Infosys Q2 Results: Net Profit Up 6% YoY to ₹778 Crore
Infosys reported a 6% YoY net profit rise to ₹7,823 crore for Q2 FY27, with revenue up 11% YoY. The company lowered its FY27 revenue growth guidance to 1-2% in constant currency. Operating margin remained stable at 21%, and AI revenue grew 29% sequentially. Infosys declared an interim dividend of ₹26 per share. The company cited a challenging demand environment for the revised guidance.
How this was made

The 30-second read
Why it matters
The earnings release provides fresh profit numbers and a downward revision of revenue growth, which is likely to influence short‑term price action and sector sentiment.
Market read
First‑report earnings and guidance update for a large‑cap IT services firm; immediate relevance for traders holding or shorting INFY ADRs.
What to watch
Large $5.2 bn deal pipeline and AI services expansion may drive future earnings beyond current guidance.
Background
Infosys is a leading Indian IT services provider with significant exposure to AI and cloud projects. The FY27 guidance cut reflects a softer demand environment.
Ticker impact
Infosys reported Q2 FY27 net profit up 6% YoY and cut FY27 revenue growth guidance to 1-2% constant currency.
likely downside as investors price in weaker revenue outlook
Guidance reduction is a material change; market typically reacts negatively to lower growth expectations for a large-cap IT services firm.
Market effects
May weigh on broader Indian IT services sector and related export‑oriented tech stocks.
Potential drag on Indian equity indices, especially NIFTY IT.
Limited; primarily affects investors with exposure to Infosys ADRs and global IT services funds.
Counterpoint
The strong AI revenue growth and stable margins could offset guidance cut, supporting a buy‑on‑dip thesis.
Key entities
- ExecutiveSalil Parekh
CEO and MD of Infosys, quoted on AI revenue growth.
- ExecutiveJayesh Sanghrajka
CFO of Infosys, commented on margin guidance.


