Infosys, a global leader in digital services and consulting, has kicked off FY26 with impressive Q1 results. The company reported $4,941 million in revenues, showing 3.8% year-on-year growth and 2.6% sequential growth in constant currency terms. These numbers demonstrate Infosys’ continued momentum in the enterprise AI space, positioning it as a dominant player in the technology sector.
The company’s operating margin stood firm at 20.8%, while free cash flow generation remained robust at $884 million. Large deal wins totaled $3.8 billion, with more than half coming from new clients. Return on equity saw significant improvement, jumping 140 basis points to 30.4%.
Salil Parekh, CEO and MD, attributed this performance to the company’s enterprise AI capabilities and strategic client consolidation. “Our large deal wins reflect our distinct competitive positioning and deep client relationships,” Parekh noted. The company’s guidance for FY26 remains optimistic, projecting 1%-3% revenue growth in constant currency and maintaining operating margins between 20%-22%.
CFO Jayesh Sanghrajka highlighted the company’s financial discipline, stating “Cash flow conversion was well above 100% for the fifth consecutive quarter.” He credited Infosys’ proactive hedging strategy for effectively managing currency volatility impacts.
Client collaborations underscore Infosys’ enterprise AI leadership. The company extended partnerships with multiple global organizations across various sectors. Select Portfolio Servicing tapped Infosys Topaz for AI adoption across its operations while AIB, E.ON, DNB Bank, and Yorkshire Building Society all expanded collaborations to accelerate their digital transformations.
The company’s technological prowess earned recognition across multiple fronts. Infosys won accolades in digital workplace services, marketing solutions, talent readiness, and AI implementation. Its BPM division received honors for diversity initiatives and HR excellence while Finacle banking solutions dominated awards in digital banking innovation.
With over 300,000 employees worldwide, Infosys continues reshaping the enterprise AI landscape. The company maintains its commitment to sustainability and inclusive workplaces while delivering cutting-edge solutions to clients across 59 countries. Recent collaborations with Perfection Fresh for sustainability tracking and the Lawn Tennis Association for AI-powered fan experiences showcase Infosys’ versatility in applying enterprise AI across diverse sectors.
Looking ahead, Infosys appears well-positioned to capitalize on the growing enterprise AI market. Its strategic partnerships, combined with strong financial performance and industry recognition, suggest the company will maintain its leadership position in digital transformation services. Investors and clients alike continue watching as Infosys shapes the future of enterprise technology solutions.