Indian IT major Infosys is set to announce its Q4FY26 results on April 23, with investors closely watching not just earnings, but also management commentary on growth, deal momentum, and macro uncertainties. The March quarter comes at a time when global IT spending remains uneven, geopolitical risks are rising, and companies are navigating the impact of generative AI on pricing and demand.
The company, in an earlier exchange filing, said its board will meet on April 22-23 to approve audited standalone and consolidated results for the quarter and full year ended March 31, along with a recommendation for a final dividend.
Brokerages estimate net profit at ₹7,508.6 crore, up 4% YoY from ₹7,218 crore for Infosys. However, on a sequential basis, profit after tax is expected to decline 1.5% from ₹7,625 crore in Q3FY26. Revenue is projected to grow 13.7% YoY to ₹46,567 crore from ₹40,925 crore, while rising 2% QoQ from ₹45,479 crore.
What to expect from Infosys Q4
As Infosys gears up to announce its Q4FY26 results, expectations remain measured, with analysts factoring in seasonal weakness, macro headwinds, and evolving demand trends. While headline growth is expected to stay stable, the Street will closely track guidance, deal momentum, and commentary around global uncertainties, including the Iran war and GenAI-led disruption.
The company’s Q4 performance is expected to reflect modest growth. Revenue is likely to remain steady, though impacted by fewer billing days and seasonal softness, while margins are expected to hold largely stable despite cost pressures. Net profit growth is expected to remain moderate, with a sharp decline in other income anticipated following the completion of the buyback.
Kotak Institutional Equities expects USD revenue to decline around 1% QoQ to $5,070 million, primarily due to fewer billing days and seasonal weakness, although stable contribution is likely from third-party items. Margins are expected to remain steady as the benefits of rupee depreciation are offset by higher visa costs, while large deal wins are seen in the range of $2.5–2.75 billion.
“A 1% QoQ decline in USD revenue to $5,070 million is expected due to fewer billing days and seasonal weakness, with margins likely to remain stable as currency tailwinds offset visa cost pressures,” said Kotak Institutional Equities.
The brokerage expects Infosys to guide for 3–5% revenue growth including the Versent acquisition and 2.25–4.25% on an organic basis, implying a CQGR of 1.2–1.9% (0.8–1.6% organic). It added that geopolitical risks from the Iran war and deflationary impact of GenAI-led productivity programs could cap growth despite a healthy deal pipeline. Around 75 bps contribution from the Versent acquisition is factored into the guidance, with management earlier indicating the deal would close by the end of the fiscal year.
Meanwhile, Motilal Oswal Financial Services expects Infosys to report a 0.7% QoQ decline in constant currency revenue, near the top end of its guidance. Operating margins are likely to remain flat despite performance bonus payouts and visa cost pressures, supported by cost initiatives under Project Maximus and improving revenue per employee.
The BFSI segment is expected to remain resilient with some pockets of discretionary spending, while manufacturing may stay under pressure due to tariff-related uncertainty and delayed decision-making. West Asia is also likely to remain weak amid geopolitical tensions. The company is expected to provide an initial FY27 revenue growth guidance of 1.5–4.5% YoY in constant currency terms.
According to Equirius Securities, EBIT margins are expected to improve marginally by around 8 bps QoQ, supported by forex tailwinds and cost efficiencies under Project Maximus, along with lower variable pay. However, these gains may be partly offset by fewer billing days, absence of one-off gains seen in Q3, and higher visa costs.
On deal activity, large deal TCV is expected in the range of $2–3 billion. JM Financial believes deal wins will remain healthy and broadly in line with typical trends, while Equirius expects a material QoQ decline in large deal TCV following two mega deal wins in Q3FY26.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
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