IT services major Infosys kicked off FY27 on a strong note, reporting a 12.2% year-on-year increase in consolidated net profit to ₹7,769 crore for the first quarter ended June 30, 2026, driven by robust demand for artificial intelligence (AI)-led transformation services and large deal wins.
The country’s second-largest IT services company posted consolidated revenue of ₹48,211 crore, up 14% from ₹42,279 crore in the corresponding quarter of the previous fiscal.
AI momentum boosts revenue growth
Infosys said the growing adoption of enterprise AI solutions is translating into higher revenues and market share gains, with large deal wins increasingly centred around its AI platform, Infosys Topaz.
Infosys CEO & MD Salil Parekh said AI-led transformation has emerged as a key growth driver for the company.
“AI momentum is now rapidly converting into revenue, which demonstrates how Infosys’ differentiated enterprise AI value proposition is translating into consistent market share gains. Strong large deal wins, powered by Infosys Topaz, reinforce client confidence in our ability to be the strategic partner of choice for AI transformation driving tangible business value,” he said.
Parekh added that strategic partnerships with leading AI companies are enabling Infosys to help clients improve productivity while unlocking new growth opportunities.
Margins remain resilient
Despite an uncertain global business environment, Infosys maintained an operating margin of 21.1%, reflecting disciplined execution and operational efficiency.
Chief Financial Officer Jayesh Sanghrajka said the company continues to generate strong cash flows while investing in future growth.
“Our resilient margins of 21.1% and consistent strong cash generation reflect the strength of our business model, disciplined execution and continued focus on operational excellence in a challenging business environment,” he said.
He added that Infosys will continue investing in AI capabilities, talent and digital platforms to improve productivity and create long-term shareholder value.
Major global partnerships
During the quarter, Infosys expanded its strategic collaboration with Mercedes-Benz Group AG, transitioning one of the automotive industry’s largest hybrid cloud and data centre environments to an AI-led operating model using Infosys Topaz and Infosys Cobalt.
The company also partnered with Nokia to strengthen product engineering capabilities across its core network portfolio, helping accelerate innovation and improve execution efficiency.
In the banking sector, Infosys signed a seven-year collaboration with Australia’s Bendigo Bank to modernise its technology landscape and enhance digital experiences for its 2.9 million customers.
The company said these strategic engagements reinforce its growing position as a preferred AI transformation partner for global enterprises across industries.