Infosys is likely to grant Chief Executive Officer Salil Parekh a two-year extension when his current term ends in March 2027, people familiar with the matter told NDTV Profit, signalling stability and continuity at a time of heightened industry disruption.
Sources said Parekh's second term as CEO is unlikely to be followed by a full five-year extension for a third term. Instead, the board is expected to consider a shorter, two-year extension as part of a calibrated succession strategy. The proposal is slated to be discussed at the board meeting on April 23, alongside deliberations on the company's fourth-quarter results.
The move is seen as a conscious effort by Infosys to avoid leadership churn in a challenging business environment marked by macro uncertainty, client spending caution and rapid shifts driven by artificial intelligence. A limited extension would provide continuity while allowing the board to execute a smooth and orderly succession plan, the sources said.
Parekh, who took over as CEO in 2018, has overseen Infosys' transformation toward digital, cloud and AI-led services, while steering the company through the pandemic and subsequent demand cycles. Insiders view the proposed extension as a signal to clients, employees and investors that the board is prioritising stability even as it plans for the next leadership transition.
Infosys did not comment on queries regarding Salil Parekh's extension as CEO.
A smooth management transition is seen as critical for Infosys at a time when the global IT services industry is grappling with AI-driven disruption, deal slowdowns, and pricing pressures. Infosys shares have already declined more than 25% from their peak valuations, making leadership clarity a priority for investors, ET had reported earlier.
Under Parekh's leadership, Infosys' market capitalisation has risen to about Rs 5.44 lakh crore, more than doubling during his tenure. His time at the helm is widely viewed as a period of stability following years of leadership churn.
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