Newsletter
Infosys has joined the Q3 earnings party with numbers that were largely in-line, and it also sounded a bit more upbeat about the year ahead.
The company has raised its FY26 revenue growth forecast to 3-3.5% in constant currency terms, signalling that demand is holding up and the pipeline looks steady.
The financials:
$ revenue: up 0.5% at $5,099 m Vs $5,076 m (QoQ)
Net profit: down 9.6% at ₹6,654 Cr Vs ₹7,364 Cr (QoQ)
Margin: 20.8% Vs 21% (QoQ)
Breaking it down: the company’s net profit was hit as it incurred ₹1,289 crore on account of labour codes.
The real good news in Infosys’ Q3 report was deal action. The company signed large contracts worth $4.8 billion, and more than half of that, 57%, came from fresh new business.
There was another upbeat cue too: hiring is back. Infosys added 5,043 employees in Q3, its biggest net hiring in 11 quarters, taking the total workforce to 337,034. It also aims to add 20,000 freshers this fiscal year.
CEO Salil Parekh said growth was driven by Infosys’ enterprise AI offerings, and that clients are increasingly treating Infosys as a go-to partner for AI work.
Bottom line: the quarter itself was steady, margins got bruised by a one-off hit, but the pipeline looks healthier and the momentum feels a notch stronger.
