The rating on Infosys Ltd. reflects the India-based information technology (IT) services provider's good competitive position and strong EBITDA margins. The rating also reflects the company's conservative financial policy and strong free cash flows. The constraints of largely India-based operations and Infosys' exposure to exchange rate fluctuations temper the above strengths. Infosys' service delivery capabilities and cost competitiveness support its "satisfactory" business risk profile. The company has a network of 69 global development centers, mostly in India. Its workforce of over 1,50,000 is largely based out of India, which provides low-cost and skilled manpower. Infosys is the second-largest India-based information technology service provider in terms of revenues in the fragmented global IT services industry. Infosys' healthy and stable cash flows--with
