is there. INR 760 crores goes out of INR 1,230 crores, only hardly INR 470 crores is left over. So how would you justify that one? It is a great achievement. And what is your comments over my comments? So lastly, still, some of that your subsidiaries are running under loss. Last time how -- it is already sounded in the last AGM, but what is your strategy that is even Shanghai also there is [indiscernible] Shanghai also it is spending. What is your strategy to bring it to the positive lines, sir? Sir, I'm very much particular about the last item of your P&L, that is our expenses. Nowhere I have seen here. But because some companies are lowering some unallocable expenditures also it's not available to see that one. You, please. Mr. Srikantha will send afterwards, the copy of that one that I will use it for my ensuing AGM, sir. Lastly, sir, that this is the AGM. Some of our members are making use of this one, sir. Making use of this one. I think there is no answer for that one. Anyway, I told you that one. And then for that one...

Sir, we request to kindly wrap up your question.

And lastly, it is a COVID period [Foreign Language] so that is on [indiscernible] will be there. I will conclude by just on -- this is my comments. And thank you very much. Good luck. Good evening. See you at our -- this is [ Christ College ] during next year, physically. Thank you very much, sir. Thank you very much.

Thank you for your question, sir. We have noted your questions and the Board will answer at the end of the session. Thank you. Now we have a question coming in from the next shareholder, Mr. [ Anish Hegde ].

I'm [ Anish ] joining from Bangalore. My DP ID is 1208160016224236. So I have two questions. So since most of the employees are now working from more and Infosys being the lead has enabled 93% of its work force to -- more than 90% of its workforce to work from home. And also, WHO recently released a report saying more than -- there is some more than 5 fold increase in the number of cyber threat. So in this regard, the company has issued directives and the company has issued guidelines to employees working from home as to how to protect their security. Seeing as how this brings about more security risk and more cost, what is the additional framework that the company has set up in this place to ensure that the data is secured seeing as how the WHO report says there's an increase in the cyber threats. What is the additional framework that the company has set up in place to protect its data? Secondly, since the company has also mentioned this AGM in its annual report that an integrated ERM framework has been set in place, which has strengthened the company's risk policy and Infosys also being certified ISO 2701:2013 (sic) [ ISO 27001:2013 ] ISO standard, what is the risk that the company has anticipated or is anticipating from this cyber threat? Because in the annual report, the company has stated and the outlooks that there might be an increase in the cyber threat. So in this regard, what is the anticipated threat? Or what is the cost of this anticipated threat on the company?

Thank you, Mr. [ Anish Hedge ]. We have the next question coming from -- we have the next shareholder lined up. We request [ Manoj ]. Kindly go ahead with your question.

Good evening. Thank you for the opportunity. My name is [ Manoj ] from Bangalore. My DP ID is IN 303028. My question is regarding the workplaces. Much has been said about work from home, work from anywhere and all that. Given that Infosys has always prided itself on having a world-class campus experience for its diverse workforce and for its clients, would there be any change in this strategy in light of the times we are in?

Thank you, Mr. [ Manoj ]. We have the next question from another shareholder. [ Mr. Vigyan ], kindly unmute Yourself and ask your question. Mr. [ Vigyan ], if you can go ahead and ask your question, please? [Technical Difficulty] Mr. [ Vigyan ], we can't hear you. Mr. [ Vigyan ], we have trouble in hearing you. I think there is some connectivity issue. Can you re-login and ask your question? We'll be taking the questions from other shareholders. You can kindly re-login and come in the queue. We have next question coming from Mr. [ Navin ]. [ Navin ], kindly unmute yourself and ask your question. [ Navin ], we can't hear you. Kindly unmute your mic and ask your question.

Thank you very much for the opportunity. Sir, I have few set of questions. First is, I mean, recently, we have a news of H-1B and H-2B and other visas, which are banned by United States. What would be the impact on the company Infosys? Will the -- will there be any change in the business models because of -- due to this ban -- visa ban? Second question, there is a prevailing tensions between U.S. and China. And right now, I mean, will there be -- will Infosys be benefited from these tensions, will we get more business? Will Infosys get more business because of these tensions? Third, I mean, right now, there is -- of course, there is tensions between India and China as well now, presently. So what would be the impact for Infosys? Third question is, as recently, in the month -- on May 22, 2018, Infosys acquired the company by name WongDoody Holding Company. Are you planning for future acquisitions? And are the operations smooth for this particular company because this company is in U.S. Are the operations smooth enough for this particular company right now because this company is right now in the U.S. And just last question, which I have to ask is, one, I mean as we had heard a news about the Neiman Marcus, one of the company named Neiman Marcus of U.S., which had closed 40 stores, okay? We had -- they had closed 40 retail stores, will there be an impact on Infosys and same for JC Penney also? So we were -- they were our clients. So that's what I wanted to know. My ID is -- I'm sorry, I had not mentioned my ID: 1208160011915976. I'm calling from Mumbai. Just these 4 questions.

Thank you, Mr. [ Navin ]. We have the next shareholder coming in. Mr. [ Anjai ], kindly unmute yourself and ask your question. Mr. [ Anjai ], can you hear us? I think we have some trouble with [ Anjai's] connection. [Technical Difficulty] Can we have the next shareholder, please? Mr. [ Sudhir ]. Mr. [ Sudhir ], please kindly go ahead with your question.

Yes. Congrats on efforts in these trying times. I have 2 sets of query, 1 is on growth and business continuity. Part of that is Infosys' growth rate has come down significantly over the years compared to before. Shouldn't there be some out-of-the-box thinking or steps to ensure much better growth rates than these last years. The next part is, what is the expected revenue and PAT growth in dollar in FY 2021? How does the new H-1B visa rule affect Infosys performance from here on? When can the company go back to EBITDA margins in excess of 26%? Then the next set of questions is on products and platforms. Shouldn't the company increase focus on products, platforms and productized domain expertise, making this a percentage of total revenue target and a 5-year plan? This percentage can be measured year-on-year vis-à-vis the total revenue for the whole company and can be verified with stated goals. The next part is can we also produce software consumer products like Microsoft, et cetera, and also be a B2C company? Next one is how much is being spent each year as a percentage of sales on innovative technologies, products and platforms?

Thank you, Mr. [ Sudhir ]. May I request, the next shareholder to go ahead with the question, please? Mr. [ Arockiaraj ] kindly unmute yourself and go ahead with your question.

Yes. What are the plans that Infosys is having in the 2021 to improve the overall profit percentage? That is my question.

Thank you, Mr. [ Arockiaraj ]. May I request the next shareholder to go ahead with the question, please? Madam, kindly go ahead with your question, Ms. [ Suchitra ]. [Technical Difficulty] Ms. [ Suchitra ], can you hear us? I think we have Some trouble from the line of Ms. [ Suchitra ]. Can we take the next question, please? [ Ms. Vasudha ], can you kindly unmute...

Yes. Yes, sir. I have only 2 questions. What is the impact on the company's business in India as well as U.S. due to COVID-19 pandemic situations? Secondly, what are your future plans to overcome this pandemic COVID-19 situation? I hereby support all your resolutions.

