Business · Companies · 2 hrs ago
Infosys raises profit 6% but cuts full-year revenue growth outlook
Infosys reported a 6% rise in quarterly profit to Rs 7,823 crore for the three months ending September 30.
The Bengaluru-based technology services company said revenue increased 11% year on year to Rs 49,244 crore.
It cut its FY27 revenue growth forecast to 1%–2%, from a previous range of 1.5%–3%, citing challenging demand and pricing pressure.
The company said intense competition and clients seeking higher productivity had contributed to the decision.
Operating margin stayed at 21%, within Infosys’s full-year target range of 20%–22%.
AI services revenue grew 29% from the previous quarter and made up 10.5% of total revenue, while large-deal bookings reached $5.2 billion.
The company also declared an interim dividend of Rs 26 per share, with November 3 set as the record date.
Infosys reported a 6% year-on-year rise in net profit to Rs 7,823 crore for the quarter ended September 30, 2026.
Revenue from operations rose 11% to Rs 49,244 crore.
The company cut its FY27 constant-currency revenue growth guidance to 1–2%, from 1.5–3%, citing a challenging demand environment.
Infosys declared an interim dividend of Rs 26 per share and set November 3, 2026, as the record date.
Large deal bookings totalled $5.2 billion, while AI revenue grew 29% sequentially and reached 10.5% of total revenue.
- Who
- Infosys Ltd, an IT services company.
- What
- It reported higher second-quarter profit and revenue, lowered its full-year revenue growth guidance and declared an interim dividend of Rs 26 per share.
- When
- The quarter ended September 30, 2026; results were reported on October 23, 2026.
- Where
- Infosys is based in Bengaluru, India.
- Why
- The company cited a challenging demand environment for lowering its revenue guidance.
This story does not have two clearly opposing sides.
The quarter ended, with Infosys reporting net profit of Rs 7,823 crore and revenue of Rs 49,244 crore.
Infosys reported its second-quarter results and lowered its FY27 revenue growth guidance.
Infosys set this as the record date for its interim dividend of Rs 26 per share.
- Net profit
- Rs 7,823 crore, up 6% year-on-year
- Revenue from operations
- Rs 49,244 crore, up 11% year-on-year
- FY27 revenue growth guidance
- 1–2% in constant currency, reduced from 1.5–3%
- Interim dividend
- Rs 26 per share
- Large deal bookings
- $5.2 billion; new business accounted for 62% of the total
- AI revenue
- 10.5% of total revenue; up 29% sequentially
4 sources
Infosys Q2 Results Highlights: Revenue guidance lowered due to pricing pressures amid competition and demand for higher productivity, says CFO
Earnings call transcript: Infosys Q2 2026 guidance cut weighs on shares
Infosys Q2 Results: Profit rises 6% YoY to Rs 7,823 crore; co lowers revenue guidance
What people are saying
We had strong large deals of $5.2 billion, including a mega deal of over $2 billion, reinforcing our position as a trusted partner in the marketplace when clients embark on large and complex transformation programs.
Our AI revenue was at 10.5% and grew 29% quarter-on-quarter. As enterprises move to AI adoption at scale, the strong growth in AI revenues is a recognition of our differentiated market positioning and client confidence,
We delivered operating margins of 21% in Q2 amidst heightened volatility. Focus on cost and operational efficiency measures while making the required investments have led to stable margins.