Infosys: Industry-leading Sequential Growth of 2.6% in CC, Driven by Differentiated Value Proposition in Enterprise AI

- Large Deal Wins at $3.8 Billion with 55% Net New; Demonstrating Deep Competitive Advantage in Consolidation Play- FY26 Revenue Guidance Revised to 1%-3% and Margin Guidance Retained at 20%-22%

BENGALURU, India, July 23, 2025 /PRNewswire/ -- Infosys (NSE: INFY) (BSE: INFY) (NYSE: INFY), a global leader in next-generation digital services and consulting, delivered $4,941 million in Q1 revenues, year-on-year growth of 3.8% and sequential growth of 2.6% in constant currency. Operating margin was at 20.8%. Free cash flow generation was strong at $884 million, 109.3% of net profit. TCV of large deal wins was $3.8 billion, with 55% net new. ROE improved by 140 bps to 30.4%.

"Our performance in Q1 demonstrates the strength of our enterprise AI capabilities, the success in client consolidation decisions, and the dedication of our over 300,000 employees," said Salil Parekh, CEOand MD. "Our large deal wins of $3.8 billion reflect our distinct competitive positioning and deep client relationships," he added.

2.6% QoQ3.8% YoY CC Growth

20.8% Operating Margin

8.6% YoYEPS Increase (₹ terms)

$3.8 Bn Large Deal TCV(55% Net New)

$884 Mn Free Cash Flow

Guidance for FY26:

Key highlights:

For the quarter ended June 30, 2025

"Q1 performance is a clear reflection of our unwavering focus on multiple fronts resulting in strong growth at 2.6% QoQ, resilient margins at 20.8% and EPS increase of 8.6% YoY. We continue to leverage Project Maximus to make investments in strategic priorities to drive profitable growth and enhance shareholder value," said Jayesh Sanghrajka, CFO. "Cash flow conversion was well above 100% for the fifth consecutive quarter. The impact of currency volatility was effectively managed through our proactive hedging strategy," he added.

Client wins & Testimonials

Recognitions & Awards

Read more about our Awards & Recognitions here.

About Infosys

Infosys is a global leader in next-generation digital services and consulting. Over 320,000 of our people work to amplify human potential and create the next opportunity for people, businesses and communities. We enable clients in 59 countries to navigate their digital transformation. With over four decades of experience in managing the systems and workings of global enterprises, we expertly steer clients, as they navigate their digital transformation powered by cloud and AI. We enable them with an AI-first core, empower the business with agile digital at scale and drive continuous improvement with always-on learning through the transfer of digital skills, expertise, and ideas from our innovation ecosystem. We are deeply committed to being a well-governed, environmentally sustainable organization where diverse talent thrives in an inclusive workplace.

Visit www.infosys.com to see how Infosys (NSE, BSE, NYSE: INFY) can help your enterprise navigate your next.

Safe Harbor

Certain statements in this release concerning our future growth prospects, our future financial or operating performance, and the McCamish cybersecurity incident are forward looking statements intended to qualify for the 'safe harbor' under the Private Securities Litigation Reform Act of 1995, which involve a number of risks and uncertainties that could cause actual results or outcomes to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding the execution of our business strategy, increased competition for talent, our ability to attract and retain personnel, increase in wages, investments to reskill our employees, our ability to effectively implement a hybrid working model, economic uncertainties and geo-political situations, technological disruptions and innovations such as Generative AI, the complex and evolving regulatory landscape including immigration regulation changes, our ESG vision, our capital allocation policy and expectations concerning our market position, future operations, margins, profitability, liquidity, capital resources, our corporate actions including acquisitions, the outcome of pending litigation, the amount of any additional costs resulting directly or indirectly from the McCamish cybersecurity incident, and the outcome of the government investigation. Important factors that may cause actual results or outcomes to differ from those implied by the forward-looking statements are discussed in more detail in our US Securities and Exchange Commission filings including our Annual Report on Form 20-F for the fiscal year ended March 31, 2025. These filings are available at www.sec.gov. Infosys may, from time to time, make additional written and oral forward-looking statements, including statements contained in the Company's filings with the Securities and Exchange Commission and our reports to shareholders. The Company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company unless it is required by law.

Infosys Limited and subsidiariesExtracted from the Condensed Consolidated Balance Sheet under IFRS as at:	(Dollars in millions)
	June 30, 2025	March 31, 2025
ASSETS
Current assets
Cash and cash equivalents	3,202	2,861
Current investments	887	1,460
Trade receivables	3,780	3,645
Unbilled revenue	1,588	1,503
Other current assets	1,787	1,890
Total current assets	11,244	11,359
Non-current assets
Property, plant and equipment and Right-of-use assets	2,223	2,235
Goodwill and other Intangible assets	1,666	1,505
Non-current investments	1,241	1,294
Unbilled revenue	262	261
Other non-current assets	811	765
Total non-current assets	6,203	6,060
Total assets	17,447	17,419
LIABILITIES AND EQUITY
Current liabilities
Trade payables	422	487
Unearned revenue	994	994
Employee benefit obligations	385	340
Other current liabilities and provisions	3,353	3,191
Total current liabilities	5,154	5,012
Non-current liabilities
Lease liabilities	693	675
Other non-current liabilities	480	477
Total non-current liabilities	1,173	1,152
Total liabilities	6,327	6,164
Total equity attributable to equity holders of the company	11,069	11,205
Non-controlling interests	51	50
Total equity	11,120	11,255
Total liabilities and equity	17,447	17,419

 

Extracted from the Condensed Consolidated statement of Comprehensive Income under IFRS for:
	(Dollars in millions except per equity share data)
	3 months ended June 30, 2025	3 months ended June 30, 2024
Revenues	4,941	4,714
Cost of sales	3,416	3,259
Gross profit	1,525	1,455
Operating expenses:
Selling and marketing expenses	258	232
Administrative expenses	239	229
Total operating expenses	497	461
Operating profit	1,028	994
Other income, net (3)	110	88
Profit before income taxes	1,138	1,082
Income tax expense	329	318
Net profit (before non-controlling interest)	809	764
Net profit (after non-controlling interest)	809	763
Basic EPS ($)	0.20	0.18
Diluted EPS ($)	0.19	0.18

NOTES:

www.infosys.com

IFRS-INR Press Release: https://www.infosys.com/investors/reports-filings/quarterly-results/2025-2026/q1/documents/ifrs-inr-press-release.pdfFact sheet:https://www.infosys.com/investors/reports-filings/quarterly-results/2025-2026/q1/documents/fact-sheet.pdf

Logo: https://mma.prnewswire.com/media/633365/4364085/Infosys_Logo.jpg

 

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