Infosys Posts 6% Profit Jump in Second Quarter But Cuts Annual Growth Target

Infosys has reported a 6.2 percent growth in its net profit to ₹7,823 crore for the second quarter of the 2027 financial year, compared with ₹7,364 crore during the same period last year. Total revenue for the quarter rose 10.7 percent to ₹49,244 crore from ₹44,490 crore.

Deals and Revenue

The technology major secured large deals worth $5.2 billion during the quarter, with 62 percent of those wins classed as net new. This total included a mega deal worth over $2 billion. AI-related revenue grew to reach 10.5 percent of total revenue, up from 8.2 percent in the previous year and 29 percent sequentially. Chief Executive Officer and Managing Director Salil Parekh stated that demand was particularly strong in financial services, energy and utilities, and manufacturing sectors.

Guidance and Workforce

Despite the deal wins, the company trimmed its full-year revenue growth projection to between 1 percent and 2 percent, down from its earlier forecast of 1.5 percent to 3 percent. Chief Financial Officer Jayesh Sanghrajka explained that the softer second quarter, ongoing pricing pressures, and weaker discretionary spending in retail and high-tech sectors prompted the revision. Infosys delivered an operating margin of 21 percent and announced an interim dividend of ₹26 per share, which is a 13 percent increase from last year. The firm also added 4,480 employees during the quarter, bringing its total headcount to 332,542 at the end of September while maintaining a voluntary attrition rate of 12.7 percent.

Context

IT services companies in India often adjust their annual growth guidance when global clients slow down their tech spending or demand lower prices due to new automation tools. Managing large workforces alongside shifting client demands in areas like artificial intelligence remains a central focus for major technology firms.