Infosys Q1 Results: Profit rises 12% YoY to Rs 7,769 crore; co trims upper-end revenue forecast

IT services major Infosys reported 12% year-on-year (YoY) growth in its consolidated net profit at Rs 7,769 crore in the first quarter of FY27. The same stood at Rs 6,921 crore in the last year quarter. Revenue from operations in the reporting period increased 14% YoY to Rs 48,211 crore.

Further, the Board has approved and appointed Ashiss Kumar Dash as the CEO Designate of the company until March 2027.

For the full financial year 2027, the company has trimmed the upper end of the revenue growth guidance 1.5%-3% in constant currency, while operating margin outlook was given at 20-22%.


In dollar terms, Infosys reported revenue of $5.08 billion, up 3% YoY and 0.8% quarter-on-quarter. Constant currency revenue grew 2.4% YoY and 1% sequentially.

Operating profit stood at Rs 10,163 crore, up 15% from Rs 8,803 crore a year earlier. Operating margin came in at 21.1%, compared with 20.8% in the year-ago quarter and 21% in the March quarter.

Infosys said AI revenue stood at 8.2% of total revenue in Q1. Large deal total contract value was $3.6 billion, with 61% net new business. Free cash flow stood at $955 million, or Rs 9,051 crore, with free cash flow conversion at 116.4% of net profit.

Infosys guidance lowered

The guidance cut shows that demand visibility remains limited despite deal wins and AI-led revenue traction. The IT sector has been facing slower discretionary spending, delayed decision-making by clients and pressure from AI-led productivity gains.

CEO and MD Salil Parekh said AI momentum is converting into revenue and helping Infosys gain market share.
"AI momentum is now rapidly converting into revenue, which demonstrates how Infosys' differentiated enterprise AI value proposition is translating into consistent market share gains," Parekh said.

He said strong large deal wins, powered by Infosys Topaz, showed client confidence in the company’s ability to be a strategic partner for AI transformation.

CFO Jayesh Sanghrajka said the company's 21.1% margin and strong cash generation reflected disciplined execution in a challenging business environment. He said Infosys is increasing investments in AI, talent and platforms to support future growth.

Infosys segment performance

Financial services remained Infosys' largest vertical, contributing 27.9% of revenue. Revenue from the segment grew 2% YoY in constant currency terms. Manufacturing contributed 15.9% of revenue and grew 1% in constant currency terms. Energy, utilities, resources and services contributed 13.4% and grew 1.3%. Retail remained weak, falling 1.8% in constant currency terms.

Communication grew 1.3%, while hi-tech grew 2.4%. Life sciences was the strongest vertical, growing 24% in constant currency terms and contributing 8% of revenue.

Infosys employee count

Infosys had 3,28,062 employees at the end of June, compared with 3,28,594 at the end of March and 3,23,788 a year earlier. Voluntary attrition in IT services rose to 13% from 12.6% in the March quarter, but remained below 14.4% seen a year ago.

Infosys New CEO designate appointed

Ashiss Kumar Dash will succeed Salil Parekh as MD and CEO from April 1, 2027, subject to statutory requirements.

Dash is currently global head of services, utilities, resources, energy and enterprise sustainability at Infosys. He has spent more than three decades with the company.