Revenue growth remains highly sensitive to client spending cycles, with quarterly growth fluctuating between 0.1% and 6.6% while operating margins remain range-bound between 18.4% and 21.3%.
| Metric | Mar'26 | Mar'25 | Mar'24 | Mar'23 | Mar'22 | Mar'21 | Mar'20 | Mar'19 | Mar'18 | Mar'17 | Mar'16 | Mar'15 | Mar'14 | Mar'13 | Mar'12 | Mar'11 | Mar'10 | Mar'09 | Mar'08 | Mar'07 | Mar'06 | Mar'05 | Mar'04 | Mar'03 | Mar'02 | Mar'01 | Mar'00 | Mar'99 |
|---|
| Sales/Revenue | 20.16B | 19.28B | 18.56B | 18.21B | 16.31B | 13.56B | 12.78B | 11.8B | 10.94B | 10.21B | 9.5B | 8.71B | 8.25B | 7.4B | 6.99B | 6.04B | 4.8B | 4.66B | 4.18B | 3.09B | 2.15B | 1.59B | 1.06B | 753.81M | 545.05M | 413.85M | 203.44M | 120.96M |
| Revenue Growth % | 4.57% | 3.85% | 1.92% | 11.65% | 20.28% | 6.11% | 8.31% | 7.86% | 7.16% | 7.44% | 9.07% | 5.6% | 11.5% | 5.78% | 15.78% | 25.75% | 3.02% | 11.66% | 35.15% | 43.59% | 35.18% | 49.82% | 40.96% | 38.3% | 31.7% | 103.42% | 68.2% | - |
| Cost of Goods Sold | 14.08B | 13.4B | 12.97B | 12.71B | 11B | 8.83B | 8.55B | 7.69B | 7B | 6.45B | 5.95B | 5.37B | 5.29B | 4.64B | 4.12B | 3.5B | 2.75B | 2.7B | 2.45B | 1.78B | 1.24B | 904M | 602.29M | 417.36M | 290.03M | 213.61M | 98.81M | 43.9M |
| COGS % of Revenue | 69.84% | 69.54% | 69.9% | 69.78% | 67.41% | 65.1% | 66.92% | 65.15% | 64% | 63.15% | 62.63% | 61.69% | 64.15% | 62.68% | 58.88% | 57.89% | 57.22% | 57.88% | 58.74% | 57.51% | 57.81% | 56.78% | 56.68% | 55.37% | 53.21% | 51.62% | 48.57% | 36.29% |
| Gross Profit | 6.08B | 5.87B | 5.59B | 5.5B | 5.32B | 4.73B | 4.23B | 4.11B | 3.94B | 3.76B | 3.55B | 3.34B | 2.96B | 2.76B | 2.88B | 2.54B | 2.06B | 1.96B | 1.72B | 1.31B | 908M | 688M | 460.3M | 336.45M | 255.02M | 200.24M | 104.63M | 77.06M |
| Gross Margin % | 30.16% | 30.46% | 30.1% | 30.22% | 32.59% | 34.9% | 33.08% | 34.85% | 36% | 36.85% | 37.38% | 38.31% | 35.85% | 37.32% | 41.12% | 42.11% | 42.78% | 42.12% | 41.26% | 42.49% | 42.19% | 43.22% | 43.32% | 44.63% | 46.79% | 48.38% | 51.43% | 63.71% |
| Gross Profit Growth % | 3.53% | 5.1% | 1.53% | 3.54% | 12.3% | 11.94% | 2.82% | 4.42% | 4.68% | 5.94% | 6.41% | 12.85% | 7.1% | -4% | 13.05% | 23.8% | 4.63% | 13.99% | 31.23% | 44.6% | 31.98% | 49.47% | 36.81% | 31.93% | 27.36% | 91.37% | 35.79% | - |
| Operating Expenses | 1.99B | 1.8B | 1.75B | 1.68B | 1.56B | 1.41B | 1.5B | 1.42B | 1.28B | 1.24B | 1.18B | 1.08B | 978M | 852M | 863M | 765M | 595M | 590M | 572M | 461M | 309M | 232M | 167.18M | 117.8M | 76.47M | 62.72M | 44.13M | 54.2M |
| OpEx % of Revenue | 9.89% | 9.34% | 9.44% | 9.21% | 9.56% | 10.38% | 11.77% | 12% | 11.69% | 12.17% | 12.38% | 12.39% | 11.86% | 11.52% | 12.34% | 12.66% | 12.39% | 12.65% | 13.7% | 14.92% | 14.36% | 14.57% | 15.73% | 15.63% | 14.03% | 15.16% | 21.69% | 44.81% |
| Selling, General & Admin | 1.99B | 1.63B | 1.58B | 1.68B | 1.56B | 1.41B | 1.5B | 1.42B | 1.28B | 1.24B | 1.03B | 890M | 978M | 852M | 863M | 686M | 595M | 590M | 564M | 458M | 309M | 230M | 159.04M | 113.46M | 71.46M | 57.64M | 26.75M | 29.1M |
| SG&A % of Revenue | 9.89% | 8.46% | 8.5% | 9.21% | 9.56% | 10.38% | 11.77% | 12% | 11.69% | 12.17% | 10.89% | 10.22% | 11.86% | 11.52% | 12.34% | 11.36% | 12.39% | 12.65% | 13.51% | 14.82% | 14.36% | 14.45% | 14.97% | 15.05% | 13.11% | 13.93% | 13.15% | 24.06% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 170M | 175M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 141M | 189M | 0 | 0 | 0 | 79M | 0 | 0 | 8M | 3M | 0 | 2M | 8.14M | 4.35M | 5.01M | 5.08M | 17.39M | 25.1M |
