Infosys, the country’s second lead tech player, on Thursday reported a close to 12% dip in its fourth quarter (FY25) net profit to ₹ 7,033 crore, it had posted a net profit of ₹7,969 crore in the corresponding period a year ago.
Company’s revenues in Q4 grew to ₹40,925 crore, 7.9% increase from ₹37,923 crore in the same quarter in previous year. For the full year ended March 31, 2025, revenues in CC terms grew by 4.2% YoY, reported revenues at ₹162,990 crore, growth of 6.1% YoY, Operating margin at 21.1%, growth of 0.5% YoY. FY25 saw a marginal increase of 1.8% in profits to ₹26,713 crore.
During FY25, the company won large deals worth $11.6 billion, with 56% of net new clients, and the fourth quarter accounted for $2.6 billion.
Addressing a media conference here, Salil Parekh, CEO and MD said, Infosys was a resilient organisation with sharp focus on client-centricity and responsiveness to the market. ‘‘Our performance for the year has been robust in terms of revenues, expansion in operating margins and highest ever free cash generation.”
He further said the company’s depth in AI, cloud and digital and strength in cost efficiency, automation, and consolidation position itself well for the needs of its clients across the globe.
The company navigated through multiple headwinds in a challenging macro environment and also delivered the highest ever free cash flows, at $4.1 billion, in FY25, said Jayesh Sanghrajka, CFO.
In his commentary Mr. Parekh said, the company was seeing an uncertain market environment due to macroeconomic challenges and the impact was already evident in certain sectors including consumer products.
‘’We remain confident in deal wins, but we are seeing an uncertain environment. We have considered different market scenarios to put together the guidance. Guidance is what we anticipate in the market for some time,’‘ he added.
Based on the available market visibility, the tech firm pegged its FY26 revenue guidance at 0-3% in constant currency terms and operating margin at 20-22%. It recommended a final dividend of ₹22 per equity share for the FY25. “The Board has proposed a final dividend of ₹22, which along with the interim dividend, is an increase of 13.2% over last year.” elaborated Mr. Sanghrajka.
To hire 20,000 freshers
Despite choppy market conditions, the Bengaluru-based tech firm said it would hire 20,000 freshers during FY26 and it hired 15,000 freshers in the previous fiscal that closed on March 31,2025. Infosys reported a 14% attrition in Q4.
According to Sanghrajka, wage hikes were on track, increments were given in January for some and the remaining would be received in April.
Responding to a media query on firing of hundreds of trainees at its Mysore campus, the executives said, the company was only following processes that have been existing for years. These candidates were given multiple opportunities and those who could not pick up the required learning and succeed are now being supported with opportunities outside Infosys, they added.
₹50 crore ESOPs to Parekh
Infosys said it vested employee stock options (ESOPs) valued at around ₹50 crore to its CEO and MD, Salil Parekh during FY25., as per regulatory filing.
This sum would comprise annual performance-based stock incentives, under various performance plans such as equity ESG grants in the form of Restricted Stock Units (RSUs).
Acquires two small firms
Infosys said it has decided to make two small acquisitions, one in the U.S and another in Australia, as per a regulatory filing.
It signed a definitive agreement to acquire MRE Consulting Ltd., a technology and business consulting service provider, headquartered in Houston, Texas, in a cash deal of upto $36 million (including upfront and earnouts, excluding management incentives, and retention bonus).
MRE Consulting would bring a team of over 200 professionals with industry knowledge, consulting and deep technology experience in Energy/Commodity Trading and Risk Management (E/CTRM) platforms and ecosystems to Infosys. The acquisition is expected to close during the first quarter of fiscal year 2026, as per the filing.
Infosys also entered into a definitive agreement to acquire The Missing Link, an Australian cybersecurity services specialist firm with capabilities across the full stack of cyber solutions paying upto AUD 98 million (including upfront and earnouts, excluding management incentives, and retention bonus), as per regulatory filing.
This strategic investment would strengthen Infosys’ cybersecurity capabilities, while bolstering its presence in the fast-growing Australian market, and would reaffirm its commitment to global clients to navigate their digital transformation journey, the filing said.
Published – April 17, 2025 08:31 pm IST
