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Infosys Demonstrates Robust Q3 Performance

Infosys, a global leader in next-generation digital services and consulting, has reported a strong performance in the third quarter of the fiscal year 2026. With revenues reaching a staggering $5,099 million, the company showcased a 1.7% year-on-year growth, along with a sequential growth of 0.6% when adjusted for constant currency (CC).

Salil Parekh, CEO and Managing Director of Infosys, stated, "Infosys delivered a strong Q3 performance demonstrating how our differentiated value propositions in enterprise AI, through Infosys Topaz, are consistently driving higher market share." He added that clients are increasingly viewing Infosys as a trusted AI partner due to its proven expertise and innovative capabilities. This collaborative approach has been integral in helping clients realize their business potential and unlock new value.

In terms of operating margin, the company reported an operating margin of 18.4%, while the adjusted operating margin saw a sequential increase of 0.2%, settling at 21.2%. Infosys also generated impressive free cash flow of $915 million, with an adjusted figure at $965 million, which represents a stellar 112.8% of adjusted net profit.

Notable Achievements in Deal Wins

A major highlight of the quarter was Infosys’ triumph in securing large deal wins totaling $4.8 billion, with a net new business percentage of 57%. The diversified growth across key industry sectors is reflective of client confidence in Infosys’ ability to deliver solutions that facilitate digital transformation.

Moreover, the company’s workforce expanded significantly with an addition of 5,043 employees during the quarter. This growth reflects Infosys’s commitment to nurturing talent and reskilling its human resource pool to drive future successes, especially in AI-driven sectors.

Financial Guidance and Expectations

For the upcoming fiscal year, Infosys has updated its revenue guidance to anticipate a growth rate between 3.0% and 3.5% in constant currency. The expected operating margin is projected to range between 20% and 22%, indicating a stable outlook despite current market conditions.

Client Collaborations Fueling Innovation

Infosys has been actively extending its partnerships to enhance digital transformation across various sectors. Collaborations with Metro Bank, Lufthansa Systems, and the NHS Business Services Authority highlight the company's capability to leverage technology in sectors like finance, aviation, and healthcare, respectively. Each of these initiatives demonstrates a shared vision for advancing operational efficiency and customer experience through innovative solutions.

• - Metro Bank is collaborating with Infosys to transform its finance operations using Workday solutions. CFO Marc Page emphasized that this partnership is crucial for their digital advancement and long-term growth strategy.

• - Lufthansa Systems has partnered with Infosys to establish a Global Capability Center, which focuses on innovation and enhancing customer experience while prioritizing aviation safety.

• - In the healthcare sector, the collaboration with NHSBSA aims to deliver a workforce management solution aligned with the 10-Year Health Plan, enhancing the NHS's ability to attract, retain, and support its staff through a data-driven approach.

Award Recognition and Trust in Expertise

Infosys’s commitment to excellence has been recognized with several awards in the industry, including accolades for workplace equality and innovation. The company's AI and cloud services have earned it leadership positions in various assessments, reinforcing its reputation in the domain. As noted by sector analysts, Infosys remains a trusted partner for organizations seeking to navigate their own digital transformations, making significant strides in delivering value through AI and advanced analytics.

Conclusion

As Infosys continues to grow and adapt to the dynamic market landscape, its focus on AI and digital transformation remains pivotal to its strategy. The impressive Q3 results, substantial deal wins, and positive operational metrics underscore the firm’s capability to drive innovation while improving client outcomes. Looking ahead, Infosys is poised to leverage its strengths to create new opportunities and foster sustainable growth across various industries.