Top News

Infosys delivered a stronger-than-expected performance in the fourth quarter of FY26, driven by a sharp rise in profitability and improved operating margins. The IT major reported a consolidated net profit of Rs 8,501 crore for the January–March period, marking a 27.8 per cent increase on a quarter-on-quarter basis. Revenue for the quarter stood at Rs 46,402 crore, reflecting a modest sequential growth of 2 per cent and broadly aligning with market projections.

At the operating level, Infosys posted earnings before interest and tax (EBIT) of Rs 9,743 crore, registering a 16.6 per cent rise quarter-on-quarter. The company also saw a significant expansion in its EBIT margin, which climbed to 21 per cent from 18.4 per cent in the previous quarter.

Profit before tax rose 17 per cent sequentially to Rs 10,797 crore, supported in part by lower tax expenses, which helped strengthen the overall bottom line. Basic earnings per share also improved to Rs 21.01, compared to Rs 16.17 in the preceding quarter, reflecting better profitability for shareholders.

Dividend Announcement

Alongside its earnings, Infosys announced a final dividend of Rs 25 per equity share for FY26, offering a positive signal to investors. However, the stock reaction ahead of the results remained subdued, with shares declining 2.9 per cent to close at Rs 1,231.8 on the NSE.

Looking ahead, Infosys has adopted a more cautious stance on growth. The company has guided for revenue growth in the range of 1.5 per cent to 3.5 per cent in constant currency for FY27, compared to its earlier guidance of 3 per cent to 3.5 per cent.

Infosys reported strong deal momentum, with a large deal total contract value (TCV) at $3.2 billion for the quarter and $14.9 billion for the full year. “We delivered a resilient performance in FY 26 with growth of 3.1 per cent, with strong large deal wins of $14.9 billion, reflecting the robustness of our enterprise AI value proposition and market share gains in large transformation opportunities. The simplicity and strength of our AI services strategy across six areas is gaining traction in the market further strengthened by strong ecosystem AI partnerships enabling clients to get value from AI”, said CEO Salil Parekh.

“Our AI First value framework and differentiated Topaz Fabric position us uniquely to deepen client trust and gain greater share of the market”, he added.