Thank you, Ms. [ Vasudha ]. Can we have the next question, please? I think that was the last question from this set of shareholders. We'll come back with more set of questions shortly. [Break]

We have next set of questions from the next batch of shareholders. We have one question from an audio line from Mrs. [ Patel ] from Mumbai. Madam, can you hear us. Kindly go ahead with your questions. Good evening, madam. We can hear you. Kindly go ahead with your question.

Yes, sir. This is 39th AGM. And all your people, Rakesh, Pooja, Mr. Girish, they have taken excellent, very good trouble in [indiscernible]. This is first time that we are -- it is not for the first time that in Infosys that we are talking from Mumbai. Because every year, except the last year, we have been talking with you all from Mumbai on and off in the -- at the AGM. And it has been very excellent for giving me this opportunity to speak over here. I wish the company and everybody all the very best. I even wish Manikantha and even [ our Rekha, ] please give special regards to her. Now I put forth my questions. Sir, economic downtrend is the best time for our new acquisitions. Where does Infosys stand as far as new acquisitions are concerned, during this pandemic lockdown? Can high cash be utilized for buying shares of other companies as an investment, not as an acquisition?

Kindly unmute your phone before you ask a question.

Hello. Hello.

We can hear you. Kindly go ahead with your questions.

Okay. Can high cash balance be utilized for buying shares of other companies as an investment, but not as an acquisition? At least 5% to 10% of -- from these 5% to 10% of the cash balance which can be utilized by the company. Next question, how many off-roll employees are there as far as your company is concerned, Infosys? What is the impact of employee productivity in this pre-COVID vis-à-vis post-COVID period -- lockdown period in the top line and bottom line? How much lease rental expense as a percentage to the income and profit of the company? What is the estimated reduction in cost of lease rental due to work-from-home policy? Any new business verticals and/or opportunities, which Infosys proposes to venture? I wish the company all the very best, the management team, all the very best. Thank you for dividend [ 9.5,] though I feel is a little less. And of course, ups and downs are always there. I wish -- yes, I also wish Mr. Uri Levine. Mr. Uri Levine, if he is here at this meeting. Welcome, Mr. Levine. I suppose that you have come in place of Mr. Prahlad. Mr. Levine, you have said FeeX, Fair Flies, MOVEit, by any chance, are you going to implement this even in our country? It would help me now -- it would be a great, if possible.

Madam, I request you to please wrap up your question.

I support all your resolutions. [ I thank ] everybody for their excellent help and support. And wish, good luck to all.

Thank you. Can we have the next question from Mr. [ Anjay Ramesh.] [ Anjai Ramesh ], kindly unmute yourself and ask your question.

Good day. Good day. Hope I'm audible to all.

Yes, you are audible. Kindly go ahead with your question.

First of all, thank you for giving me this opportunity to speak at this AGM, the 39th AGM of Infosys and the first e-AGM of Infosys, due to this corona era. So straight to the questions. Due to the paucity of time, I'm not taking much time. Actually, I don't have any questions as such, but I have a few suggestions, which the management and the Board could look upon. First thing, during this COVID era, please make sure your stakeholders -- all the stakeholders well-being, no layoffs and so that reputation of the company will be at the best. Second thing, I would like to tell that we can work on the existing workforce and implement more talents, I mean, more skills in them. That is the second suggestion. Third, I would like to suggest that you could see more on the CSR side, which would help the country and as a world as a whole, since Infosys is a global company. I would request you to have more emphasis on the CSR side because as in the balance sheet as on the side of economics or the financials of the company is very strong. I hope that the COVID cannot impact much on this. So best wishes to all the management and the Board of Directors. Thank you for this opportunity for me -- to me -- given to me.

Can we have next question from Mr. [ Vigyan ], please. Mr. [ Anjai ], if you could log off and continue on the broadcast, please. We have shareholders joining from audio. We request the shareholders to kindly go ahead and ask their questions. Can we have the first shareholder on the audio question, please?

This is Mukund Deshpande.

Mr. Mukund Deshpande, kindly go ahead and ask your question. Mr. Mukund Deshpande. [Technical Difficulty] Mr. Mukund Deshpande, we have trouble hearing you. [indiscernible] Do we have any other shareholder on the audio question? We have the next shareholder lined up for the video question. May I request to turn on the video, and then we can take the question by Ms. [ Suchitra ]. Ms. [ Suchitra ], kindly unmute yourself and ask your question. Ms. [ Suchitra ]? Ms. [ Suchitra ], are you asking your question on the audio? Ms. [ Suchitra ], you need to unlock your -- unmute yourself and ask your question. I think there is some issue. Ms. [ Suchitra ], can you hear us? We have some connectivity issues from Ms. [ Suchitra's ] line. [Technical Difficulty] Can we take the next question from the next shareholder? Mr. [ Abhirup Nandy ]. Mr. [ Vigyan ], have you joined the audio line, please?

Right, Sir. May I continue?

Kindly go ahead, we can hear you. Kindly go ahead with your question.

Do you hear me, sir?

Yes, Sir. We can hear you very well.

I'm audible?

Yes, sir. Please go ahead with your question.

Mr. Chairman, sir, member of the Board, my investor friend, and ladies and gentlemen, I'm [ C.A.B.S. Shriman ]. I'm extremely grateful to Mr. Nilekani for giving us the opportunity to interact in the proceeding of this AGM and share our views and suggestion. I'm sure, Mr. Chairman, would take it in proper perspective and would respond fully so that we go back fully informed. I'm also thankful to my fellow investors, who have taken their time out to actively participate and share their views and suggestions to make it more lively. Sir, I happen to talk to your Company's Secretary, Mr. Mani yesterday, and he made a remark while talking that the COVID-19 has thrown up this opportunity to organize AGM on virtual mode. I cannot, but more disagree with him that it will definitely open up the opportunity to participate at the AGM by the investor who reside outside the purview of the company's registered office. While in the subject, sir, could you tell us what is the expenses of conducting the meeting on virtual mode vis-à-vis physical mode? Let me now share a few of my thoughts and suggestions. I'd like to offer my thanks to the Chairman and CEO, Mr. Parekh, for producing a reasonably good result under the prevailing circumstances, when we find there is a downward trend in the economy. And also for rewarding the investor in various counts. Going forward, I would like to put a -- take up the dividend payout which is dear to -- for all the investors. The company has declared dividend to the tune of 17.50 53.2% compared to 21.50, 68.8% last fiscal. Could you hope -- could we hope, sir, for better dividend payout in the current year? I would also like to point out the Draconian provision of the Companies Act '13, wherein if dividend remains unclaimed, the shares would also be liable to be forfeited. Hence, the management as well as the investor should be very, very proactive in this regard. So that the shareholders don't miss to claim their unclaimed dividends. In view of the present Visa policy of Trump Administration, what could be the impact on our company? In Page 26, revenue per employee is lower compared to previous year. Steps initiated by the company for rectification. Could you, sir, enlighten us about the present position of 2 subsidiaries shown under held-for-sale, and for which INR 265 crores plus INR 469 crores was provided in last year's account, their current position? While in this subject, my attention is also drawn to Page 34, where I found about 19 subsidiaries shown nil turnover. And about 9 subsidiaries are running at a loss, totaling to INR 420 crores approximately, out of the total 73 subsidiary company we have. What is the management view and action envisaged in this regard, sir?

