Infosys Q2 Results Preview: Margin Expansion In Focus; Investors Eye Guidance Update

Infosys Ltd. is expected to post a 4% rise in consolidated profit to Rs 7,222 crore for the July–September quarter, according to Bloomberg estimates. Revenue is projected to grow 4% sequentially to Rs 44,008 crore, while Ebit is seen up 6% to Rs 9,338 crore.

Analysts expect a steady quarter with moderate revenue growth and sequential margin expansion, led by stable demand in financial services and large deal ramp-ups. The focus will be on management commentary on FY26 guidance, client budgets, and discretionary spending trends.

Infosys’ results will be closely tracked for its FY26 growth guidance and commentary on discretionary technology spending, especially in financial services and European markets. Analysts expect margins to remain within the guided band, supported by operational discipline and deal execution.

• Revenue seen 4% higher at Rs 44,008 crore versus Rs 42,279 crore

• Profit seen 4% higher at Rs 7,222 crore versus Rs 6,921 crore

• EBIT seen 6% higher at Rs 9,338 crore versus Rs 8,803 crore

• EBI Margin seen at 21.21% versus 20.82%

Here’s what analysts are expecting from Infosys Q2 results:

Goldman Sachs

• Revenue momentum likely to continue, aided by seasonality and M&A spillover of 10–15 basis points.

• Lower end of FY26 revenue growth guidance may be raised by 100 basis points to 2–3% from 1–3% earlier.

• Ebit margins expected to expand sequentially, supported by growth.

• FY26 Ebit margin guidance to remain unchanged at 20–22%.

Jefferies

• Q2 revenue expected to rise 2.3% QoQ in constant currency, led by financial services.

• Cross-currency tailwind expected at 60 basis points.

• Margins likely to improve by 70 basis points on revenue growth and deal ramp-ups.

• FY26 revenue growth guidance may be raised by 50 basis points to 1.5–3.5% YoY.

• Margin guidance of 20–22% expected to be maintained.

InCred

• Constant currency revenue growth of 1.9%, driven by financial services and non-manufacturing verticals.

• Operating efficiency to support Ebit margin improvement.

• Q1 FY26 margin had a reversal benefit of 40 basis points, normalising in Q2.

• Key monitorables: FY26 guidance revision, large deal ramp-ups, and client budgets.

Nomura

• Revenue expected to grow 1.4% QoQ in constant currency in a seasonally strong quarter.

• Ebit margin seen improving by 20 basis points QoQ.

• FY26 guidance likely to be retained at 1–3% revenue growth and 20–22% margin band.

• Focus areas: client discretionary spending, BFSI vertical, and cost takeout projects.

HSBC

• Revenue likely to rise 2% QoQ in dollar terms, with a 50-basis-point cross-currency tailwind.

• Ebit margin expected at 21.2% due to project efficiencies and lower third-party costs.

• FY26 revenue growth guidance may be raised at the lower and mid-points.

• Key focus: growth in Europe, discretionary spending across verticals.