| Operating Income | 4.08B | 4.07B | 3.83B | 3.83B | 3.75B | 3.33B | 2.72B | 2.7B | 2.66B | 2.52B | 2.38B | 2.26B | 1.98B | 1.91B | 2.01B | 1.78B | 1.46B | 1.37B | 1.15B | 852M | 599M | 456M | 293.12M | 218.64M | 178.55M | 137.51M | 60.5M | 22.9M |
| Operating Margin % | 20.26% | 21.12% | 20.66% | 21% | 23.02% | 24.52% | 21.31% | 22.85% | 24.31% | 24.69% | 25% | 25.92% | 23.99% | 25.8% | 28.78% | 29.45% | 30.39% | 29.47% | 27.56% | 27.57% | 27.83% | 28.64% | 27.59% | 29.01% | 32.76% | 33.23% | 29.74% | 18.93% |
| Operating Income Growth % | 0.34% | 6.18% | 0.24% | 1.86% | 12.93% | 22.06% | 1.04% | 1.39% | 5.52% | 6.11% | 5.18% | 14.1% | 3.67% | -5.17% | 13.15% | 21.85% | 6.26% | 19.37% | 35.09% | 42.24% | 31.36% | 55.57% | 34.06% | 22.46% | 29.84% | 127.3% | 164.19% | - |
| EBITDA | 4.64B | 4.64B | 4.4B | 4.35B | 4.22B | 3.77B | 3.13B | 2.98B | 2.95B | 2.77B | 2.6B | 2.43B | 2.21B | 2.12B | 2.21B | 1.97B | 1.66B | 1.54B | 1.31B | 970M | 698M | 522M | 348.2M | 262.83M | 217.17M | 167.12M | 77.88M | 48M |
| EBITDA Margin % | 23% | 24.07% | 23.7% | 23.89% | 25.88% | 27.76% | 24.51% | 25.29% | 26.95% | 27.17% | 27.33% | 27.93% | 26.73% | 28.6% | 31.57% | 32.58% | 34.53% | 33% | 31.32% | 31.39% | 32.43% | 32.79% | 32.77% | 34.87% | 39.84% | 40.38% | 38.28% | 39.68% |
| EBITDA Growth % | -0.07% | 5.48% | 1.11% | 3.06% | 12.12% | 20.21% | 4.98% | 1.21% | 6.27% | 6.81% | 6.74% | 10.34% | 4.21% | -4.17% | 12.2% | 18.63% | 7.8% | 17.66% | 34.85% | 38.97% | 33.72% | 49.91% | 32.48% | 21.03% | 29.94% | 114.58% | 62.26% | - |
| D&A (Non-Cash Add-back) | 552M | 569.15M | 565M | 525.72M | 466.52M | 440.09M | 408.01M | 287.52M | 288.99M | 253.96M | 222M | 175M | 226M | 207M | 195M | 189M | 199M | 165M | 157M | 118M | 99M | 66M | 55.09M | 44.19M | 38.62M | 29.61M | 17.39M | 25.1M |
| EBIT | 4.55B | 4.5B | 4.4B | 4.18B | 4.06B | 3.61B | 2.72B | 3B | 2.66B | 2.52B | 2.37B | 2.33B | 1.98B | 1.91B | 2.01B | 1.78B | 1.46B | 1.37B | 1.15B | 852M | 599M | 456M | 293.12M | 218.64M | 178.55M | 137.51M | 60.5M | 22.86M |
| Net Interest Income | -47M | 254.77M | 431M | 191M | 194M | 190M | 240M | 300M | 407M | 380M | 402M | 447M | 356M | 329M | 374M | 250M | 164M | 186M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 303.97M | 487M | 226M | 221M | 217M | 264M | 300M | 366M | 380M | 402M | 430M | 356M | 329M | 374M | 250M | 164M | 187M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 47M | 49.2M | 56M | 35M | 27M | 26.27M | 24M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | 421M | 376M | 512M | 300M | 281M | 271M | 371M | 307M | 484M | 454M | 476M | 560M | 440M | 433M | 397M | 267M | 209M | 101M | 175M | 82M | 31M | 35M | 27.95M | 18.05M | 13.87M | 9.51M | 9.04M | -555.23K |
| Pretax Income | 4.51B | 4.45B | 4.35B | 4.13B | 4.04B | 3.6B | 3.1B | 3B | 3.14B | 2.97B | 2.85B | 2.82B | 2.42B | 2.34B | 2.41B | 2.05B | 1.67B | 1.48B | 1.33B | 936M | 630M | 491M | 321.07M | 236.69M | 192.41M | 147.02M | 69.54M | 22.3M |
| Pretax Margin % | 22.35% | 23.08% | 23.41% | 22.65% | 24.74% | 26.52% | 24.22% | 25.45% | 28.73% | 29.13% | 30.01% | 32.35% | 29.32% | 31.66% | 34.46% | 33.87% | 34.74% | 31.63% | 31.75% | 30.29% | 29.28% | 30.84% | 30.22% | 31.4% | 35.3% | 35.52% | 34.18% | 18.44% |