Mr. [ Vigyan ], may I request to wrap up your question at the earliest, please? Mr. [ Vigyan ], can you kindly wrap up your question at the earliest, please?

Yes, yes. In profit and loss account, INR 114 crores is for the finance charges. What is that about? And it's next year's estimate. There appears to be a definite trend of this -- in India, same is also pursued by the government. And digitization in India. And same is also pursued vigorously by the government and augmented by the present pandemic. How the company could get benefit out of this trend? In this respect, my attention goes to Page 24, wherein I found that current year's Digital segment has grown by 2%, and core segment fall 8%. What is your current projection in this regard? Sir, with this, I would like to conclude, and thank you very much for giving me the patient hearing.

Thank you, Mr. [ Vigyan ]. Do we have the next audio question, please? [ Mr. Abhirup Nandy ] Can you hear us? [ Mr. Abhirup Nandy ], kindly unmute yourself and ask your question. [ Mr. Abhirup Nandy ]. [Technical Difficulty] We have a -- we have the next question from Mr. Tamal Kumar Majumdar. He's on video. Mr. Tamal Kumar Majumdar, kindly go ahead and ask your question.

This is Tamal Kumar Majumdar, an equity shareholder from Calcutta. I have some questions about audit records and other matters. Firstly, my first question, our operating margin is decreasing year -- every year. From 25% in financial year '16, it became 21.3% in -- during financial year '20.

Yes. Mr. Tamal Kumar Majumdar, kindly go ahead and ask your question. We heard the first part of your question.

Would you please share your thoughts in this aspect and your expectation for the current year? My second question is, Infosys recently announced its permanent work from home for 33 -- yes. I'm saying, sir.

Kindly go ahead, sir. Kindly go ahead and ask your question.

Is it okay? Am I audible?

Yes, we can hear you. We can hear you. Kindly complete your question.

Okay, sir. Infosys recently announced its permanent workforce from home. [Technical Difficulty] Third is recently Moody's have lowered -- sir, I am asking questions, already two questions I asked. And my third question is recently Moody's have lowered Infosys' rating from -- or to Baa1- from A1-, A3-. Agency said that Infosys' rating can be further downgraded if it undertakes material debt-funded acquisitions or increases returns to shareholders. And whereas on Page 85 of the annual report... [Technical Difficulty]

Thank you, Mr. Tamal Kumar Majumdar, for your questions. Kindly log off and continue to watch the proceedings. My I request the next shareholder to go ahead and ask your question. Yes, kindly unmute yourself and go ahead, Mr. [ Jaydip ]. [ Jaydip ], kindly go ahead and ask your question.

Chairman, Board of Directors, thanks for the dividend passed on to the shareholders, and company managing continuity of business by the work from home in this era of crisis, will this continue this system in the normal conditions? Sir, the recent crisis has accelerated clients' more along digital activities like planned scheduling, cost reduction and reducing idle time. Hope our company will seize this opportunity to serve the changing needs, and we are planning -- and are we planning to stay globally outside 46 countries? Sir, due to COVID crisis, are there any plans for layoff or planning for 3 days walk schedule like that? Sir, that's all from my side. And best wishes to the management and staff for the coming days with better results. And what future plans you have? Any future plans like that?

Thank you, Mr. [ Jaydip ]. [ Mr. Adil ]? Kindly unmute your line and ask your question. Mr. [ Adil ]? Mrs. [ Homayun Beruz Pouredehi ]? Mrs. [ Homayun ]? Mrs. [ Homayun ], we can't hear you. Can you kindly speak or unmute your line. Mrs. [ Homayun ], you have to unmute yourself. Kindly unmute yourself and ask your question.

Can you hear me?

Yes. We can hear you. Kindly ask your question. [Technical Difficulty]

I'm [ Humayun ]. So I'd like to know this lockdown, how has it affected us? I just want to know at what extent it has affected us? One question. Secondly, I want to know our subsidiary in China. Will this war between India and China affect our work in China? I would just like to know. Are you planning to close down because in the beginning, Infosys was running in profit? I would like to know. And regarding recruitment, have you done any new recruitment? Was there a need to do new recruitment? Or were you about to do and you have kept on hold because of this lockdown? And we are proud of Mr. Nandan Nilekani. We are proud of all our Directors, Mr. Nandan Nilekani was the pioneer of the founder of Aadhaar card system. In fact, we are proud of all our Directors. They are all great authorities in their own respect. Sir, we came to know how many countries you are located? We just wanted to know. And regarding H-1 Visas, somebody else has also mentioned. Sir, how will it affect us? Will there be changes? Sir, Mr. Trump claims he's a friend of Mr. Modi. So then Mr. Modi's citizens should not be treated like this. We should be helped because without H-1 Visa, sir, our very good intelligent people will not be available to the Americans. Sir, and now, I'm concluding my questions. Sir, I'm handing it over to my husband because we are speaking on the same mobile. His name is [ Beruz Feramroz Pouredehi ]. Sir, he may speak for a few minutes with your permission.

Kindly hand over to him.

Yes. Sir, I would like to ask you that in how many countries are we located? 46 countries or more than that? And how many employees we are having totally? Because TCS is having more than 4 lakh employees and whether Narayana Murthy is taking keen interest in our company. Because he was the original founder with the support of Sudha Murthy, the foundation -- Infosys foundation is doing very fantastic work. Sir, we would like to know how this pandemic situation has affected this profit? And sir, we would like to ask you which sector is doing the maximum profit in banking, finance, insurance? So we would like to know. Sir, also, we support all your resolutions, and we would like to -- we have already visited your Bangalore unit and even Mysore unit also we have visited, long back. And we are very old shareholders. We used to attend your -- this AGM when Niladri Prasad used to conduct at ITC Maratha and subsequently at Four Seasons. So we are very proud that we are able to get in connect with you and have our, what you call, maximum in touch with you. We would like to support all your resolutions, and we wish our company all the best. And you keep on giving maximum dividend because our company that on the -- on Friday, it has gone from INR 700 to INR 747. So it has -- share price has rocketed because of Accenture. So all the IT companies are doing very well. And we hope that our #2 slot in the IT gather will reward us, all the shareholders. Sir, we wish our company all the best, and we hope to see better days ahead. Thank you very much and give our regards to Narayana Murthy and Salil Parekh. Sir, we hope to see you next year, physically.

Thank you, sir. May I request the next question to be taken by video? Mr. [ Adil ]? Mr. [ Adil ], kindly unmute yourself and ask your questions. [Technical Difficulty] Mr. [ Adil, ] we can't hear you. Kindly unmute yourself and ask your question. I think there's a poor connection from Mr. [ Adil.] Mr. [ Adil ], we will take your question next. Probably you can come reconnecting and we will take the question. Meanwhile, may I request Mr. Santosh to unmute himself and go ahead with his question?

