New Delhi: Infosys, India’s second biggest IT services exporter, will announce its June quarter earnings today after market hours. Infosys is expected to announce its first quarter (Q1) results at 4:15 pm, followed by a media briefing by the top management at 4:30 pm. The company will also conduct a 90-minute conference call (open to investors/analysts) at 6:15 pm, according to Infosys. After the strong earnings reported by India’s biggest IT company TCS earlier this week, expectations are high that Infosys will also come out with Street-beating results in Q1.

Here are five things to watch out for in Infosys Q1 FY 2018-19 results:

1) Infosys is expected to report rupee revenue of 18,996 crore in the June quarter, up 5.1% quarter-on-quarter or 11.2% year-on-year, according to estimates of HDFC Securities. Infosys had posted a net profit of 3,690 crore in the March quarter on revenue from operations of 18,083 crore. In terms of closely tracked dollar revenues, Infosys is expected to report revenues of $2,835 million, up 1.1% quarter-on-quarter or 7% year-on-year, according to the brokerage’s estimate.

2) Margin is likely to decline 70 bps quarter-on-quarter on account of wage hikes, higher visa costs and higher investment in sales and digital, which will be partially offset by rupee depreciation and operational efficiencies, says Edelweiss Research. Infosys had reported an operating margin of 24.7% in the March quarter.

3) For FY19, Infosys is expected to maintain its earlier guidance of 6-8% growth in constant currency, according to HDFC Securities.

4) Performance of digital, top accounts, deal wins, large deal renewals and outlook of key verticals like BFSI (banking financial services and insurance, which contributes nearly one-third of its revenues) will also be closely tracked by analysts. The TCS management earlier this week indicated that growth in its banking, financial services and insurance (BFSI) unit would remain strong in the next one to two years as it posted a record net profit, helped by a rebound in the key division. In a note after TCS announced its earnings, Edelweiss Research said: “We believe BFSI revival marks the next phase of the growth journey for the Indian IT sector."

5) Progress on increased investment outlay towards onsite hiring, investments in digital and EBIT margin guidance will also be keenly watched, says HDFC Securities. Infosys had earlier issued guidance for a operating margin band of 22-24% for FY19.Infosys shares have outperformed the broader markets since the start of this year. Infosys share price are up nearly 25% year to date.