Infosys, the Indian IT services multinational, delivered a stronger-than-expected performance for the first quarter of FY26, reporting healthy growth in revenue and profit, even as voluntary attrition edged higher. The company also provided updates on headcount, hiring trends, and deal wins during the period.
For the quarter ended 30 June, 2025, Infosys reported an 8.7 per cent year-on-year rise in consolidated net profit to Rs 6,921 crore, compared to Rs 6,368 crore in the same period last year.
Revenue from operations grew 7.53 per cent to Rs 42,279 crore, up from Rs 39,315 crore in Q1 FY25, driven by higher working days and strong performance in the Banking, Financial Services, and Insurance (BFSI) segment. The BFSI vertical recorded its fifth consecutive quarter of growth, buoyed by major deal wins from clients including Bank of Sydney, Metro Bank, and UK-based AIB.
The company maintained its operating margin forecast at 20–22 per cent for FY26 and narrowed its full-year revenue guidance to 1–3 per cent, signalling confidence in a modest recovery. In Q1, Infosys achieved 2.6 per cent sequential growth and held margins at 20.8 per cent, with earnings per share rising 8.6 per cent year-on-year. Jayesh Sanghrajka, CFO, also noted that cash flow conversion exceeded 100 per cent for the fifth consecutive quarter.
On the talent front, Infosys saw its voluntary attrition rise to 14.4 per cent on a trailing twelve-month basis, up from 14.1 per cent in March 2025 and 12.7 per cent a year ago. Hiring, however, remained steady. The total employee count stood at 3,23,788 as of 30 June, reflecting a net addition of 210 during the quarter and a year-on-year increase of 8,456 employees.
Sanghrajka reaffirmed the company’s hiring outlook, noting peak utilisation at 85 per cent and emphasising ongoing plans to recruit in alignment with earlier forecasts.
Salil Parekh, CEO, Infosys, highlighted the company’s strong enterprise AI capabilities and deep client relationships, underscored by $3.8 billion in large deal wins during the quarter. The leadership team reiterated its focus on strategic investments under Project Maximus, aiming to sustain profitable growth and enhance shareholder value.