Sir, my name is a Santosh Kumar Saraf. Are you hearing myself?

Yes, Sir, we can hear you. Kindly go ahead with your question.

My name is Santosh Kumar Saraf from Calcutta. I do like to thank and congratulate the Board of Member and Chief -- CFO for this achievement through the year in spite of business difficulties due to pandemic. Second, I would like to thank Mr. Ramachandran and Mr. [ Roshni ], Mr. [ Roshni ] for their effort in a nice dry run, especially support us with our technical issues and queries. Sir, I would like to thank for good dividend by company at the rate of [ INR 17.50 -- INR 17.50 ] for this year. With regard, our respected Prime Minister's measures for making India a self-reliant nation is there any external incentive that Infosys is taking in its capacity as Infosys being one of the reputed international organization? Thank you for allowing me to speak today and wishing everyone to be safe and hope to meet you all in person next year.

Thank you, Mr. Santosh. Can we have the next question on an audio Ms. [ Suchitra ]. Ms. Suchitra, are you there?

Yes.

Thank you. Go ahead and ask your question.

[Foreign Language]

Thank you, Ms. [ Suchitra ]. Can we have the next question on the audio, please. Mr. [ Abhirup ]?

Good afternoon. Am I audible?

Yes, sir. Kindly go ahead and ask your question.

Sorry, there was some video error from my side. So I apologize for this. Okay. My question would be, sir, you have 2 subsidiaries Infosys Technologies Shanghai Company Ltd, that is in China, it's a 100% subsidiary. It has been posting continuous loss. And also you have Infosys Consulting Shanghai Company Ltd. That is a less material subsidiary, but that also has been -- has a negative equity. So what are the reasons for such continuous loss? And what are the strategies ahead with these China companies? Sir, you have invested INR 1,335 crore in Infosys Nova Holdings. Instead of directly investing in Outbox Systems Inc. So what is the logic behind directly -- not -- indirectly investing through Infosys Nova Holdings. Sir, proud to have our company getting certified by ISO 27701. Sir, really great achievement. I would also like to really appreciate the way you have expressed openheartedly the risks related to current COVID situation, and we shareholders are absolutely agreeing with and we prepared for it. Hoping that management will give their best. Sir, thank you, there is no complaints regarding your financials. It has been very well disclosed. And sir, as per audit committee, you have exactly 3 members. So since, it is a very important committee of our entity, do we need to -- are you looking ahead to increase one more member? Because 3 is the minimum, you're keeping the minimum. But still, if required, you may consider keeping one more member for Audit Committee?

Thank you, Mr. [ Abhirup ]. Can we have the next -- can we have the next question on audio, please? Mr. Santosh Kumar? Ms. [ Kirti Shah ]? [ Kirti Shah ], kindly go ahead and ask your question. We can hear you. [ Kirti Shah ]? Can we move to the next question, please? Mr. [ Sharath Kumar ]? Okay. I think we have a few shareholders lined up on the video. Can we take the question from -- yes, Mr. [ Adil ]? Kindly unmute...

I'm okay, and I hope everything at the company and the staff are okay. [indiscernible]. Kiran Mazumdar, thank you very much...

Thank you, Mr. [ Adil ]. Can we have the next question from an audio link, please? Mr. [ Sharath Kumar? ] Mr. [ Sharath Kumar ], kindly unmute yourself and ask your question. [ Mr. Muralidharan ]? [ Kirti Shah ], if you can unmute yourself and ask your question. [ Kirti Shah ], kindly unmute yourself and ask your question.

Yes, yes. Hello?

Yes, we can hear you.

Are you hearing?

Yes. Kindly go ahead with your question.

Yes. Why our PE is lower [indiscernible] is very low compared to industry? Why our net profit margin is [ 45% ] in 2 years? Last year, [ it was ] 66%. Day-by-day decline in margin. What steps you're taking? And what steps you are taking for this PE? What -- our PE is lower than industry PE. What are you doing for the shareholder or betterment of the shareholders? What do you plan for the betterment of shareholder now? I already [indiscernible]. Okay.

Thank you, Mr. [ Kirti Shah ], for your questions. Can we move to the next question, on audio, please? Mr. [ Reddappa ], can you unmute yourself and ask your question. Mr. [ Reddappa ], kindly ask your question. Can we move to the next question, please? Can we have Mr. [ Sharath Kumar ]? Mr. [ Sharath Kumar ], kindly ask your question.

One second. Let the camera get connected.

Mr. [ Abhishek ]?

Yes, sir.

Mr. [ Abhishek ], we can hear you. Kindly go ahead and ask your question.

[indiscernible] [Technical Difficulty]

Mr. [ Abhishek ], you can kindly go ahead and ask your question.

[indiscernible]

Looks like there is some connectivity issue with you. We request you to kindly go ahead and ask your question on audio.

[indiscernible]

Yes. Kindly go ahead and ask your question.

[indiscernible] [Technical Difficulty]

I think, Mr. [ Abhishek ] is in a bad network area. We request him to kindly rejoin and ask the question. Meanwhile, can we ask the next shareholder to go ahead and ask the question. Mr. Ashok Chakravarti, kindly go ahead and unmute yourself and ask your question. Mr. Ashok Chakravarti? Can we take the next question from a video question? Mr. [ Muralidharan? ] Mr. [ Muralidharan ], kindly unmute yourself and ask the question. Mr. [ Muralidharan ], kindly go ahead and ask your question.

[indiscernible] [Technical Difficulty]

Mr. [ Muralidharan ], we can't hear you.

Yes. Mr. Chairman, ladies and gentleman [indiscernible] first of all, I would like to congratulate, [indiscernible] [ Ram and Salil. ] [indiscernible]. First of all, I would like to thank the Board for giving me an opportunity to attend to this point on this [indiscernible] is not, whether we'll be able to get [indiscernible] get together after the call and earning. Then we have on [indiscernible] to all the shareholders. [indiscernible] rating on the actual report to point but the [indiscernible] that in condition on the H1B1, [indiscernible] Infosys and the profit in this issue. [indiscernible] In fact, I [indiscernible].

Thank you, Mr. [ Muralidharan ]. Can we have the next question from an audio line, please. Ashok Chakravarti? Mr. [ Bharat Raj? ] Mr. [ Reddappa ]? Yes, Mr. [ Reddappa ]. Kindly go ahead and ask your question.

Sir, my name is [ Reddappa Gundluru ]. So thank you for this [ facility ], you are giving very good opportunity for the virtual program, today, sir. So I'm very much -- I'm very happy about this meeting, sir. All right. I wanted to appreciate our company's Board of Directors, especially Nandan Nilekani, because he's our troubleshooter. He is increasing our company's reputation to higher level. He's a nice person. He's a capable person. He's a deserving person, sir. That's why we are investing more money every year, sir. Thank you so much for the dividend also, sir. Sir, my question is what is the impact on recently U.S. Government and other countries are taking some decisions on H-1, all other Visas? What is the impact on the company in upcoming years for the revenue growth? So can you brief about this -- in this pandemic corona, what is a couple of years, upcoming couple of years, what is the impact on the company? Is it positive or negative? I would like to know, sir. This is one of company. Another question is -- okay, basically I have only 1 question, sir.

