Infosys reported a 6% year-on-year rise in consolidated net profit to Rs 7,823 crore for the second quarter of FY27, but lowered its full-year revenue growth guidance after citing a challenging demand environment. The Bengaluru-based IT services company revised its constant-currency revenue growth outlook to 1-2% from the earlier 1.5-3% range.
Revenue from operations rose 11% year-on-year to Rs 49,244 crore in the quarter, compared with Rs 44,? Wait—source does not provide prior revenue figure. On a sequential basis, revenue increased 2% from Rs 48,211 crore in the June quarter, while net profit edged up 0.7% from Rs 7,769 crore. In dollar terms, revenue stood at $5.15 billion, up 1.3% year-on-year and 1.2% sequentially.
The company retained its full-year operating margin guidance of 20-22%. Operating profit increased 10.4% year-on-year to Rs 10,330 crore, while the operating margin stood at 21%, unchanged from a year earlier and marginally below the 21.1% recorded in the June quarter.
Infosys also reported large deal bookings worth $5.2 billion, including a mega deal valued at more than $2 billion. New business accounted for 62% of the total contract value. Chief executive and managing director Salil Parekh said the bookings reinforced Infosys’ position as a partner for clients undertaking large and complex transformation programmes.
Artificial intelligence services were another growth area. Infosys said AI revenue increased 29% sequentially and accounted for 10.5% of total revenue during the quarter. Parekh attributed the performance to enterprise demand for AI adoption, automation, productivity improvements and technology-led transformation.
Performance remained uneven across business segments. Life sciences recorded the strongest constant-currency growth at 32.5% year-on-year, followed by energy, utilities, resources and services at 7.3%. Financial services grew 2.1% and communications 4.1%. Hi-tech revenue declined 17.3%, retail fell 7.7% and manufacturing declined 0.7% in constant-currency terms.
The geographical performance was similarly mixed. Europe grew 4.6% in constant-currency terms, while North America, which contributed 54.6% of revenue, declined 1.5%. Infosys reported free cash flow of Rs 8,898 crore, down 8.1% year-on-year, and consolidated cash and investments of Rs 45,232 crore at the end of September.
The company added 4,480 employees during the quarter, taking total employee strength to 3,32,542 from 3,28,062 in June. Voluntary attrition in IT services declined to 12.7% from 13%. Infosys also declared an interim dividend of Rs 26 per share and fixed November 3, 2026 as the record date. For the first half of FY27, net profit rose 9% to Rs 15,592 crore and revenue increased 12% to Rs 97,454 crore.
