Infosys sees 5% rise in Q2 net, raises revenue outlook

Revenue for the quarter rose to Rs 40,986 crore from Rs 38,994 crore a year ago, showing a rise of 5.1 per cent. The company has revised its FY25 revenue guidance to 3.75–4.5 per cent. The upward revision of revenue guidance for the fiscal comes on the back of mega deals. The company had earlier given a revenue growth guidance of 3-4 per cent for FY25.

Infosys shares gained 2.58 per cent to Rs 1,969.50 on the BSE on Thursday following the results announcement.

“We had strong growth of 3.1 per cent quarter-on-quarter in constant current in Q2. The growth was broad based with good momentum in financial services. This stems from our strength in industry expertise, market leading capabilities in cloud with Cobalt and generative AI with Topaz, resulting in growing client preference to partner with us,” said Salil Parekh, CEO and MD, Infosys. “Our large deals at $2.4 billion in Q2 reflect our differentiated position. I am grateful to our employees for their unwavering commitment to our client as we further strengthen our market leadership,” he said.

The company said revenues in constant currency terms grew by 3.3 per cent year-on-year and 3.1 per cent quarter-on-quarter. The operating margin was at 21.1 per cent, a decline of 0.1 per cent year-on-year and flat on a quarter-on-quarter basis.

“We continue to focus on accelerating revenue growth with a sharp focus on margin performance. Operating margins for the quarter was at 21.1 per cent,” said Jayesh Sanghrajka, CFO, Infosys.