Infosys Reports Q1 Profit Rise But Trims FY27 Revenue Guidance

Infosys, India's second-largest IT services firm, reported a 12.3% year-on-year rise in consolidated profit to ₹7,769 crore for the April-June quarter of FY27. Revenue from operations also saw a healthy increase of 14% YoY, reaching ₹48,211 crore. Despite these gains, the company adopted a cautious outlook, trimming the upper end of its FY27 revenue growth guidance to 3% in constant currency terms, down from the previous 3.5%, citing macroeconomic uncertainty and a specific one-off client decision.

Alongside the financial results, Infosys announced a significant leadership change. Ashiss Kumar Dash has been appointed as the CEO designate. He is scheduled to assume the full responsibilities of CEO and Managing Director on April 1, 2027, marking a planned transition for the company as it navigates a complex global IT spending environment. This move is intended to provide stability and continuity for the firm's long-term strategic goals.

The broader technology landscape shows signs of cooling, particularly in venture capital. Funding for Indian startups dropped to $162 million across 17 deals in the fourth week of July 2026, a sharp decline from the $431 million recorded the previous week. While the first half of 2026 saw a 12% increase in total funding to $7.2 billion, the number of funding rounds has plummeted by 43%, indicating that investors are becoming more selective and focusing on larger, more established deals rather than early-stage ventures.