Tag Infosys Earnings

Infosys Ltd
Infosys Reports Weak Q4 FY25 Results: Profit Declines 12%, FY26 Growth Guidance Stays Low

Business and Industry Overview: 

Infosys Ltd is a big technology company from India. It works in many countries. Infosys gives business consulting, IT services, and outsourcing. The company started in 1981. Its main office is in Bengaluru. Infosys works in over 55 countries. It helps with software, cloud, AI, and digital services. It has products like Finacle (for banks) and EdgeVerve (for businesses). On 24 August 2021, Infosys became the fourth Indian company to reach a market value of 100 billion US dollars. In 2024, Infosys became the second-biggest Indian IT company. This is by money earned and company size. Infosys has over 3.4 lakh employees. Most of them work in India. The CEO is Salil Parekh. The Chairman is Nandan Nilekani. In the last year, Infosys made more than 19 billion US dollars. Its shares are traded in NSE, BSE, and NYSE. In April 2025, the share price was about ₹1,387. Infosys also had some problems. It was accused of visa fraud and tax fraud in the United States. It was also blamed for bad government websites. Still, Infosys is a strong and famous company. It is known for its global work and IT services. 

Latest Stock News: 

On April 17, 2025, Infosys shares fell by 1.5% before it announced its January–March 2025 quarter results. The stock has dropped 16% since the start of 2025. Infosys reported revenue of ₹409.25 billion (around $4.79 billion), which was 7.9% higher than last year but lower than what experts expected. Profit was ₹70.33 billion, 11.8% less than last year, but still better than predictions. Infosys got new deals worth $2.6 billion this quarter, down from $4.5 billion last year. The company said clients are spending less because of global money problems and trade issues. For the next year, Infosys expects its income to grow only 0% to 3%. Infosys also announced two new deals. It will buy MRE Consulting, a US-based company, for $36 million. MRE gives tech and business advice and will bring 200 skilled workers. This will help Infosys grow in energy trading and risk management. Infosys will also buy The Missing Link, a cybersecurity company, for A$98 million. Both deals are expected to finish by June 30, 2025. 

Segmental information: 

Infosys works in different business areas: 

  1. Financial Services (BFSI): This area helps banks, insurance companies, and financial firms with digital banking, payments, and risk management. 
  1. Retail, Consumer Goods, and Logistics: Infosys helps retail stores and consumer goods companies with e-commerce, supply chain, and customer services. 
  1. Manufacturing: Infosys helps manufacturing companies improve their production and processes. It offers automation and product management services. 
  1. Energy, Utilities, Resources, and Services: This area works with companies in energy, utilities, and mining. Infosys helps them with digital solutions, data analysis, and sustainability. 
  1. Communication, Media, and Technology: Infosys serves telecom, media, and tech companies. It helps them with cloud services, network management, and content handling. 
  1. Life Sciences and Healthcare: Infosys helps healthcare and life sciences companies with patient care, clinical trials, and health data management. 
  1. Hi-Tech: Infosys works with technology companies to help with software development and IT management. 
  1. Others: This includes smaller areas like government projects, education, and public services. 

Subsidiary Information: 

Infosys has several subsidiaries that help it provide different services. Some important subsidiaries are: 

  1. EdgeVerve Systems: This company makes software for businesses. It has products like Finacle, which is used by banks, and AssistEdge, which helps businesses automate their tasks. 
  1. Infosys BPM: Infosys BPM provides business outsourcing services. It helps companies with things like customer service, managing finances, and supply chain. 
  1. Infosys Consulting: This subsidiary gives management advice to businesses. It helps them with strategy, digital change, and improving business operations. 
  1. Panaya: Panaya helps businesses automate and update their software systems to make them more efficient. 
  1. Kallidus: Kallidus provides training solutions for companies. It helps businesses train their employees using online tools. 
  1. Skava: Skava helps companies improve their online stores. It makes better digital shopping experiences for customers. 

Q4 Highlights: 

  • Infosys reported a revenue of ₹409.25 billion ($4.79 billion), marking a 7.9% increase year-on-year. 
  • The net profit for Q4 was ₹70.33 billion, reflecting an 11.8% decrease compared to last year. 
  • Infosys secured new deals worth $2.6 billion, which is $1.9 billion lower than the $4.5 billion in new deals last year. 
  • Infosys noted that client spending has reduced due to global economic slowdown and trade issues. 
  • Infosys expects revenue growth of 0% to 3% for FY26. 
  • Infosys announced the acquisition of MRE Consulting for $36 million and The Missing Link for A$98 million, expected to close by June 30, 2025. 

Financial Summary: 

Amount in ₹ Crore Q4 FY24 Q4 FY25 FY23 FY24 
Revenue 37,923.00 40,925.00 153,670 162,990 
Expenses 29,139.00 31,051 117,245 123,754 
EBITDA 8,784 9,874 36,425.00 39,236.00 
OPM 23% 24% 24% 24% 
Other Income 2,729 1,190 4,711 3,600 
Net Profit 7,975.00 7,038.00 26,248 26,750 
NPM 21.03 17.20 17.08 16.41 
EPS 19.2 16.93 63.2 64.32