Thank you, Mr. [ Reddappa ]. Can we have the next question from Mr. Ashok Chakravarti. Mr. Ashok Chakravarti, kindly unmute yourself and ask your question. Can we move to the next shareholder, please? Mr. Mukund Deshpande?

Good evening, all of you. Sir, can you hear me?

Yes, sir. We can hear you. Kindly go ahead and ask your question.

Yes. Sir, my question is the present COVID-19 crisis is going on. I will say it is the crisis 1, and second crisis will -- tomorrow, we may face number 2 problem with China border and other countries. So our management is ready to face the challenges?

Mr. Mukund Deshpande, kindly unmute yourself and ask -- and continue asking your question, please.

My question is present COVID-19 problem is going on. So I will say this is the crisis 1. And second crisis is tomorrow may we have to face that is China border and other countries. So management is ready to face such challenges?

Thank you, Mr. Mukund. We have noted your questions. Can we have the next question from Mr. [ Abhishek ], please? Mr. [ Abhishek ], kindly unmute yourself and ask your question. Mr. [ Abhishek ], kindly go ahead and ask your question. [ Abhishek ], kindly, unmute yourself and ask your question.

Sir, I think [indiscernible]. Sir I think we've already raised the question. We have already given the [indiscernible].

Thank you, Mr. [ Abhishek ]. You can kindly log off and watch the proceedings. Can we take the next question, please, from an audio bridge. Mr. [ Bharadraj ], kindly unmute yourself and ask your question.

Mani, let's line up all the remaining speakers and check this.

Thank you. With this, we conclude the question session from all the shareholders. Now I hand over back to Mr. Nandan Nilekani.

Thank you for all the questions. While we provide the answers to the questions shortly, I request to play videos, which showcases the work done by Infosys team during the last year. [Presentation]

Hello. We will now begin the answers to the questions. In this round, we are answering the questions that were raised in the web chat. And after 1 round of web chat questions, we will come back with a round of questions from the video and audio questions that were asked just now. The first question I have is, any clarification on the whistleblower done during last financial year, apart from the stock exchange notification. This is from [ Preet Subodhbhai Jadawala ]. Answer is we have dealt with the matter in accordance with our whistleblower policy. The company cooperated with investigation by the SEC in regard to the whistleblower matter. In March 2020, the company received notification by SEC that the SEC had concluded investigation, and the company does not anticipate any further action by the SEC on this matter. Additionally, the class action lawsuit that was filed in 2019 has been voluntarily dismissed without prejudice. With regard -- respect to Indian regulators, the company has responded to all the inquiries received from all the authorities so far. We can confidently say that the matter is closed and that the whistleblower allegations have been dismissed. Second question. I would like to know Infosys' strategy on acquisitions amidst various opportunities that are opening up due to COVID? This is [ Kalyan Kumar Guggilam ]. Answer is we look at mainly tuck-in acquisition opportunities in the digital technology arena, including bolstering our presence in some less represented geographies. We look forward to expand our presence and capabilities in technology in the future. We are also seeing opportunities of the captive takeover area. Question number three. From long-term prospects, have you -- or assigned any team or have any plans to identify opportunities arising due to COVID situation? Shareholder's name is [ Parameswaran Venkatachalam ]. Answer: It is clear that enterprises that have moved forward with their digital transformation agenda, leveraging technology have fared better in this crisis. Technology will be a major aspect of the solution for clients to shift their business models and increase their resilience, both of which are required right now. We are quickly pivoted to offering resilient work -- remote working solutions like cybersecurity, return to workplace and IT cost restructuring as they have become relevant to our clients. We've also seen the acceleration of digital transformation in migration to cloud, automation and increasing focus on optimizing costs. We also see opportunities from vendor consolidation and captive takeout. Question number 4, this is from [ Mahesh Bhagwan Makhija ]. I would like to know how our company can help our nation and entire universe to combat COVID-19 through various types of technology. Answer: We are conscious of our social responsibility and have contributed to the efforts of governments and committees in the countries where we operate to combat the impact of the pandemic. Our technology research teams are deeply involved in assisting governments in various countries to respond to the pandemic using technology. In India, we're involved in assisting various local administrations dealing with contact tracing. Similarly, in the U.K. and the U.S.A., we're helping to build technology, apps and solutions for contact tracing and aiding the health care communities. As you know, our Infosys Foundation is doing a lot of work in creating health care facilities, ensuring needs of migrant workers are taken care of and in supporting PPE for health care workers. We're also working with government in Karnataka for setting up call center to track health and monitor impacted citizens. So as you can see, we're doing a lot of things in the COVID area. Our final question is: my question is about innovation in Infosys. Is Infosys working with any academic or research partners to create low-cost medical equipment like ventilators for COVID. This is from [ Sharma Kappaguddu ]. Answer: As I said in the previous answer, our technology teams are working across the world, providing technology for contact tracing and other solutions and helping in aiding the health care companies around the world, nothing to do specifically with ventilators. So with that, I hand over to Salil to take his questions.

