Infosys Q4 Results FY25: Revenue +7.9%, PAT -11.8%

What Infosys reported for Q4 FY25

Infosys Limited reported its financial results for the quarter and year ended March 31, 2025, showing a split between revenue growth and weaker profitability. For Q4 FY25, revenue rose 7.9% year-on-year to ₹40,925 crore. Net profit for the quarter declined 11.8% year-on-year to ₹7,033 crore (also reported as ₹7,038 crore in one data point). The quarter reflected a demand environment that the article described as pressured by global macro conditions and changing client needs. Investors tracked the announcement closely because Infosys is one of the early large IT services companies to set the tone for sector expectations. The result also came with updates on margins, deals, dividends, and forward guidance. Overall, the numbers supported a narrative of steady top-line growth but tighter earnings.

Revenue growth, but profitability pressure

The company’s Q4 FY25 revenue of ₹40,925 crore compared with ₹37,923 crore in Q4 FY24, translating into 7.92% year-on-year growth. Sequentially, revenue fell 2%, with Q3 FY25 revenue cited at ₹41,764 crore. On the profit line, the company reported net profit of ₹7,033 crore, down from ₹7,969 crore in the year-ago period, a year-on-year decline of about 11.75%. However, profit was up sequentially by about 3.33% from ₹6,806 crore in Q3 FY25. This combination of year-on-year decline and quarter-on-quarter improvement shaped the market’s mixed reading of the print. The article also notes that the quarter missed some expectations tracked by CNBC-TV18. In that poll, analysts expected ₹42,133 crore revenue and ₹7,278 crore net profit, both higher than the reported figures.

Operating margin and what it signaled

Operating margin for Q4 FY25 was reported at about 21%, with one quick-insight line also citing 20.1%. Sequentially, margins dipped to 21% from 21.3% in the prior quarter, indicating some near-term cost or mix pressure. On a year-on-year basis, operating margin was cited as up 0.9 percentage points. This divergence between sequential and annual comparison is important for investors who track whether margins are stabilising into the next guidance period. The article’s preview sections also referenced factors commonly watched for margins, including wage hikes, visa costs, and utilisation. While not all of these factors were quantified in the results section, the broader narrative remained that profitability faced headwinds even as revenue expanded. This is consistent with the market’s cautious tone described after the announcement.

Deal wins: TCV fell versus last year

Infosys reported large deal wins with total contract value (TCV) of $1.6 billion in Q4 FY25. This was down from $1.5 billion in the same quarter last year, based on the quick-insights section. Another section noted large deal TCV of $1.6 billion versus $1.5 billion in Q3, up 4% quarter-on-quarter, alongside a book-to-bill ratio of 0.5x. The same note added that net new TCV was down 24.7% quarter-on-quarter. These deal metrics matter for the medium-term revenue pipeline, particularly when enterprises slow discretionary spends. The article also flags delayed client decision-making as a theme being watched by brokerages, even when overall pipelines are described as present. For a services exporter, the mix between renewals, managed services, and new discretionary work can influence both growth and margins.

Dividend announcement and shareholder payouts

Infosys declared a final dividend of ₹22 per equity share for the financial year ended March 2025. Elsewhere in the provided material, dividends were also referenced as a final dividend of ₹20 per share plus a special dividend of ₹8 per share, indicating multiple dividend figures appearing across snippets. The ₹22 per share figure is tied directly to the Q4 FY25 results live update note. Dividend declarations are closely followed in large-cap IT because they can influence near-term sentiment in a sideways earnings environment. The board’s consideration of dividends was also mentioned as a point of focus ahead of announcements in later periods. Investors typically compare dividend signals with the company’s confidence on growth and cash flow, though the article does not quantify free cash flows.

FY26 guidance: constant currency growth stays muted

Infosys guided for FY26 constant currency (CC) revenue growth of 0–3%, per the Motilal Oswal summary and the earnings update note. Another quick-insight line also cited FY25 revenue guidance of 1%–3% in constant currency terms, but the later sections are clear on FY26 being 0–3% CC growth. The Motilal Oswal note adds that this guidance implies a CQGR of +0.5% to +1.5% over the next four quarters. Such guidance ranges are critical for valuation debates because they influence how investors model utilisation, hiring, subcontracting, and onsite costs. They also frame expectations for sector peers, especially when other IT companies report cautious commentary. The article repeatedly highlights macro uncertainty and changing client demand as the central overhang.

How the market reacted: stock moves and sentiment

After the announcement, Infosys’ share price showed mild fluctuations as investors processed revenue growth alongside a profit decline. One market snapshot shows Infosys at 1256.3, down 12.29 points or 0.96%, updated April 23, 2026. In a separate FY25 reaction described, shares rose as much as 3.04% intraday to ₹1,462.7 and later traded at ₹1,448 around 9:45 AM, while Nifty50 was up 0.72%. The article also states the stock had fallen 23% in 2025, versus a 1.5% rise in Nifty50, and that Infosys had a market capitalisation of ₹6.01 trillion. Ahead of the Q4 FY25 results on April 17, 2025, the stock was also described as falling nearly 2% in early trade to ₹1,386.20. These differing datapoints reflect separate dates and contexts, but together they show how results-day direction can differ from the broader trend.

Segment and geography cues mentioned in the report

The article includes a revenue breakdown for Q4 FY25 on a constant currency basis across verticals and geographies. Financial services revenue was up 12.6% year-on-year, and manufacturing was up 14%. Retail was down 2.6% in the comparable period. By geography, North America declined 0.4%, while Europe grew 15%. India’s business grew 43.7% year-on-year. These datapoints help explain why headline revenue can grow even when some mature markets are soft. They also highlight that investors may focus on whether Europe strength is sustainable and whether North America weakness stabilises. The article does not provide absolute revenue by segment, only growth rates, so comparisons are directional rather than value-based.

Key numbers at a glance

Why the results matter for the IT sector

Infosys’ Q4 FY25 print and FY26 guidance sit within a broader context where the Nifty IT Index was described as being at a 17-month low in 2025. The article also references sector pressure after another IT company’s lower guidance dragged IT stocks and broader indices. For investors, Infosys is often treated as a bellwether for discretionary technology spending trends, particularly in large enterprise clients. When revenue grows but profit declines, attention typically shifts to delivery mix, pricing, subcontracting, and wage and visa-related costs. Deal TCV trends also become a proxy for the next few quarters’ revenue visibility, especially when closures are delayed. These are the same themes repeatedly referenced in brokerage previews and result notes included in the material.

What to watch next

The article notes that Infosys would announce results for the quarter and year ended March 31, 2026, on April 23, 2026 at around 3:45 PM, and that the board may consider a final dividend. Separately, a preview section lists expectations for INR revenue at ₹46,135 crore versus ₹45,479 crore, and US dollar revenue at $1.989 billion versus $1.099 billion, alongside other items such as EBIT and PAT estimates, but these are explicitly expectations rather than reported numbers. Investors are likely to watch management commentary around discretionary spending, deal conversions, and margin drivers, as repeatedly flagged in the text. The FY26 guidance range of 0–3% CC growth sets a low bar for the year, making quarterly execution and large deal momentum more important. Any future updates on operating margin outcomes within the guided range will also remain central to stock sentiment.