Infosys Q2 Result for FY26 are out, and India’s second-largest IT company has delivered a strong performance despite a cautious global tech environment. Backed by steady margins, a double-digit rise in profit, and major deal wins, infosys continues to show resilience amid uncertain global demand.
Key Highlights of infosys Q2 Results
- Net profit: ₹7,364 crore – up 13.2% year-on-year
- Revenue Margin: ₹44,490 crore – growth of around 9% YoY
- Operating Margin: 21%, largely stable compared to last year
- Free Cash Flow: ₹9,677 crore, up 38% YoY
- Dividend: Interim dividend of ₹23 per share declared
- Large Deal Wins: Total Contract Value (TCV) worth $3.1 billion, with 67% being new contracts
Infosys’ performance beat market expectations, especially in profit and revenue growth. The company maintained its operating margins despite higher wage costs and global demand pressures.
Infosys Q2 Guidance and Market Outlook
Infosys has narrowed its full-year revenue growth guidance to 2-3% (in constant currency). This shows a realistic approach from the management, acknowledging slower tech spending by global clients.
However, the company’s leadership remains confident medium-term growth, pointing to strong large-deal momentum and healthy deal pipelines.
infosys also continues to focus heavily on AI-driven digital transformation, automation, and cloud migration, which are expected to drive future revenue streams.
Major Developments in Q2
- UK NHS Deal Win One of the biggest highlights this quarter is Infosys’ £1.2-billion deal with the Uk’s National Health Service (NHS) to modernize its workforce management and payroll systems. this 15-year contract will strengthen Infosys’ position in the UK public sector and ensure long-term revenue visibility.
- ₹18,000 Crore Share Buyback Plan Infosys also announced its largest share buyback ever – worth ₹18,000 crore at ₹1,800 per share.This move signals confidence in its long-term business prospects and aims to enhance share holder value.
- Employee Headcount Growth Infosys’ total headcount rose to 3,32,991 employee, up from 3,23,788 in the previous quarter. The company continues to invest in new-age tech talent and upskilling, especially in AI and generative technology.
What’s Driving Infosys’ Growth
- Strong client relationship across North America and Europe
- AI and digital transformation projects gaining traction
- Robust case generation, giving room for dividends and buybacks
- New client acquisitions through large, long-term deal
Infosys’ ability to balance profitability and growth amid a global IT slowdown shows strong execution and disciplined cost management.
Challenges Ahead
Even though infosys Q2 Result show resilience, the company faces a few challenges:
- Muted global tech spending: Many international clinet are still cautious with new IT budgets.
- Currency volatility: Global exchange rate movements can impact profitability.
- Execution risk: Large deals like the NHS contract require strong delivery performance to maintain margins.
- Talent cost pressures: Rising wages and attrition could affect future margin if not managed carefully.
Expert and Market Reactions
Market analysts large welcomed Infosys’ Q2 performance. Most experts see the results as “steady and stable” quarter, with clear signals of recovery in key markets like the U.S. and U.K. .
Brokerage firms expect Infosys to maintain healthy case flow, focus on AI-based opportunities, and gradully return to higher growth by FY27.
Final Thoughts
The Infosys Q2 Results 2025 highlight the company’s strength in maintaining performance under pressure. with strong deal wins, improved profit, and the largest buyback in its history. infosys continues to stand out among indian IT peers.
While the management’s cautious growth outlook reflects near -term global challenges, its focus on digital, cloud and AI transformation give the company a strong foundation for the future.
for investors and tech watchers, the few quarters will be crucial to see how infosys converts large deal pipeline into consistent revenue growth.
FAQs
What are the key highlights of Infosys Q2 Results 2025?
Infosys Q2 Results 2025 show a net profit of ₹7,364 crore (up 13% YoY) and revenue of ₹44,490 crore. The company also declared an interim dividend of ₹23 per share and secured major deals, including the UK NHS contract.
How much revenue did Infosys generate in Q2 FY26?
Infosys generated ₹44,490 crore in revenue during Q2 FY26, marking an 8–9% year-on-year growth despite global IT spending challenges.
What is Infosys’ profit growth in Q2 FY26?
The company reported a 13.2% increase in net profit, reaching ₹7,364 crore, showing strong operational resilience and cost management.
Has Infosys announced any dividend in Q2 FY26?
Yes, Infosys declared an interim dividend of ₹23 per share, reflecting healthy cash flows and shareholder-friendly policies.
Did Infosys win any major deals in Q2 FY26?
Yes, Infosys secured a £1.2 billion deal with the UK NHS to modernize its workforce management and payroll system over 15 years. Total large-deal TCV in Q2 was $3.1 billion, with 67% being new contracts.
What is Infosys’ guidance for FY26?
The company has narrowed its full-year revenue growth guidance to 2–3% (in constant currency), reflecting cautious global tech spending, but expects margins to remain stable around 20–22%.
How is Infosys performing compared to peers?
Infosys Q2 Results show strong performance vs peers like TCS, HCL, and Wipro, particularly in profit growth and large deal wins. Analysts consider it one of the most resilient IT companies in India this quarter.
What are the challenges for Infosys in the coming quarters?
Key challenges include global tech spending slowdown, currency fluctuations, execution of large deals, and managing talent costs and attrition while sustaining margins.