Infosys Q2 net profit up 13% at Rs 7,364 crore, raises lower end of FY 26 revenue guidance

Bengaluru: The country's second-largest IT services firm Infosys on Thursday posted a 13 per cent y-o-y increase in its consolidated net profit at Rs 7,364 crore for the quarter ended September 30, 2025.

The company had posted Rs 6,506 crore in the year-ago period. The IT firm's revenue from operations rose 8.5 per cent to Rs 44,490 crore in the September quarter, beating analysts' expectations of around Rs 44,010 crore.

The Bengaluru-based firm also raised the lower end of FY26 revenue guidance to 2 per cent to 3 per cent in constant currency from the earlier forecast of 1 per cent to 3 per cent. It maintained its operating margin guidance at 20 per cent to 22 per cent.

"With a strong performance in Q2, we changed our revenue growth guidance for the financial year. The new guidance is growth between 2 per centand 3 per cent in constant currency terms for the full year," Salil Parekh, CEO and MD, Infosys, said during the company's post earnings conference.

The company's operating margin in Q2 stood at 21 per cent and large deal TCV (total contract value) was at $3.1 billion. Infosys witnessed strong performance in financial services (5.4 per cent y-o-y growth) and manufacturing (6.6 per cent) verticals. "Our pipeline in retail is looking good," the CEO said.

Though the company did not share AI-specific revenues like its peers, the CEO said that they are scaling up massively on Artificial Intelligence (AI).

"We are doing a lot of projects on enterprise AI. There's a broad set of AI work that we are doing with our clients. There's a large number of clients for which Infosys is today the AI partner of choice. We believe there's a huge amount of opportunity in the enterprise AI space," he added.

When asked about AI agents, the CEO told DH that they have deployed 400 AI agents and this is across verticals. In Q1, the company announced that it has deployed nearly 300 Agentic AI solutions across client engagements.

The company has been constantly outperforming its overall growth in Europe (6.3%). When asked about it, the CEO said, "Europe has done extremely well for us as we made some good investments in different countries across Europe. The US market is also a very good market and we will continue to grow, and will continue to make acquisitions. We will invest in both of those markets and other markets around the world," he said.

The board has declared an interim dividend of Rs 23 per share. It has also approved Grant of 109,893 Restricted Stock Units under the 2015 Stock Incentive Compensation Plan to eligible employees.

Infosys not seeing any major disruption due to H-1B visa issue

Infosys CEO Salil Parekh said the number of people that require Infosys sponsorship for immigration is a minority. "The majority of the people don't require it from our perspective. Secondly, we've built a large number of centres and hubs that are focused on digital, innovation, technology and AI in the US," he said during the press conference.

"We have relationships with universities. We have a training facility there. With all of that in mind, we are clear today that we will work with our clients without any disruption to their services and into the future," he added.