Thank you, Nandan. The shareholders had a few questions that I have come to address. First question: Have you seen any drop or cancellation of large projects from travel and hospitality sector? The shareholder asking [ K. Moideen Ghani ]. The answer is, for us, travel and hospitality sector is relatively small. So we don't expect any material business impact from this sector. Second question: Please brief us about the least affected sector and worst affected sector with COVID and its impact? Will they compensate each other? Shareholder name [ Anita Gandhi ]. Answer: Sectors like retail, manufacturing, and the travel hospitality, I just shared are the ones most impacted. Financial services, energy, utilities are relatively lesser impacted. Communications, high-tech, life science, health care have seen actually slightly better opportunities. There will be some overall negative impact as a result of COVID-related developments in the near term. But in the medium and long term, we see opportunities for clients as they fast track their digital transformation journey, consolidation of vendors and some captive activity. Next question: What is the outlook for the first quarter considering the COVID situation and U.S. H1-B visa restrictions. A question from shareholder, [ Bhupender Nag Modi ]. Here, we have seen the answer, we have business impact due to deal closures and longer decision cycles. However, the impact is relatively less as compared to what we envisaged in April. Since many of the economies have opened up, there is strong government fiscal monetary support. We have not seen large cancellations. We've also been able to put in place methods through technology for connecting with our clients and that have helped. We've also increased employees in the U.S. over the last 2 or more years where we have a large percentage of our employees over 60%, who are independent of any visa situations. The next question: Hello, sir, what is the biggest business challenge faced by the company in view of COVID? And how do you plan to overcome this? The shareholder is [ Vinay Charanveer Shetty ]. The challenge facing us -- really all of our industry is really the uncertainty of the situation and the duration with respect to our clients. There is no clear sense yet of when the recovery will begin and when the sentiment of our clients or their employees or, in general, the consumers will improve. Another risk could be a second wave, which could emerge, and if there are more lockdowns. We are in constant communication with our clients. And overall, we see an increased move to the work of digital and we will be assisting them more and more in this need. We are confident if we continue to work with our clients on their immediate and emerging technology needs, we will actually emerge stronger through the crisis. Next question: Have you lost any market share or business in the U.S. Shareholder name, [ Jasmeet Singh ]. We continue to engage with our clients on a regular basis remotely. They're very appreciative of our response and ability to transition the work from home as the pandemic is struck. They want to engage more with us and to see digital transformation in their business. In financial year '20, we grew at 9.8%, which is among the fastest growth rate of large vendors across the whole IT industry. And this is a testimony to the fact that we are gaining market share. We also saw our digital revenue grow at a very fast rate of 38% and that's another area where we can see that we are gaining market share. The next question: What will be the impact of slowdown in the economy on the operating revenues and EBITDA for H1 financial year 2021? The question -- shareholder name is [ Vishrath Dilip Bora ]. In the near term, we do see an impact on our business. The company anticipates some slowing as a consequence of the global crisis. This is impacting the closure of some new deals and decision cycles across various verticals. However, we see in the medium term and the longer term, much more benefits and positive activity across the business. Our operating margins will see a headwind due to some challenges from utilization in the near term, which we'll try and offset through lower overheads, a lower travel costs and cost optimization measures that we have already kicked in. We have a strong balance sheet and have responded fast to contain this and the cost to ensure our financial resilience. Infosys is poised to confront the challenge and help its clients navigate through it as well and emerge resilient from this crisis. The next question: I would like to understand how will this new work-from-home scenario have an impact on margins in terms of CapEx and operating costs that will have to be incurred to set up this infrastructure on a permanent basis and what would be annual recurring CapEx and OpEx towards this? Shareholder name is [ Harit Shah ]. Work from home will create business disruption due to revenue impact and will also create short-term utilization challenges on the margin. We expect those margins to be offset by cost takeout, a higher offshoring and lower travel costs. Due to the slowing growth resulting from the crisis, our CapEx needs will also reduce in the short term. We will reassess our long-term CapEx plans based on how the situation evolves. The next question: Does the company have any plan to acquire foreign IT cap firms in the near future? The shareholder name is [ Sabiyu Rehman Gunduvayal ]. The answer: We are actively looking at acquisitions outside India. The focus of those will be in the digital areas, specifically on cloud or on the data side and also could be focused on business platforms. The current [ scenario ] could offer us opportunities for acquisitions, and we have a healthy pipeline that we are [ reviewing ] on a regular basis. Question -- the next question: What is the business plan future after COVID-19? And how impacted will the IT industry be? The shareholder name is [ Naval Kishore ]. The pandemic itself will have an impact in the near term. In the medium and long term, we continue to see that the technology side we have a lot of positive traction with our clients, especially as it relates to cloud and [indiscernible] as it relates to cybersecurity. We have quickly pivoted our focus on those -- and areas of cost efficiency and areas of consolidation. So while we see a near-term impact in the medium and long term, we continue to see actually a good traction in many of those areas. Next question: What are Infosys' plans for enhancing the artificial intelligence capabilities in financial year 2021 and beyond? The shareholder name, [ Ronak Rajpal ]. Artificial intelligence has been a core area for our company for many years. We have a dedicated service line in helping our clients leverage AI in their processes and for their automation tasks. We are building AI capabilities in our data analytics practice for predictive analysis on an edge suite of platforms, which use AI and machine learning extensively. Our AI-related techniques are becoming pervasive. We'll see this is to be a crucial capability. We are also using a lot of AI-related courses in our reskilling platform, both on Lex and Wingspan. And we expect to leverage strong partnerships we have with third-party AI solutions for the benefit of our clients. Next question: First of all, thank you to the entire Infosys management for the opportunity of joining via VC. Sir, the future, even if the pandemic wasn't here, this seems really great that many can join in and get first-hand experience. I have 2 questions for the management. First is what will be the future cloud computing and AI? Shareholder name is [ Shoba Dujari ]. On AI, the points I have just shared will be relevant. On cloud computing, it's a very large area of growth for all of our clients. We have been extremely proactive in a good set of capabilities. And also, we have built partnerships with the large cloud providers and now with 2 of the emerging cloud providers as well. We believe we are extremely well positioned to benefit from the cloud activities as they will develop. Those are all the questions in this first round for me. Pravin, over to you, please. Pravin, you are on mute.

Okay. Sorry. Thanks, Salil. The first question for me is: In this pandemic, when most people are working from home, can Infosys play a role in providing education from home using technology? The shareholder name is [ Irshad Younis Modi ]. We have invested in our Lex platform, which provides us ability for anyone to learn anytime anywhere, 24/7. Using that platform, our employees can access learning content, they can interact with instructors, they can take regular assignments, and they can get certified as well. Our clients are also excited about making this platform available for their own employees for accelerated learning opportunities. We have extended this platform to them and it is called Wingspan. Likewise, for engineering graduates in India, we have also a version of this platform called InfyTQ, where they are able to get access to high-quality computer science education. In U.S. as well, we have opened up Pathfinders Online Institute, an online learning platform for teachers, school children and their families so that they can access high-quality computer science education from home for free. The second question is: During this COVID pandemic era, when many companies are opting to lay off tons of employees to cut on operating costs the shareholder would like to know whether Infosys is planning to do something on similar lines? Shareholder name is [ Abhishek Singhal ]. Given our overall business situation and our long-term commitment to our employees, we have no plans for mass layoffs. We continue our performance-based exits in line with our earlier practice. There's a question from [ Imran Akhtar ]. Is working from home affecting the productivity of deliverables? The response is, we have had very positive stories from our projects and client stakeholders. We have -- as you are aware, we have moved about 93% of our workforce to remote working in early April and at peak, we had about 97% of our people working from home. Initial benchmarking shows that we have been able to maintain productivity as well as all the deliverables to our clients. And we have not seen any client escalations or SLA misses on account of work from home. The next question is: What percentage of your workforce is currently working from home. How do you see this changing in the coming weeks, months? What is the steady state you envisage? There have been similar questions from few shareholders. Their names are [ Omprakash Subbarao ], [ Venkateswaran S ], [ Jahangir Dar Hanumesh ], [ Vasudev Rao ]. So currently, as I said, we have about 95% of our workforce working from home. At peak, we had about 97%. Today, we have about under 5% working from office. We are not in a hurry to start working from office, we want to do it in a very slow and calibrated manner, keeping in mind the safety and security of our employees. And in the long term, we envisage a hybrid model where one would have the flexibility to work from either office or work from home. There'll always be times when people have to work from office, even though they may have flexibility and ability to work from home. This will depend on the nature of the project as well as client comfort. So it's very difficult, at this stage, to envisage what the percentage would be. But our endeavor is to make sure that we have an environment and operating model, which allows us -- gives us the flexibility to either work from office or work from home. Then the next question is: what would be the impact of H-1B visa restrictions imposed by U.S? They have been asked by a couple of shareholders, [ Amit Prakash Bhosale ] and [ Anuradha Bhattacharya ]. We are constantly monitoring the developments in the U.S. regarding immigration rules, and we believe Infosys is well prepared to address any near-term challenges as a result of our strong localization strategy and a resilient business model. In the last 24 months, we have implemented our localization initiatives at scale in U.S., recruiting more than 10,000 U.S. nationals or permanent residents and have significantly reduced our dependency on visas. Currently, about 60% of our U.S. employees are visa independent. The next question is what is the outlook on new hires, especially lateral hires? And how has the attrition rate been over the past quarter? Shareholder name is [ Vikas R ]. We have ensured remote onboarding for our lateral joints this quarter. We have committed that they will honor all the offers made by us and look forward to welcoming the new Infoscions. Our attrition rate has declined over the last few quarters, thanks to our employee engagement initiatives and robust growth rates which gives opportunity for employee for career growth. We expect to see further decline in attrition in the coming quarters. Next question is: Infosys has not had any presence in Northeast India where there are 7 states and Guwahati is [ heart ] of all. Any plans for expansion and capture of the market? Shareholder name is [ Suranjan Sharma ]. In the Eastern part, we have a presence in Bhubaneswar right now, and we also have plan for expanding in Calcutta. But given the new normal, it's very difficult to envisage the post-pandemic situation. So given that in the near term, we are not planning to open any new offices or invest anymore and in the incremental infrastructure spend. But once we have clarity on the long-term normal post the pandemic, we will definitely take this into account. Next question is: What implications that company foresee on its financial operations from their ongoing tensions from China and other global issues like depreciation in the value of rupee. Shareholder name is [ Piyush Vinod Sancheti ]. We are a global company with operations in many countries across the world and have clients in China who are largely serviced locally by our China-based employees. We are, of course, deeply concerned about the recent escalation in the geopolitical tensions. At this stage, we have not seen any disruptions in our operations. We will comply with government directives in any of the countries that we operate in. Regarding the movement in currencies, we have an active hedging strategy to tide over currency volatility. Next question is from [ Shriram Sampath ]. Request an update on the GST software as news item appears prominently that the top executives of the company were summoned by the Ministry of Finance regarding the software glitch? We are working with both GSTN and the government in addressing the issues raised. Today, the system is working fine. And based on our advice, GSTN has also staggered the filing date in order for us to bring down the load that was testing the system on the last day. Next question is why can't our company diversify into slightly nontraditional areas like developing an app that is a competitor to TikTok. Shareholder name is [ Shivam Bharatiya ]. This is a good question and a good suggestion. We continuously look for business opportunities and expanding our footprint and getting into new areas like products and platforms. We will definitely consider this. And that's the end of the question in this round, and I will now pass it on to Nilanjan.

