1. The creation of a thousand forests is in one acorn - Ralph Waldo Emerson

2. © Infosys Technologies Limited 2004 - 05 Infosys Financials Aim for the Best V. Balakrishnan Company Secretary and Senior Vice President - Finance

3. June 11, 2005© Infosys Technologies Limited 2004 - 05 Safe Harbor Certain statements made here concerning Infosys’ future growth prospects are forward-looking statements which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, intense competition in IT services including those factors which may affect our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which Infosys has made strategic investments, withdrawal of governmental fiscal incentives, political instability, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property and general economic conditions affecting our industry. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings including our Annual Report on Form 20- F for the fiscal year ended March 31, 2005 and the Quarterly Reports on Form 6- K for the fiscal quarters ended June 30, 2004, September 30, 2004 and December 31, 2004. These filings are available at www.sec.gov. Infosys may, from time to time, make additional written and oral forward looking statements, including statements contained in the company’s filings with the Securities and Exchange Commission and our reports to shareholders. The company does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the company.

4. June 11, 2005© Infosys Technologies Limited 2004 - 05 We successfully completed the Sponsored Secondary ADS Offering Secondary ADS offering-16 million shares Pricing-US$ 67 per share Size of offering-US$ 1.07 billion Excess shares returned on-May 30, 2005 Payment of proceeds-On or before June 15, 2005 Largest international equity offering from India The first Public Offer Without Listing (POWL) in Japan by an Indian company Among the largest demand for any POWL issue in Japan

5. June 11, 2005© Infosys Technologies Limited 2004 - 05 Highlights Achieved revenues of US$ 1.59 billion during the year Achieved a revenue growth of 50% (in $ terms) as against our guidance of 30% in April 2004 136 clients added during the year Net addition of 11,116 employees during the year Recommended a final dividend of 130% (Rs. 6.50 per share), total dividend of 230% for the year, aggregating to Rs. 309.80 crore S&P credit rating – Pierced the sovereign rating Amongst the first few companies globally to file XBRL report (eXtensible Business Reporting Language) Award for the best presented Annual Report for fiscal 2004 received from The Institute of Chartered Accountants of India for the ninth consecutive year

6. June 11, 2005© Infosys Technologies Limited 2004 - 05 We have a competitive financial model…

7. June 11, 2005© Infosys Technologies Limited 2004 - 05 … we achieved the best growth rate in the industry… Source : CLSA research report Industry data - NASSCOM Fiscal 2005 revenue growth rates under Indian GAAP Industry growth 34.5%

8. June 11, 2005© Infosys Technologies Limited 2004 - 05 …despite moves by global majors to expand offshore… Incumbent global majors Announcing aggressive growth plans in India Enhancing their offshore capabilities Restructuring their costs to be competitive Moving their G&A expenses to India Our Global Delivery Model, evolved over a period of time, gives us the competitive edge

9. June 11, 2005© Infosys Technologies Limited 2004 - 05 7,130 4,853 Revenues (Rs. Cr) 2,314 3,365 1,594 2,335 Gross profit (Rs. Cr) Operating profit (Rs. Cr) 200420052004200520042005 47%46%45% … we balanced growth … 20042005 Net profit * (Rs. Cr) 1,24 4 1,847 48% * Net profit after tax and before exceptional item

10. June 11, 2005© Infosys Technologies Limited 2004 - 05 47.7% 47.2% Gross profit (%) 32.8% 25.6% 25.9% Operating profit (%) Net profit * (%) 200420052004200520042005 …and margins… * Net profit after tax and before exceptional item

11. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we are constantly moving up the value chain… Variation in per-capita revenues (in US$ terms)* 20012002200320042005 Onsite28.9%4.4%(2.5)%(2.9)%0.2% Offshore 22.3%(7.6)%(4.7)%(2.6)%1.3% Blended 27.0%(4.4)%(0.8)%(5.0)%(1.0)% * Software services Increased contribution from new services (% to total revenue) 20012002200320042005 Package Implementation7.2%9.8%11.0%14.5%15.2% Testing2.9%2.9%3.4%5.3%5.8% Consulting4.9%4.2%4.3%3.7%3.6% Business Process Management--0.5%1.6%2.7% Engineering Services1.7%2.6%2.6%2.2%2.0% Other Services6.1%5.4%7.8%8.1%8.4% Total22.8%24.9%29.6%35.4%37.7%

12. June 11, 2005© Infosys Technologies Limited 2004 - 05 … our Global Delivery Model provides leverage for growth… 2004 2005 Effort mix (%) Onsite33.331.5 Offshore66.768.5 Total100.0100.0 Billed person months Onsite51,23772,432 Offshore 102,852157,815 Total 154,089230,247 Change in billed person months (%) Onsite39.341.4 Offshore 55.153.4 Total49.549.4 Utilization rates Including trainees (%)73.472.6 Excluding trainees (%)82.079.6

13. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we have a well-honed strategy to manage wage inflation… 20042005 Wage increase – Offshore10%13% Onsite salaries (% to revenues)35.6%32.6% Offshore salaries (% to revenues)14.3%13.9% Variable salaries (Rs. cr) 307 375 Variable salary as a % of offshore salary16.1%21.6%

14. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we did not compromise on investments for the future… 20042005 Sales & Marketing cost (Rs. cr)350.9461.0 Sales & Marketing employees (No.)308348 Marketing offices (No.)2832 Investments in various corporate initiatives (Rs. cr) : Business plans and banking product development 41.69 Infosys China 8.39 Infosys Consulting 33.03 Total 83.11

15. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we practice what we preach.. 20042005 General & Administration expenses (Rs. cr) 369.2569.0 General & Administration cost / revenue (%)7.61% 7.98% G & A personnel1,4661,985 Total no. of employees25,63436,750 % to total employees5.72%5.40%

16. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we proactively hedge our forex risk… 20042005 Forward foreign exchange contracts outstanding as at March 31 ($ Mn)143349 Forward contracts booked ($ Mn)759777 Transaction & translation losses (Rs. cr)(45.64)(1.03) Benefit due to hedging (Rs. cr)65.079.85 Net impact (Rs. cr)19.438.82

17. June 11, 2005© Infosys Technologies Limited 2004 - 05 …and the end result – a highly evolved, competitive and variable cost structure. 2005% 2004% Income7,129.65100%4,852.95100% Software development and BPM expenses3,764.6653%2,538.6752% GROSS PROFIT3,364.9947%2,314.2848% Selling and marketing expenses461.006%350.907% General and administration expenses568.988%369.198% Operating profit before interest, depreciation and amortization2,335.0133%1,594.1933% Interest---- Depreciation and amortization286.924%236.735% Operating profit after interest, depreciation and amortization2,048.0929%1,357.4628% Other income123.902%123.383% Provision for investments-0.100%9.670% NET PROFIT BEFORE TAX2,172.0930%1,471.1730% Provision for taxation325.585%227.545% NET PROFIT AFTER TAX1,846.5126%1,243.6326% Exceptional Item45.191%-- NET PROFIT AFTER TAX, EXCEPTIONAL ITEM & BEFORE MINORITY INTEREST 1,891.7027%1,243.6326% Minority Interest0.030%-- NET PROFIT AFTER TAX, EXCEPTIONAL ITEM & MINORITY INTEREST 1,891.6727%1,243.6326%

18. June 11, 2005© Infosys Technologies Limited 2004 - 05 Our subsidiaries are engines of growth

19. June 11, 2005© Infosys Technologies Limited 2004 - 05 Subsidiaries performance Progeon Limited Infosys Technologies (Australia) Pty. Limited Infosys Technologies (Shanghai) Company Ltd. Infosys Consulting Inc. FormedApr 2002Jan 2004Oct 2003Apr 2004 Total investment (Rs. cr)24.5066.6923.0144.87 Holding %99.54100.00 FY 05 Revenue (Rs. cr)191.22303.238.1921.11 FY 05 PAT (Rs. cr)30.06(1.28)(8.39)(33.03) Employees (No.)3,96641612268

20. June 11, 2005© Infosys Technologies Limited 2004 - 05 We have a strong Balance Sheet…

21. June 11, 2005© Infosys Technologies Limited 2004 - 05 …and maintain high liquidity… Mar 31, 2005Rs. cr% SOURCES OF FUNDS Share capital135.292 Reserves and surplus5,089.8296 Minority interest0.14- Preference shares93.512 Total5,318.76100 APPLICATION OF FUNDS Fixed assets1,574.1530 Investments2.04- Deferred tax assets44.371 Sundry debtors1,322.0025 Cash and equivalents2,998.0156 Other net current assets810.7515 Current liabilities(1,432.56)(27) Total5,318.76100 We continue to be a zero-debt company Infosys Balance Sheet

22. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we manage our receivables well… Age profile of accounts receivable 2005 2004 0-3031-6061-90>90 Days of sales receivable - 48 days 4.6% 25.6% 68.6% 1.2% Days of sales receivable - 67 days * 8.3% 54.1% 33.0% 4.6% * Includes Rs. 236 cr due from one large customer, which was received in the first week of April 2005

23. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we have clear policies on returns and dividends… Target200320042005 ROCE (%)46.9%48.1%51.4% Times cost of Capital2.02.83.43.8 ROIC (%)79.9%137.5%123.6% Times cost of Capital3.04.79.89.1 Days sales outstanding60524867 # Cash & equivalents / total assets *40.0%57.3%85.1%54.4% Cash & equivalents / revenue *25.0%45.2%58.2%41.6% Dividend % (% to net profits)**Upto 20%19.9517.7918.48 # Includes Rs. 236 cr due from a large customer, which was collected in the first week of April 2005 * Cash and cash equivalents include investments in liquid mutual funds ** Excluding one-time special dividend in Fiscal 2004

24. June 11, 2005© Infosys Technologies Limited 2004 - 05 …we have a risk management policy … Business ObjectivesExternal Risk FactorsInternal Risk Factors Financial performance  Achieve revenue growth  Increase revenue productivity  Sustain profitability Client and market focus  Grow client relationships  Differentiate client offerings  Broaden geographical footprint Execution excellence  Leverage Global Delivery Model  Control operational costs  Improve quality & productivity Organizational development  Develop and retain competencies  Develop a global workforce  Develop 3 tiers of leadership Macro economic factors Exchange rate fluctuations Political environment Competitive environment Concentration of revenues Inflation and cost structure Immigration regulations Security and business continuity Technology obsolescence Financial reporting risks Liquidity and leverage Contractual compliance Compliance with local laws Intellectual property management Engagement execution Integration of subsidiaries Human resource management Culture, values and leadership Risk governance structure in place Risks due to both external and internal are measured and reported

25. June 11, 2005© Infosys Technologies Limited 2004 - 05 … and we manage our risks… 20032004 2005 Total clients 345393438 Clients added 92119136 Top client contribution to revenue 5.8%5.0%5.5% Top 5 clients contribution to revenue 23.4%22.6%21.0% Top 10 clients contribution to revenue 37.3%36.0%33.6% Clients accounting for >5% of revenue211 No. of clients with revenues 1 million $ + 115131166 5 million $ + 415171 10 million $ + 162542 20 million $ + 91219 30 million $ +3611 40 million $ +248 50 million $ +-35 60 million $ +--3 70 million $ +--1 80 million $ +-- 1 Million dollar clients / total clients 33.3%33.3%37.9% Repeat Business (%)92%93%95%

26. June 11, 2005© Infosys Technologies Limited 2004 - 05 … we keep the business model simple… No off-balance sheet items No Special Purpose Vehicles Provide for all known losses What you see is what you get

27. June 11, 2005© Infosys Technologies Limited 2004 - 05 … Simplicity has its rewards. 107.96 122.05 193.73 Book value (Rs.) 28.01 26.35 32.59 Price earnings (multiple) 200420052003200420052003 6.75 7.38 11.50 Dividend per share* (Rs.) 200420052003 * Excluding one-time dividend in fiscal 2004

28. June 11, 2005© Infosys Technologies Limited 2004 - 05 Would you have backed this group? 68,259 83,170 1,52,064 Market Price / Adjusted IPO Price (%) 200420052003 1980s

29. June 11, 2005© Infosys Technologies Limited 2004 - 05 The hidden treasure 200320042005 Average age of employees (Yrs)26.626.026.0 Education index 44,97274,057100,351 HR value (Rs. cr) 10,77821,14028,334 Brand value (Rs. cr) 7,4888,18514,153 EVA (Rs. cr) 4556901,132 Value added (Rs. cr) 3,0514,1856,053 Attrition (%)6.9010.509.70 R & D expenditure (Rs. cr)14.4444.5474.39 R & D expenditure / revenue (%)0.400.941.08 * Consolidated

30. June 11, 2005© Infosys Technologies Limited 2004 - 05 Consistently Meeting or Exceeding Guidance* Revenue (US$mm) Revenue Earnings per ADS (US$) Earnings per ADS GuidanceActual Annually Quarterly Annually FY 02FY 03FY 04FY 05 FY 02FY 03FY 04FY 05 * Guidance given at beginning of quarter/year

31. June 11, 2005© Infosys Technologies Limited 2004 - 05 Financial Highlights – US GAAP

32. June 11, 2005© Infosys Technologies Limited 2004 - 05 1,592 1,063 Revenues (US$ million) 460 688 293 456 Gross profit (US$ million) Operating income (US$ million) 200420052004200520042005 50%56%50% Financial Highlights – US GAAP… 20042005 Net income (US$ million) 270 419 55%

33. June 11, 2005© Infosys Technologies Limited 2004 - 05 43.3% 43.2% Gross profit (%) 27.6% 28.6% 25.4% 26.3% Operating income (%) Net income (%) 200420052004200520042005 … Financial Highlights – US GAAP

34. © Infosys Technologies Limited 2004 - 05 Infosys acknowledges the proprietary rights of materials used in this presentation Thank You You are always on our mind www.infosys.com