Infosys FY25 Q4 Earnings Update: Profit Slumps 11.8%, Declares ₹22 Dividend, Guides 0–3% FY26 Revenue Growth

Indian IT bellwether company Infosys has announced its fiscal fourth-quarter results for the quarter ended March 31, 2025, reporting a year-on-year (YoY) fall of 11.75% in net profit at ₹7,033 crore compared to ₹7,969 crore in the same period last year. Sequentially, however, the company saw a 3.33% rise in net profit.

Q4 FY25 Revenue Performance

The revenue from operations of the company registered a rise of 7.92% YoY at ₹40,925 crore compared to ₹37,923 crore in Q4 FY24. On a sequential basis, revenue from operations decreased by 2%.

Full‑Year FY25 Results vs. Guidance

Taking a look at the full fiscal year FY25, Infosys attained revenue growth of 4.2% in constant currency terms. This was short of its own guidance offered at the end of Q3 FY25, which had estimated revenue growth in constant currency terms to be between 4.5% and 5%.

FY26 Constant‑Currency Revenue & Margin Outlook

From a guidance perspective in the future, Infosys has issued a guarded FY26 guidance of 0-3% constant currency revenue growth and operating margin of 20-22%.

Final Dividend Declaration

The board of directors of Infosys has approved the payment of a final dividend of ₹22 per equity share in respect of the financial year ending March 31, 2025. The record date in relation to the Annual General Meeting and payment of this final dividend is May 30, 2025, and the date of payment will be June 30, 2025.

CEO Salil Parekh’s Commentary on Q4

Describing Q4 performance, Salil Parekh, MD and CEO, Infosys said, "We have built a resilient organization with sharp focus on client-centricity and responsiveness to the market, thanks to the trust of our clients and dedication of our employees. Our performance for the year has been robust in terms of revenues, expansion in operating margins and highest ever free cash generation. Our depth in AI, cloud and digital and strength in cost efficiency, automation, and consolidation position us well for the needs of our clients.".

Q4 Results vs. Analyst Poll Expectations

The Q4 headline numbers reported failed to meet expectations of the poll of analysts in CNBC-TV18. The reported net profit of ₹7,033 crore trailed the polled figure of ₹7,278 crore, and the reported revenue of ₹40,925 crore also lagged the ₹42,133 crore figure expected. The reported EBIT of ₹8,575 crore was also less than the polled figure of ₹8,742 crore. However, the reported EBIT margin of 21% was ahead of the 20.7% expectation of the poll. The US Dollar revenue also registered a sequential fall of 4.2%, which was greater than the CNBC-TV18 poll expectation of 1.4% decline.

Strategic Acquisition: MRE Consulting Ltd

In another announcement the same day, Infosys disclosed a binding deal to buy MRE Consulting Ltd, a UK-based technology and business consulting provider in the energy space. It said the buyout is a strategic investment designed to boost the capabilities of Infosys in trading and risk management in the energy space.

Key Takeaways from the Q4 & FY25 Announcements

In short, Infosys' Q4 performance represents a decline in year-on-year profitability even while revenue grew. The FY25 revenue growth failed to meet the company's own guidance, and the FY26 outlook presents a more subdued growth path. Announcing a final dividend and taking over MRE Consulting as part of strategic acquisitions are other noteworthy developments on top of the earnings announcement.

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