Thank you, Pravin. We've got a couple of questions on dividend. So I'll take them one by one. There's a question from [ Sushil Haksar ]. Will your dividend policy be maintained? The Board has revised its capital allocation policy in FY '20 to return approximately 85% of free cash flows to shareholders over a 5-year period till FY '24 through a combination of semiannual dividends and/or share buyback and/or special dividends, subject to applicable laws and requisite approvals. There is no change in that policy. The second question from [ Biswarup Ganguly ]. Can the company get any interim dividend this year? The company and the Board will take a decision on interim dividend for FY '21 in due course. In spite of earnings, a good income, the dividend paid is less than that of the previous year, is it possible to increase the same? This is a question by [ J. Raguraj Raman ]. Given the COVID-related uncertainties, it becomes very important to ensure liquidity in the business. Many companies globally have stopped this dividend due to uncertainty. Despite this, the Board has approved INR 9.50 as final dividend, equaling the total regular dividend paid in FY '19 of INR 17.5. The Board will return 85% of free cash flows approximately to shareholders over a 5-year period as per the capital allocation policy. Any possibility of stock split and what about dividend distribution policy? This is a question from [ Anandu Vithal Nayak ]. I have already mentioned about the dividend distribution policy. The Board will consider the stock splits if there's a need at an opportune time in the future. What is the year-on-year split of organic growth versus inorganic growth due to acquisitions? Example, Brilliant Basics or Stater? This is a question from [ R. Santosh ]. Overall growth, as you know, is 9.8% for FY '20 in constant currency terms. This includes Stater JVs, Fluido acquisitions and Simplus acquisitions, excluding which, the organic growth for FY '20 was over 8% in constant currency terms. There's an increase in the total expenditure, i.e., INR 11,142 crores in 2018/'19 and INR 6,901 crores in 2019/'20. Please let me know the reason for the same? This is a question from [ Vijith Chandrakant Joshi ]. The cost of sales was 66.9% of revenue as compared to 65.2% during the previous year. This is mainly on account of increase in employee cost and cost of technical subcontractors, which increased in 2020 on account of increased in volumes, increase in compensation and increase in technical subcontractors to meet the talent crunch, partially offset by our cost optimization measures, including on-site mix. Why is operating margin going down year-on-year from 25% in 2016 to 21% in 2020? This is a question from [ Ishan Sharma ]. Our operating margins were very steady in FY '17 and '18. You may recall that we spoke of specific investments in the business to enhance our digital capabilities, increased localization, retraining our employees and investing in strengthening our sales team. We made these investments in FY '19. In addition, we have had every year salary increases in line with industrial practice, pricing pressure on the core part of our business, offset by cost optimization, increase in digital business and currency benefits. These were the primary reasons for the drop in profitability. We have shown margin recovery and resilience through FY '20 and hope to continue on that path going forward, barring the near-term pressures due to COVID-related issues. Operating margins have come down from 22.8% in FY '19 to 21.3% in FY '20. Why? Is there any specific reasons for this fall? This is from Mr. [ K.S. Balasubramaniam ]. Our operating margin in FY '20 was 21.3%, which decreased over FY '19 by 150 basis points. Net cost optimization benefit from higher offshoring, pyramid, lean and automation, was offset due to the salary increase of 160 basis points. We also had a higher visa cost in FY '20. All this led to a 150 basis point drop in operating margin in FY '20. When can the company go back to EBITDA margin in excess of 26%? We have a very focused margin improvement program that is looking at both operating levers as well as some strategic shifts through or leveraging automation. We don't have a long-term margin guidance in place. Can you let me know our business segmentation in terms of AI, digital, data, cloud and so on. This is from [ Sunder Ram Madduri ]. We declared that digital revenue by business segment and it is there in Page 278 of the annual report. The digital pillars are there in investor presentation, Page #12. Have any bonus shares been declared in the financial year 2021? This is from [ Vimal Kumar M. ] There have been no bonus shares declared for FY '20. With that, I will pass on to Manikantha.

