Tech giant Infosys reported strong Q1FY26 numbers with net profit climbing 8 per cent YoY and revenue increasing by 7.54 per cent in the quarter.
What was particularly striking is that the company increased the lower band of the FY26 revenue guidance. The margin guidance, of course, was maintained.
Here are the 5 key highlights from Infosys’ Q1FY26 results:
Q1 Revenue and Profit
Infosys reported Rs 42,279 crore revenue from operations in Q1FY26, up 7.54 per cent YoY, Vs Rs 39,315 crore posted during the same period in FY25. This is particularly striking as the revenue for most other tech majors came in flat. TCS Q1 came in at Rs 63,437 crore, up 1.3 %. Wipro reported 0.7% at Rs 22,134 crore, and HCL Tech’s revenue came in at Rs 30,349 crore.
Infosys’ net profit for Q1FY26 jumped 8.63 per cent YoY to Rs 6,924 crore compared to a profit of Rs 6,374 crore during the same period last fiscal.
FY26 Growth guidance
Infosys raised the revenue growth guidance to 1-3 per cent in Q1FY26 from earlier projection of 0-3 per cent. What’s striking is that the lower end of the revenue guidance was increased, indicating improved growth prospects going forward. The tech major kept the margin guidance at 20-22 per cent.
Infosys Q1 clients and deal wins
As for deal wins, Infosys secured large deal wins worth $3.8 billion in Q1, with 55 per cent of it being net new. The company announced new collaborations with AIB, E.ON, DNB Bank, Spark New Zealand, and Yorkshire Building Society.
Infosys, however, witnessed a decline in the total client count in the quarter. The company’s total active client number decreased from 1869 in Q1FY25 to 1861 in Q1FY26.
Infosys Q1 attrition rate
Infosys reported a 14.4 per cent voluntary attrition rate in the first quarter of the fiscal year. Last year, in Q1FY25, the company’s voluntary attrition rate stood at 12.7 per cent.
The company’s total employee count stood at 3,23,788 in Q1FY26, against a total employee headcount of 3,15,332 in Q1FY25.
Operating margin decline
Infosys reported a decline in its operating margins in the quarter, both on a YoY and QoQ basis. The company’s operating margins stood at 20.8 in Q1FY26, declining 0.3 per cent YoY as it stood at 21.1 per cent in Q1FY25.
In Q4FY26, Infosys’ operating margin stood at 21 per cent, hence a 0.2 per cent QoQ decline.