Infy cuts FY27 growth guidance

Q4 profit, revenue beat estimates

- POULOMI CHATTERJEE

IT MAJOR INFOSYS on Thursday forecast a revenue growth of 1.5-3.5% for FY27 in constant currency, reducing the lower end of guidance, compared with the previous quarter's 3-3.5%, factoring in global uncertainties and moderate impact from AI-led deflation.

The company's ADR was trading 5% lower in the US pre-market session.

However, the company reported a sequential increase in net profit and revenue for the January-March quarter, surpassing Bloomberg estimates for both.

Net profit rose by 27.8% quarter-on-quarter to ₹8,501 crore from ₹6,654 crore, above Bloomberg estimates of ₹7,496 crore. Meanwhile, total revenue from operations increased 2% sequentially to ₹46,402 from ₹45,479 crore, marginally higher than estimates of ₹46,135 crore.

Infosys managed to also meet its guidance for revenue growth in FY26 as growth held up at 3.1% on a year-on-year basis in terms of constant currency.

Earnings before interest and taxes (Ebit) was at ₹9,743 crore, a rise of 16.6% on a quarterly basis, beating estimates of ₹9,565 crore.