Infosys reported a 6.2% year-on-year increase in consolidated net profit to ₹7,823 crore for the July–September quarter of FY2026–27. Revenue from operations rose 10.7% to ₹49,244 crore, compared with ₹44,490 crore in the same period last year.
Despite the increase in earnings, the IT services company lowered its full-year revenue growth forecast, pointing to a more cautious outlook for business demand.
Revenue Grows as Profit Edges Higher
Infosys recorded revenue of ₹49,244 crore during the quarter, while net profit increased from ₹7,364 crore in the corresponding quarter of the previous financial year to ₹7,823 crore.
Operating margin remained at 21%, indicating that the company maintained its reported margin level despite an uncertain business environment. However, profit growth was relatively modest compared with revenue growth.
FY27 Revenue Guidance Reduced
The company revised its FY2026–27 revenue growth guidance to 1%–2% in constant-currency terms, down from its earlier forecast of 1.5%–3%.
The more cautious projection reflects challenges in parts of the IT services market, including softer demand and pricing pressure. Clients are also reassessing technology spending as artificial intelligence changes how software and business services are delivered.
Infosys retained its operating margin guidance at 20%–22% for the financial year.
AI Revenue and Large Deals Offer Support
Artificial intelligence remained an important growth area for Infosys. The company said AI-related revenue accounted for 10.5% of total revenue and increased 29% sequentially.
Large-deal contract value reached $5.2 billion during the quarter, with 62% classified as net new business. However, winning contracts does not mean that their full value immediately becomes revenue; projects are generally delivered and recognised over time.
Infosys Announces ₹26 Interim Dividend
Alongside its quarterly results, Infosys announced an interim dividend of ₹26 per share. The company also reported that its free cash flow remained a significant part of it
