Infosys Q1 results are out—and it’s a strong start to FY26.
India’s second-largest IT company posted a net profit of Rs 6,921 crore for the quarter ending June 30, 2025. That’s an 8.7 percent jump compared to last year. It also beat market expectations. A Bloomberg poll had predicted a profit of Rs 6,778 crore.
Revenue came in at Rs 42,279 crore, up 7.5 percent from last year. Infosys also raised its full-year revenue guidance. It now expects 1 to 3 percent growth in constant currency terms, compared to the earlier range of 0 to 3 percent. Operating margin guidance was kept steady at 20 to 22 percent.
Despite the numbers, Infosys stock closed slightly lower on Wednesday at Rs 1,558.9 on NSE. It was in the green most of the day before slipping just before market close.
What helped boost Infosys Q1 numbers?
A few key things played a role. Infosys signed large deals worth $3.8 billion this quarter. Out of that, 55 percent were new deals. CEO Salil Parekh credited the growth to strong AI services, better client focus, and the hard work of over 3 lakh employees.
The company’s operating profit rose 6.2 percent to Rs 8,803 crore. Operating margin stood at 20.8 percent—slightly lower than last year’s 21.1 percent. Earnings per share (EPS) also improved to Rs 16.70, up 8.6 percent from last year.
However, free cash flow dropped 17.7 percent YoY to Rs 7,533 crore. Still, this covered more than 100 percent of the company’s net profit.
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Sector and Region Breakdown
In terms of business segments, manufacturing led the growth with a 14.8 percent jump in constant currency. Other strong performers were energy, utilities, and services (7.2 percent), and financial services (6.3 percent). Life sciences, however, saw a dip of 6.6 percent.
Looking at geographies, Europe grew the fastest with a 16.2 percent rise. North America stayed flat with just 0.5 percent growth.
By the end of the quarter, Infosys was holding cash and investments worth Rs 45,204 crore.
Final Thoughts
Infosys Q1 results show a confident and stable performance.
The company has started FY26 with better-than-expected profits, strong deal wins, and raised growth guidance. While cash flow is something to watch, the overall direction looks positive.
For Indian IT investors, this is a clear sign that Infosys is adapting well in a tough global market—and doubling down on future tech like AI.
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