Thank you, Nilanjan. There were a few questions. I'll go through them. There was a question from Mr. [ Mohit Agarwal ]. And the question is, as a shareholder, I'm interested for the capital application of my share. I'd like to know if the company desires in this AGM or anytime in the future bonus to its members? The answer is the company has issued 1:1 bonus shares in the year 2019. The Board will consider at an appropriate time in the future on issuance of bonus shares. There was a question from [ Thomas P. Joshua ]. And the question is, how can I view the statutory registers? And there are similar questions in that regard by Mr. [ Kumkum Rathee ], [ Nishant S. Shirke ], [ Amit Kumar Gupta ]. And the response is, as mentioned earlier in this AGM, for inspecting the statutory registers, kindly send an e-mail to [email protected] from your registered e-mail ID, along with your contact details. The register will be made available to you for electronic inspection. There was a question from Mr. [ George Alexander ]. Asking why is the participation in the AGM on a "first come first served" basis? And there are similar questions from a couple of other shareholders. And the response is as per the circular issued by Ministry of Corporate Office, company should arrange a facility having a capacity to allow at least 1,000 members to participate on a "first come first served" basis. However, the company had not put any restrictions on the number of shareholders participating in this meeting. We had an overwhelming participation from all the shareholders across the country -- across the globe. The Chairman will mention the number of shareholders participated in this meeting over the video conference in the closing remarks. With that, I hand over to Chairman, Mr. Nandan Nilekani.

Thank you, Mani. And now we will come to the second round of questions. These are questions that were asked in the video conference, and we will do it in the same order. And I don't have any specific questions to be answered from the video conference questions -- so video and audio conference question. So I will hand over to Salil.

Thank you. There are a few questions that have come to me from the video questions. Thank you for the questions. I'll start with them. The first question, economic downside, good time for acquisitions. And this is a shareholder name, Mrs. [ Patel ]. We have a very active program to look at acquisitions. We are looking at acquisitions in the area of the digital focus, whether that's in cloud or in data. We're also looking at acquisitions in some specific geographies. We feel that these questions -- acquisitions are actively being considered, and there's a good pipeline that we are looking at. The next question: Will the lockdown impact on business? Will India-China political situation [ impact ] our business? The shareholder name is [ Humayun ]. The first part of the question was already answered separately, which talked about how we're doing the work from home. So I won't repeat. On the second part of the question with respect to China, we are a global company with operations in many countries, including in China. A lot of our work that we do in China is being serviced by our employees within China. Of course, we're deeply concerned with the recent escalation in the geopolitical tension. At this time, we've not seen any disruption of our work in China, and we will comply with the government directives in all of the countries we operate in going forward as we have always done. Next question: A status of performance of companies which were previously [ held as assets ]? Shareholder name is [ Simha ]. We had previously held assets of Panaya and Kallidus for sale. However, in April 2019, we had announced that we had taken them off the market as we had not received proposal that met our expectations. We have subsequently implemented plans to integrate them more closely, to refocus their activities and to bring them closer to what our focus in the market is. We are making steady progress on these plans. Those are all the questions from me. Pravin, I hand it over to you.

Thank you, Salil. The first question is, are we continuing with our recruitment plan under current situation? Shareholder name is [ Humayun ]. We are committed to honoring all the offers we have made and are in the process of reviewing the joining date for the same. We are evaluating the pace of hiring for the remainder of FY '21 to arrive at an optimal number of hires to meet our business requirements. Overall, we expect lateral hiring to continue in some manner and limited to skills, which are niche. The second question is, what is the expected reduction in cost of lease rental due to COVID? As we said, these are early days. In the new normal, it is -- it will be a hybrid model where we'll have employees partly working from home and partly working from office. At this stage, it is very difficult to determine what percentage of employees will work from office and what percentage will work from home. Having said that, we are looking at opportunities for reducing costs in every aspects of our business. The next question is, can the company spend more towards CSR? Shareholder name, [ Anjai ]. As we mentioned earlier, we have already -- Infosys Foundation has already spent INR 120 crores towards mitigating the COVID impact. Infosys Foundation has a defined plan for spending on CSR as approved by the Board. In addition to that, we also invest in CSR activities across the globe, which is over and above the CSR limits. This request will, however, be placed before the Board for suitable consideration. Next question is, cyber threat and data security in the wake of COVID. What is the framework that the company is using? Shareholder name, [ Anish Hegde ]. As part of our cyber security strategy, we have deployed robust security controls to safeguard all our end points, system and network and cloud infrastructure against cyber attacks directed towards Infosys. The different cybersecurity solutions we have implemented have in-built artificial intelligence and machine learning capabilities, which are vital for securing the organization. The existing IT remote access infrastructure was scaled up in order to enable employees to securely connect and work from home. We will continue to monitor the situation and continue to invest in technology to mitigate any risk from new cyber threats. That's all I had. I will now pass it on to Nilanjan.

Thank you, Pravin. There were a couple of questions on the subsidiaries. So the first question was what are the subsidiaries under the loss and the strategy for converting them to profit? And a similar question was on what is the profitability of Infosys China? And this is both from coming from [ Anirudh ]. We work with each subsidiary company for improving their profitability over a period of time. Most of our subsidiaries also worked closely and inset synergy with other Infosys entities. We closely manage these businesses to ensure that they're accretive to the entire Infosys group as a whole. Second question, what are the plans to improve operating margins for FY 2021? This is from [ Nath ]. Our big focus will be on accelerated cost takeouts. While we have made enormous progress on this during the last few years, this is even more critical for FY 2021 in the period of the COVID headwinds. We have embarked on a series of steps to address near-term margin pressure emanating from lower utilization due to supply and demand mismatches, which include complete freeze on discretionary spendings. We will also continue to look at the entire gamut of other cost levers we have as the situation evolves. Our ongoing strategic cost optimization levers around automation, pyramid rationalization, on-site offshore mix, subcontractors will continue as in the earlier years. We are also looking at reduction in CapEx, barring any committed on nondiscretionary spends. Finance charges of INR 114 crores, please provide details. This question is from [ Simha ]. The company adopted the new accounting standard Ind AS 116 on leases, effective April 1, 2019. Finance cost relates to interest on lease liability, which is calculated using incremental borrowing rates. Can we hope for better dividend next year? This is from Mr. [ C.A.B Simha ]. The Board will take a call on the dividend payout every year after considering various factors, including a capital allocation policy, cash generation and deployment needs. Why is our PE lower compared with the industry? This is from [ Kirti Shah ]. We don't comment on any stock price and valuation. As a company and management, we are focused on shareholder returns, and a large part of the management remuneration is aligned to the TSR metric. As you will recall the shareholders, which approved in 2019 ESOP plans. That is all for me. Mani, over to you.

I think all the questions were answered by Salil, Pravin and Nilanjan. With that, I will hand over back to Mr. Chairman.

Thank you, Mani. Members may note that e-voting on the NSDL platform will continue to be available for the next 30 minutes. Therefore, members who have not cast their vote yet are requested to do so. The Board of Directors has appointed Parameshwar G. Hegde, practicing Company Secretary as a scrutinizer to supervise the e-voting process. Further, I hereby authorized Manikantha, the Company's Secretary to declare the results of the voting and place the results on the website of the company at the earliest. The resolutions are, as set forth in the notice, shall be deemed to be passed today subject to receipt of requisite number of votes. We had 1,771 members participating today in this 39th Annual General Meeting. So we are grateful to all our shareholders, from all of the world who have come in by video conferencing, 1,771 people participated. Thank you all for attending the meeting. And I hereby declare the proceedings as closed. Thank you very much, and see you next year.