When a company like Infosys announces quarterly earnings, it often sets the tone for the rest of the IT sector. And this time, the Infosys Q1 results give a glimpse into what investors might expect in FY25.
Let’s take a closer look at the company’s latest numbers, the Infosys share price reaction, its updated guidance, and whether this large-cap stock still holds long-term potential.
Company Overview
Infosys is a global IT services firm based in India, offering consulting, digital transformation, and outsourcing services. It operates in over 50 countries and serves some of the world’s largest businesses. Investors have long viewed Infosys share as a stable choice in the tech space, given its consistent dividend payouts and strong balance sheet.
Infosys Q1 Results – A Quick Summary
For the quarter ended June 2025, Infosys posted a net profit of ₹6,921 crore, which marks a 9% year-on-year (YoY) increase. Revenue grew by 8% YoY, reaching ₹38,821 crore. Compared to the previous quarter, revenue rose by 1.3%.
The company’s operating margin improved to 20.9%, up from 20.1% in Q4, which reflects some cost control and delivery efficiency despite ongoing global uncertainties.
Guidance Update – Slight Bump in Outlook
One of the key highlights of the Infosys result is its updated revenue guidance. The company now expects 1% to 3% constant currency revenue growth for FY25. This is a small increase from its earlier 1% to 2.5% forecast.
This upward revision is driven by the company’s optimism around Agentic AI, automation, and a few large-scale deal wins that have added visibility to its pipeline.
Attrition and Hiring Trends
Infosys added 8,456 employees in the June quarter, bringing the total workforce to 3.24 lakh. However, attrition increased to 14.4%, up from 12.6% in the previous quarter. While this is still lower than peak levels seen in earlier years, it’s something investors should watch going forward.
Infosys Share Price – Holding Steady
Post the Q1 announcement, the INFY share price has stayed within a narrow range of ₹1,500 to ₹1,580. The market reaction has been neutral so far, possibly because the results were largely in line with expectations.
That said, a strong earnings beat or accelerated growth in the coming quarters could help the Infosys share price break out of this zone.
Infosys ADR – Global Investor View
Infosys is also listed on the US markets through its ADR (American Depositary Receipt). After the Q1 results, the Infosys ADR showed minor gains, indicating stable sentiment among global investors. International exposure to Infosys remains steady due to its predictable revenue model and client base in developed markets.
No Dividend or Bonus This Quarter
Infosys did not declare any dividend or bonus in the Q1 results. The company usually announces dividends during its second or fourth quarters. So, investors waiting for income payouts may have to wait until the next update.
Is Infosys Still a Multibagger Candidate?
While Infosys may not deliver fast returns like small-cap IT stocks, it continues to be viewed as a potential multibagger stock over the long term — especially for investors who are comfortable holding for 5 to 7 years.
With growing AI investments, stable margins, and regular buybacks and dividends, Infosys offers a mix of safety and steady returns.
Final Thoughts & Disclaimer
The Infosys Q1 results show a company that’s steady, cautious, and slightly more optimistic about the future. The guidance raise, improving margins, and deal pipeline suggest the fundamentals remain strong. However, the share price may need a stronger trigger to move meaningfully from current levels.
If you’re already invested in Infosys, there’s no immediate red flag. If you’re looking to enter, a staggered approach may make sense.
Disclaimer: This article is for educational and informational purposes only. Please consult a SEBI-registered financial advisor before making any stock market investment. All investments in equities carry risks, and past performance is not an indicator of future returns.
