Resilient Operating Margin of 21.1%
FinTech BizNews Service
Mumbai, July 23, 2026: Infosys (NSE, BSE, NYSE: INFY), a global leader in AI-first business consulting and technology services, delivered $5,082 million in Q1 revenues, year on year growth of 2.4% and sequential growth of 1.0% in constant currency. Operating margin was at 21.1%, sequential increase of 0.2%. EPS growth was 14.9% year on year in rupee terms. TCV of large deal wins was $3.6 billion, with 61% net new.
“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”, said Salil Parekh, CEO and MD.
“With strategic partnerships established with all leading AI companies, we are bringing the power of the innovation ecosystem to help clients accelerate operational productivity and unlock growth opportunities. We remain committed to reskilling our employee base across levels and this sustained focus has positioned Infosys as a frontier organization with deep expertise accelerating AI journeys for some of the largest enterprises the world over”, he added.
Guidance for FY27:
• Revenue growth of 1.5%-3.0% in constant currency
• Operating margin of 20%-22%
Key highlights:
• Revenues in CC terms grew by 2.4% YoY and by 1.0% QoQ
• Reported revenues at Rs48,211 crore, growth of 14.0% YoY and 3.9% QoQ
• Operating margin at 21.1%, increase of 0.3% YoY and 0.1% QoQ
• Basic EPS at Rs19.19; increase of 14.9% YoY
• FCF at Rs9,051 crore; FCF conversion at 116.4% of net profit
“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”, said Jayesh Sanghrajka, CFO. “We are accelerating investments in AI, talent, and platforms to drive future growth and remain committed to improving productivity, expanding operating leverage and maintaining the financial flexibility needed to capitalize on emerging opportunities while delivering sustainable shareholder value”, he added.
Client Wins & Testimonials
• Infosys renewed its long-standing collaboration with Mercedes-Benz Group AG, moving one of the automotive sector’s largest hybrid cloud and data center operations to an AI-led operating model. As part of the extended engagement, Infosys will embed AIOps and agentic AI across the IT landscape, powered by Infosys Topaz and Infosys Cobalt, to further enhance reliability, efficiency and innovation.
Bobi Milosevic-Lican, Vice President Tech Infrastructure & Operations Mercedes-Benz AG, said, “Infosys has been a trusted collaborator in supporting our global IT infrastructure and managing complex enterprise technology environments at scale. As we continue to modernize our technology landscape and advance towards an AI-enabled operating model, we value Infosys’ deep technology expertise, strong delivery capabilities and ability to drive innovation across large and complex operations. This helps ensure that our infrastructure not only runs reliably today but is positioned to power our ongoing transformation journey.”
• Infosys collaborated with Nokia to strengthen product engineering capabilities and accelerate innovation across its network portfolio. Kal De, SVP, Core Networks, Mobile Infrastructure Group, Nokia, said, "Nokia and Infosys's strategic partnership focuses on strengthening product engineering across Nokia's core networks portfolio. The collaboration provides access to specialized engineering expertise, helping Nokia accelerate product evolution, improve execution efficiency, and dynamically respond to new market requirements."
• Infosys collaborated with Bendigo Bank to help build a future-ready bank. This 7-year collaboration will allow accelerated innovation and simplification to deliver better experiences for Bendigo Bank’s 2.9 million customers. Richard Fennell, Chief Executive Officer, Bendigo Bank, said, “Partnerships are fundamental to how Bendigo Bank innovates, and with this access to Infosys’ global capabilities, software engineering and AI talent, our Bank has significantly greater capacity to drive innovation.
• Infosys expanded its strategic collaboration with DNB Bank ASA to modernize financial crime operations. Elin Sandnes, COO and Group Executive Vice President Technology & Services, DNB, said, “Protecting customers and the integrity of the financial system requires us to continuously raise the bar on detection and investigation. By working closely with Infosys and leveraging NICE Actimize’s X Sight Enterprise platform, we are enhancing our ability to detect, investigate, and prevent complex financial crime more effectively, while supporting our long-term digital transformation and regulatory compliance objectives.”
• Infosys collaborated with Sentara to unlock AI value and scale enterprise AI adoption in healthcare services. Jamisson Fowler, SVP and Chief Digital Officer, Sentara, said, “As we continue to advance our digital strategy, working with Infosys enables us to take a thoughtful and scalable approach to AI adoption across the enterprise. This collaboration helps ensure AI is deployed in ways that genuinely improve how our hospital teams work supporting efficiency, care delivery and the communities we serve while remaining secure, compliant and patient centered.”
• Infosys expanded collaboration with GlobalFoundries to accelerate AI-driven transformation of IT operations. Vishal Mehra, Chief Information Officer, GlobalFoundries, said, “The renewed collaboration marks a significant step forward in GF’s journey to modernize IT operations and achieve higher levels of efficiency, resilience and user experience. As a leading global semiconductor manufacturer, we are committed to advancing our digital transformation to drive greater reliability and value. Collaborating with Infosys will help us equip our teams with next generation capabilities to accelerate this transformation journey.”
• Infosys collaborated with Spark New Zealand to accelerate AI-led transformation across its technology delivery and digital operations. Penny White, General Manager, Business