| Income Tax | 1.19B | 1.28B | 1.18B | 1.14B | 1.07B | 973M | 757M | 803M | 657M | 834M | 799M | 805M | 668M | 617M | 694M | 547M | 356M | 194M | 171M | 84M | 70M | 72M | 50.78M | 41.82M | 27.95M | 15.07M | 8.19M | 4.9M |
| Effective Tax Rate % | 26.41% | 28.87% | 27.08% | 27.68% | 26.46% | 27.06% | 24.46% | 26.74% | 20.9% | 28.04% | 28.03% | 28.57% | 27.61% | 26.35% | 28.8% | 26.74% | 21.33% | 13.15% | 12.9% | 8.97% | 11.11% | 14.66% | 15.81% | 17.67% | 14.52% | 10.25% | 11.78% | 21.97% |
| Net Income | 3.31B | 3.16B | 3.17B | 2.98B | 2.96B | 2.61B | 2.33B | 2.2B | 2.49B | 2.14B | 2.05B | 2.01B | 1.75B | 1.73B | 1.72B | 1.5B | 1.31B | 1.28B | 1.16B | 850M | 555M | 419M | 270.29M | 194.87M | 164.47M | 131.95M | 61.34M | 17.4M |
| Net Margin % | 16.44% | 16.39% | 17.06% | 16.37% | 18.17% | 19.27% | 18.24% | 18.64% | 22.73% | 20.96% | 21.6% | 23.11% | 21.23% | 23.32% | 24.54% | 24.81% | 27.33% | 27.47% | 27.66% | 27.51% | 25.79% | 26.32% | 25.44% | 25.85% | 30.17% | 31.88% | 30.15% | 14.39% |
| Net Income Growth % | 4.86% | -0.24% | 6.24% | 0.61% | 13.39% | 12.1% | 6% | -11.54% | 16.17% | 4.29% | 1.94% | 14.96% | 1.51% | 0.52% | 14.48% | 14.17% | 2.5% | 10.91% | 35.88% | 53.15% | 32.46% | 55.02% | 38.7% | 18.49% | 24.64% | 115.09% | 252.55% | - |
| Net Income (Continuing) | 3.32B | 3.16B | 3.17B | 2.98B | 2.97B | 2.62B | 2.34B | 2.2B | 2.49B | 2.14B | 2.05B | 2.01B | 1.75B | 1.73B | 1.72B | 1.5B | 1.31B | 1.28B | 1.16B | 850M | 560.61M | 419M | 270.29M | 194.87M | 164.47M | 131.95M | 61.34M | 17.4M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -5.61M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 54M | 45.04M | 41.37M | 52M | 53M | 60M | 55M | 9M | 153.32K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 15M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.83 | 0.76 | 0.76 | 0.71 | 0.70 | 0.61 | 0.55 | 0.51 | 0.55 | 0.47 | 0.45 | 0.44 | 0.38 | 0.38 | 0.38 | 0.33 | 0.29 | 0.28 | 0.25 | 0.19 | 0.12 | 0.10 | 0.06 | 0.05 | 0.04 | 0.03 | 0.01 | 0.00 |
| EPS Growth % | 9.21% | 0% | 7.04% | 1.43% | 14.75% | 10.91% | 7.84% | -7.27% | 17.02% | 4.44% | 2.27% | 15.79% | 0% | 0% | 15.15% | 13.79% | 3.57% | 12% | 31.58% | 58.33% | 26.32% | 50.08% | 38.21% | 17.74% | 25.89% | 113.1% | - | - |
| EPS (Basic) | 0.83 | 0.76 | 0.77 | 0.71 | 0.70 | 0.61 | 0.55 | 0.51 | 0.55 | 0.47 | 0.45 | 0.44 | 0.38 | 0.38 | 0.38 | 0.33 | 0.29 | 0.28 | 0.25 | 0.19 | 0.13 | 0.10 | 0.06 | 0.05 | 0.04 | 0.03 | 0.01 | 0.00 |
| Diluted Shares Outstanding | 4B | 4.15B | 4.14B | 4.19B | 4.22B | 4.25B | 4.27B | 4.35B | 4.52B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.56B | 4.53B | 4.46B | 4.38B | 4.27B | 4.25B | 4.23B | 4.27B | 4.22B | 3.94B |
| Basic Shares Outstanding | 4B | 4.14B | 4.14B | 4.18B | 4.21B | 4.24B | 4.26B | 4.35B | 4.51B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.57B | 4.56B | 4.56B | 4.55B | 4.43B | 4.35B | 4.27B | 4.2B | 4.2B | 4.2B | 4.21B | 4.2B | 3.93B |
| Dividend Payout Ratio | 64.38% | 76.47% | 56.11% | 56.93% | 57.48% | 46.92% | 58.3% | 88.95% | 46.5% | 48.22% | 51.61% | 40.49% | 29.64% | 32.93% | 29.2% | 46.63% | 25.13% | 43.64% | 18.1% | 39.53% | 16.4% | 52.98% | 17.46% | 17.4% | 13.93% | 7.06% | 4.12% | 13.79% |
Discretionary spending volatility
