The shares of Infosys, the major IT firm, declined by over 9% on BSE to Rs 1,311.60 in early Friday trade following the company’s release of its June quarter earnings.
Salil Parekh, the CEO and managing director of Infosys, is among India’s highest-paid CEOs. With nearly three decades of experience in the global IT services sector, he has a proven track record of leading businesses through digital transformation, implementing turnarounds, and overseeing successful acquisitions. He is a member of the National Council of the Confederation of Indian Industry (CII).
The decline in Infosys Ltd.’s revenue growth outlook for FY24 is expected to shock investors. The IT giant’s year-end guidance was anticipated to be adjusted due to concerns about an impending recession. However, the actual decline is higher than expected, ranging from 4-7% to 1-3.5%. This comes despite Infosys reporting a total contract value of $2.3 billion for significant deals in the first quarter of FY24 (June).
Salil Parekh – Background
Parekh is an alumnus of IIT-Bombay and Cornell University, where he completed his master’s degree. His extensive experience with service-based companies made him a strong contender for the CEO position at the IT giant Infosys.
In the fiscal year 2022-2023, Salil witnessed a 21% decrease in his yearly pay. According to the company’s annual report, he received a remuneration of Rs 56.44 crore in FY23, down from Rs 71.02 crore in FY22.
In 2018, when the board decided to award him a yearly compensation of Rs 35 crores, news of his salary spread quickly via the media as people began comparing his package with that of former Infosys CEO Vishal Sikka.