Robust Q2 large deal TCV at $5.2 billion with 62% net new
FinTech BizNews Service
Mumbai, 26 October, 2026: Infosys (NSE, BSE, NYSE: INFY), a global leader in AI-first business consulting and technology services, delivered $5,145 million in Q2 revenues, year on year growth of 1.5% and sequential growth of 1.2% in constant currency. Operating margin was stable at 21.0%. EPS growth was 8.7% year on year in rupee terms. TCV of large deal wins was $5.2 billion, with 62% net new. H1 revenues grew at 1.9% year on year in constant currency.
Operating margin for H1 was at 21.0%. “We had strong large deals of $5.2 billion, including a mega deal of over $2 billion, reinforcing our position as a trusted partner in the marketplace when clients embark on large and complex transformation programs. Our AI revenue was at 10.5% and grew 29% quarter-on-quarter. As enterprises move to AI adoption at scale, the strong growth in AI revenues is a recognition of our differentiated market positioning and client confidence,” said Salil Parekh, CEO and MD. “We are advising some of the largest global enterprise on their AI strategy and continue to invest in deep domain and technology capabilities to bring new ideas and an integrated ecosystem to help businesses unlock AI value at scale,” he added.
Guidance for FY 27:
• Revenue growth of 1%-2% in constant currency
• Operating margin of 20%-22%
Key highlights:
For the quarter ended September 30, 2026
• Revenues in CC terms grew by 1.5% YoY and 1.2% QoQ
• Reported revenues at Rs49,244 crore, growth of 10.7% YoY • Operating margin was stable at 21.0%
• Basic EPS at Rs19.32, growth of 8.7% YoY
• FCF at Rs8,898 crore, decline of 8.1% YoY; FCF conversion at 113.5% of net profit
For the six months ended September 30, 2026
• Revenues in CC terms grew by 1.9% YoY
• Reported revenues at Rs97,454 crore, growth of 12.3% YoY
• Operating margin was stable at 21.0%
• Basic EPS at Rs38.51, growth of 11.7% YoY
• FCF at Rs17,949 crore, growth of 4.3% YoY; FCF conversion at 115.0% of net profit
“We delivered operating margins of 21.0% in Q2 amidst heightened volatility. Focus on cost and operational efficiency measures while making the required investments, have led to stable margins,” said Jayesh Sanghrajka, CFO. “Free cash flow of $928 million, representing 113.3% of net profit, underscores the financial strength of the business. The Board has announced an interim dividend of Rs26 per share, an increase of 13% from last year,” he added.
