Infosys Limited

2.2%

d a strong performance in Q2 with increased market share gains. Our revenues for the quarter grew 2.2% sequentially and 2.9% year-on-year in constant currency terms. 4 of our large 5 industry vertical

2.9%

in Q2 with increased market share gains. Our revenues for the quarter grew 2.2% sequentially and 2.9% year-on-year in constant currency terms. 4 of our large 5 industry verticals and 3 of our 4 geogr

20 basis point

of our 4 geographies grew year-on-year in constant currency terms. Operating margins expanded by 20 basis points sequentially. We had an excellent outcome in cash generation with free cash flow of $1.1 bn. Our

67%

t outcome in cash generation with free cash flow of $1.1 bn. Our large deals were at $3.1 bn with 67% net new. In External Document © 2025 Infosys Limited 2 addition, we announced a mega dea

2%

ormance in Q2, we changed our revenue growth guidance for the financial year. The new guidance is 2% to 3% growth in constant currency terms. Our operating margin guidance for the financial year rem

3%

e in Q2, we changed our revenue growth guidance for the financial year. The new guidance is 2% to 3% growth in constant currency terms. Our operating margin guidance for the financial year remains t

20%

constant currency terms. Our operating margin guidance for the financial year remains the same at 20% to 22%. With that, let me hand it over to Jayesh. Jayesh Sanghrajka Thank you, Salil. Good mo

22%

t currency terms. Our operating margin guidance for the financial year remains the same at 20% to 22%. With that, let me hand it over to Jayesh. Jayesh Sanghrajka Thank you, Salil. Good morning,

rs,

uncertain environment. We continued our strong growth momentum for the second consecutive quarters, accompanied by higher margins, led by focus on client relevance and rigor on execution. External D

20 bps

sed $5 bn in Q2 '26 and $10 bn for the half year. Revenue grew 2.2% sequentially in Q2, including 20 bps from acquisitions in constant currency terms. 2. Growth in Q2 was on back of the 2.6% sequential

2.6%

including 20 bps from acquisitions in constant currency terms. 2. Growth in Q2 was on back of the 2.6% sequential growth in Q1. H1 revenues, therefore, grew at 3.3%. 3. 4. Volumes continue to re

3.3%

2. Growth in Q2 was on back of the 2.6% sequential growth in Q1. H1 revenues, therefore, grew at 3.3%. 3. 4. Volumes continue to remain soft with bulk of the revenue growth driven by realization

“H1 gross margin remained resilient at 30.8%, flat year-on-year after absorbing compensation headwinds, reflecting the progress of Project Maximus.”

“The major components of sequential margin change for the quarter were: Tailwinds of  60 basis points from currency movement External Document © 2025 Infosys Limited 4  30 basis points from Project Maximus emanating from RPP increase from value-based selling and lean in automation partly offset by increase in subcon and lower onsite utilization Offset by  70 basis points of impact from higher post-sale customer support on a sequential basis and other expenses.”

“Over 90% of large deal TCV for Q2 was net new, which should help drive growth going forward.”

“As we enter H2, we expect seasonal factors to impact growth - lower working days, furloughs, onset of new calendar year.”

“External Document © 2025 Infosys Limited 6 Hence, we have revised our revenue guidance to 2% to 3%.”

“This does not include any revenues from the joint venture with Telstra, which we expect to close later this year.”

“Our margin guidance remains at 20% to 22%.”

“So, I am curious how you may see the delivery mix changing beyond Fiscal '26 when you consider navigating the visa changes next year.”

“There will be ups and downs as we go through the next few phases of this.”

“Now, it will be a combination of these that we are using or we will use further in the future to make sure that essentially our overall delivery approach remains consistent for the clients.”

Let me cover key aspects of our results

1

Coming to verticals

1

The first one is making Infosys AI-first

1

Let me cover key aspects of our results

1. Quarterly revenues crossed $5 bn in Q2 '26 and $10 bn for the half year. Revenue grew 2.2% sequentially in Q2, including 20 bps from acquisitions in constant currency terms. 2. Growth in Q2 was on back of the 2.6% sequential growth in Q1. H1 revenues, therefore, grew at 3.3%. 3. 4. Volumes continue to remain soft with bulk of the revenue growth driven by realization increase. Amongst large verticals, Financial Services and Manufacturing grew above 5% year-on-year in constant currency, both in Q2 and H1. 5. Europe also grew greater than 5% year-on-year in constant currency terms. 6. H1 gross margin remained resilient at 30.8%, flat year-on-year after absorbing compensation headwinds, reflecting the progress of Project Maximus. 7. Operating margin expanded by 20 bps sequentially to 21%. H1 margins were 20.9% versus 21.1% in H1 '25. We continue to invest in sales and marketing, which is reflected in 12.8% growth in S&M cost, H1 over H1. 8. Utilization, excluding trainees, remained stab

Coming to verticals

In Financial Services, clients are actively planning modernization and AI-driven initiatives with a clear focus on cost efficiency, enhanced customer experience, and strategic business transformation. We see strong momentum in mortgages, capital markets, commercial banking, and wealth management areas. While macro uncertainty and volatility is impacting spends, there is some acceleration in mortgage sector with recent reduction in interest rates. Overall pipeline and signing remains strong, which is visible in 6 large deals signing this quarter. Banks have spent significantly to build AI infrastructure. Many initiatives are progressing from proof of concepts to full-scale projects with notable traction in Agentic AI. External Document © 2025 Infosys Limited 5 Manufacturing segment continues to face trade and macro uncertainties, which is creating pressure on discretionary spend, specifically in automotive sector. We continue to help our clients in digital initiatives and rationalizing

The first one is making Infosys AI-first

We embarked on our AI-first journey in 2023. On the people front, we are committed to making our employees AI amplified. About 90% of our employees are AI aware, equipped to collaborate with and leverage AI tools responsibly in their daily work. The next tier is the AI builders 10% of our top technology talent pool are engaged in highly innovative projects and solution building with AI. The top tier, the AI masters and amongst them, the forward-deployed engineers are driving the AI momentum for our clients by solving the tough industry challenges. On the process front We are reimagining the way we work with AI. For example, AI code assistants accelerate our development life cycle. Our developers have produced more than 25 mn lines of code using generative AI. We have deployed AI agents across our internal operations. Our multi-agent invoice automation solution alone unlocked $50 mn in incremental cash flow, directly improving our free cash flow conversion. External Document © 2025 Info