Infosys Q1 FY27 Preview: IT services major Infosys is expected to report a mixed set of earnings for the June quarter (Q1 FY27), with revenue likely to grow on the back of steady client demand and contributions from recent acquisitions, while profit is expected to decline sequentially.
Infosys will announce its financial results for the June quarter (Q1 FY27) on Thursday, July 23, 2026, after market hours. The company is expected to declare its earnings at around 3:45 pm IST. This will be followed by a press conference at 4:30 pm IST and an earnings conference call with analysts and investors at 5:30 pm IST.
Investors will closely monitor the company’s management commentary on artificial intelligence (AI), large deal wins, demand trends and the impact of global macroeconomic uncertainties, including the ongoing Middle East crisis, when the Bengaluru-based company announces its quarterly results.
Revenue seen growing, profit may decline
Infosys is estimated to post revenue of USD 513.5 crore for the June quarter, up 1.9 per cent from USD 504 crore reported in the March quarter.
In rupee terms, revenue is expected to rise 3.1 per cent quarter-on-quarter to Rs 48,582 crore, compared with Rs 46,402 crore in Q4 FY26.
Earnings before interest and tax (EBIT) are estimated at Rs 10,287 crore, an increase of 6.8 per cent from Rs 9,743 crore in the previous quarter. EBIT margin is expected to improve slightly to 21.2 per cent from 21 per cent.
However, profit after tax (PAT) is likely to decline 6.8 per cent sequentially to Rs 7,926 crore, compared with Rs 8,501 crore reported in the March quarter.
Acquisitions, BFSI demand may support growth
Analysts expect the company’s revenue growth to be supported by the contribution from the Optimum acquisition, healthy demand from the banking, financial services and insurance (BFSI) segment and the absence of wage hikes during the quarter.
Margins are also expected to benefit from cost efficiencies arising from the Maximus acquisition.
Infosys is expected to report total contract value (TCV) wins of around USD 2.5 billion to USD 3 billion during the quarter. Analysts believe the positive impact of the depreciation in the rupee may be largely offset by higher costs associated with recent acquisitions.
AI commentary, demand outlook to remain key
Apart from the financial performance, investors are expected to focus on the management’s commentary on artificial intelligence and its impact on client spending, pricing and demand.
The Street will watch whether AI-led productivity improvements are resulting in pricing pressure or creating fresh business opportunities for the company.
Management’s outlook on the impact of the ongoing Middle East crisis will also remain in focus, particularly its effect on client spending, project execution and demand across key international markets.
Investors will also look for any commentary on discretionary spending trends, deal pipeline and whether Infosys plans to maintain or revise its FY27 revenue growth guidance.
FY26 ended on a strong note
Infosys had reported a 20.8 per cent increase in consolidated net profit to Rs 8,501 crore in the January-March quarter of FY26 from Rs 7,033 crore in the corresponding period a year ago.
Revenue from operations rose 13.4 per cent year-on-year to Rs 46,402 crore in the March quarter from Rs 40,925 crore a year earlier. For the full financial year 2025-26, the company’s net profit increased 10.2 per cent to Rs 29,440 crore, compared with Rs 26,713 crore in FY25.
Annual revenue from operations rose 9.6 per cent to Rs 1,78,650 crore during FY26. For FY27, Infosys has guided for constant currency revenue growth of 1.5 per cent to 3.5 per cent, with investors expected to closely watch whether the company maintains this outlook.
Stock under pressure in 2026
Ahead of the earnings announcement, Infosys shares were trading at Rs 1,051.20, down Rs 22.30 or 2.08 per cent, at around 12:38 pm on Wednesday.
The stock has fallen 35.44 per cent so far in 2026, significantly underperforming the Nifty 50, which has declined 8.33 per cent during the same period. Over the past one week, the stock has slipped 2.24 per cent, while it has lost 1.24 per cent in the last one month.
Infosys’ market capitalisation stood at Rs 4,26,938.44 crore. The stock had touched its 52-week high of Rs 1,728 on February 3, 2026. At the current price, it is trading at Rs 676.80, or around 39.2 per cent, below that level.
Based on the current share price and market capitalisation, Infosys was valued at around Rs 7 lakh crore at its 52-week high. This indicates that the company has lost nearly Rs 2.75 lakh crore in market value from its peak.