Infosys CFO Ranganath resigns

Infosys CFO Ranganath resigns

Infosys CFO M D Ranganath. (pic

The chief financial officer (CFO) of India's second largest firm Infosys has resigned to pursue his professional aspirations.

The company's Board has accepted M D Ranganath's resignation. However, he will continue as CFO of the IT major till November 16, 2018.

The Infosys Board will immediately commence the search for the next CFO, the company said.

While tendering his resignation, Ranganath said, “After a successful career spanning 18 years in Infosys, including as CFO for the last three crucial years, I now plan to pursue professional opportunities in new areas.”

Ranganath took over as the CFO of the company at a pivotal time, when former CFO Rajiv Bansal’s exit from the company was marred with controversies. 

There was a huge public debate over Bansal's severance pay. Also, Ranganath was part of the key management team that helped the smooth functioning of the company when former CEO Vishal Sikka made an unceremonious exit from the IT bellwether.

“I am grateful to Infosys for giving me the opportunity of serving as CFO of this global iconic company. I am proud that over the last three years, during a critical phase of the company, we delivered strong and consistent financial outcomes, maintained high standards of financial reporting. I wish the management team all the best as I pursue opportunities outside the company,” Ranganath said.

Infosys Chairman Nandan Nilekani said that Ranganath played a pivotal role in the growth of the IT major. 

“During his long stint in the company, I have seen him in a wide spectrum of leadership roles and in each of them, he has delivered results with distinction. With Ranga as CFO, the company has in the last three crucial years, delivered a strong and resilient financial performance on multiple fronts, implemented an efficient capital allocation policy and earned the respect of all stakeholders through enhanced value creation,” Nilekani said.

Ranganath also played an important role in the company’s capital allocation policy, according to which company does a payout of up to 70% of the free cash flow every year.

“Ranga and I have worked closely over the past few quarters in shaping the strategic direction of the company. I admire his strong financial acumen, deep understanding of the company’s business and ability to deliver consistent results,” said CEO Salil Parekh.

During his long tenure, Ranganath has been a part of the Infosys Leadership team and has played several leadership roles in the areas of consulting, finance, strategy, risk management and M&A, and has worked closely with the Board and its committees in formulating and executing strategic priorities for the company.

Commenting on his resignation, Infosys Co-founder N R Narayana Murthy praised him as one of the best CFOs in the country and an irreplaceable loss for Infosys at this critical juncture.

"I have worked with Ranga for over 15 years. His ability to take tough decisions in challenging situations, his solid financial expertise, strong value system, unfailing courtesy and flawless execution always distinguished him as an exemplary leader and a key asset for the company," Murthy said in a statement.

Murthy stated that Ranga has been instrumental in raising investor confidence in the company during the last five years by managing costs and margins.

"He is a rare individual who understands all important stakeholders - clients, delivery teams, employee aspirations, finance, investors, governance, the law, and the role of an ethical business in building a better society," Murthy added.