Infosys Posts 28% QoQ Jump in Profit to ₹8,501 Cr in Q4 FY26

IT giant Infosys reported a stronger-than-expected performance in the fourth quarter of FY26, with consolidated net profit rising 27.8% quarter-on-quarter (QoQ) to ₹8,501 crore.

Revenue for the quarter stood at ₹46,402 crore, registering a 2% sequential increase, broadly in line with market expectations. While topline growth remained modest, profitability trends showed meaningful improvement across key metrics.

Margins Expand Strongly

At the operating level, Infosys reported earnings before interest and tax (EBIT) of ₹9,743 crore, up 16.6% sequentially. The EBIT margin expanded significantly to 21% from 18.4% in the previous quarter.

Profit before tax also rose 17% QoQ to ₹10,797 crore, supported by controlled expenses. Basic earnings per share came in at ₹21.01, compared with ₹16.17 in the previous quarter. The company also announced a final dividend of ₹25 per equity share for FY26.

FY27 Projections Turns Cautious

Infosys has issued a cautious projections for FY27, guiding for revenue growth of 1.5% to 3.5% in constant currency terms. This compares with its earlier guidance range of 3% to 3.5%, suggesting a softer near-term demand environment.

Notably, this is in-line with the expectations of Motilal Oswal's FY 27 guidance of revenue growth of 1.5-4.5% YoY in constant currency terms. The brokerage noted that exit growth rates for most large-cap IT firms now appear relatively favourable, with an organic YoY constant currency growth exit of 4.3% projected for Infosys. It also expected Indian IT companies to exercise caution in their outlook given the current geopolitical environment.

Ahead of the results, Infosys shares had already slipped nearly 3%, closing at ₹1,231.8 on the NSE.

Segment Mix Stable

The revenue mix remained broadly stable in the quarter ended Mar 31, 2026, with Financial Services contributing 28.0% compared to 28.2% in Dec 2025, Manufacturing at 15.9% compared to 16.7%, Energy, Utilities, Resources & Services at 13.2% compared to 13.2%, and Retail at 12.8% compared to 12.8%.

Headcount Declines; Attrition Edges Up

The company saw a sequential decline in its workforce during the March quarter, breaking a six-quarter streak of steady additions, with total headcount falling by 8,440 employees to 328,594. Despite the quarterly dip, the overall employee base remains higher on a YoY basis. Voluntary attrition in the IT services segment inched up to 12.6% from 12.3% in the previous quarter.