Infosys bags seven-year deal from Ireland’s Musgrave for IT automation

India's second-largest IT services provider, Infosys, announced on Wednesday that it has secured a seven-year contract from Musgrave Group Ltd. The contract involves automating the Irish food wholesaler's IT operations across Ireland and Europe. 

The financial details of the deal were not disclosed. Infosys will utilize its proprietary Topaz and Cobalt platform to transform Musgrave's IT operations and improve the sales experience for customers and retailers, according to an exchange filing.

Infosys Topaz is an AI-first suite designed to harness generative AI technologies, while Infosys Cobalt offers a range of services to expedite enterprises' migration to cloud computing. These technologies are expected to transform Musgrave's IT infrastructure, enhancing customer and retail partner experiences through improved technical expertise and operational efficiency.

“Musgrave has always been committed to providing our customers with the best possible service, and this collaboration is a testament to that commitment,” Stephen McKenna, chief technology officer at the Irish food wholesaler, said in the statement. “We are confident that this collaboration will result in new and exciting products and services that will benefit all our customers.”

The initiative is part of Infosys' Cognitive First approach, which integrates AI, machine learning, knowledge management, and cognitive automation to amplify enterprise intelligence and operational efficiencies.
Karmesh Vaswani, EVP & Global Head Retail, Consumer Goods & Logistics, Infosys, said that this “collaboration will further strengthen our presence and propel our growth in Ireland."

The collaboration also aligns with Infosys’ strategy as part of its growth expansion in Europe for opportunities around next-gen digital technologies. On December 21 the IT major entered a five-year collaboration with leading automotive parts distributor LKQ Europe to transform its business processes, in yet another long-tenure deal from the Europe region in the ongoing quarter. Earlier in October, Infosys had reported a five-year deal with electric vehicle (EV) maker smart Europe GmbH.

Meanwhile, Infosys reported a 7.3% year-on-year (YoY) decrease in net profit at Rs 6,106 crore in the third quarter of FY24. On a sequential basis, the company's bottomline declined by 1.7%, according to a regulatory filing on January 11. Infosys also narrowed its revenue growth guidance for the full year to 1.5-2% after previously lowering it to 1-2.5%. However, consolidated revenue for the quarter increased by 1.3% YoY to Rs 38,821 crore.