According to the provided quarterly income statements, Infosys has experienced a volatile revenue trajectory, with growth rates fluctuating between 0.1% and 6.6% over the last ten quarters, reflecting the firm's high sensitivity to discretionary IT spending cycles within its core North American financial services client base.
The recent acceleration to 6.6% in 2026Q4 suggests a potential recovery in project-based demand, yet the preceding periods of sub-4% growth highlight the inherent instability of a model reliant on large-scale digital transformation projects. Investors should monitor whether this recent uptick represents a durable shift or merely the lumpy recognition of mega-deal contract initiations.
As reported in financial filings, the company maintains a gross margin profile consistently hovering near the 30% threshold, which appears structurally capped by the necessity of maintaining high-cost onshore delivery capabilities to support complex, consulting-led digital transformation engagements for its global enterprise client portfolio.
The stability of gross margins suggests that Infosys possesses sufficient pricing power to offset localized wage inflation, yet it lacks the operational leverage to significantly expand these margins beyond the current range. This ceiling warrants further investigation into whether AI-driven productivity gains can eventually decouple headcount from revenue growth.
Based on the income statement data, operating margins have remained largely range-bound between 18.4% and 21.3%, indicating that the firm has struggled to achieve meaningful operating leverage despite periodic revenue growth, likely due to the persistent need for high SG&A investment to secure large-scale contracts.
The fluctuation in SG&A expenses suggests that management is actively managing overhead to protect operating income during periods of revenue deceleration. However, the inability to consistently scale operating income faster than gross profit implies that the business model remains heavily tethered to labor-intensive delivery structures.
While management promotes the Topaz AI-first framework, the income statement data suggests that the firm faces a significant risk of margin compression if clients successfully demand lower contract pricing in exchange for the productivity gains inherent in AI-driven service delivery models, potentially breaking historical growth links.
Short-sellers may focus on the potential for 'cannibalization' of legacy maintenance revenue, where AI automation reduces billable hours without a commensurate increase in high-margin consulting fees. This transition period may lead to increased volatility in net income as the company balances R&D investment with the need to maintain competitive pricing.
Quick answers to the most common questions about buying INFY stock.
For fiscal year 2026, Infosys Limited (INFY) reported total revenue of $20.16B. This represents a 16565.7% increase compared to $121.0M in 1999.
Infosys Limited (INFY) is profitable, generating $3.31B in net income for the fiscal year ending 2026 with a net profit margin of 16.4%.
Infosys Limited (INFY) reported an operating income of $4.08B, resulting in an operating profit margin of 20.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Infosys Limited (INFY) generated $6.08B in gross profit for the year, representing a gross profit margin of 30.2%. This demonstrates the company's core pricing power and production efficiency.