Infosys Q4 FY26 Preview: FY27 Guidance, Deals, AI Watch

What investors are watching on results day

Infosys is scheduled to report its January to March quarter (Q4 FY26) results on Thursday, April 23, 2026, with expectations of modest year-on-year growth but softer sequential trends in constant currency terms. Brokerages and investors are treating the company’s FY27 guidance as the key trigger for the stock. Management commentary on deal pipeline strength, discretionary spending trends, and the pace of AI-led execution is also expected to shape sentiment.

Results timetable and management interactions

In an exchange filing, Infosys said it will announce results for the fourth quarter and year ended March 31, 2026, at around 3:45 PM IST on April 23. The company also outlined a press conference scheduled for 4:30 PM IST, followed by a 60-minute earnings conference call at 5:30 PM IST. Both events are to be webcast on the Investor Relations section of the Infosys website, with archived recordings expected later in the evening.

Dividend decision to be tracked alongside earnings

Along with the quarterly results, the Board of Directors is expected to consider recommending a final dividend, if any, for the financial year ended March 31. The live coverage around the result is also positioning the dividend decision as a near-term headline, especially as investors look for clarity on capital return priorities alongside growth guidance.

Street view: seasonal softness and fewer billing days

The broader preview suggests Infosys may see sequential revenue softness in Q4 due to seasonality and fewer billing days. Global macro uncertainty has also been cited as a reason discretionary spending decisions are getting delayed, affecting near-term demand visibility. While annual growth is expected to remain within guidance, the market is treating FY27 outlook and execution as more important than near-term seasonality.

Key broker expectations on FY27 guidance and margins

The live preview notes that most brokerages are projecting constant currency revenue growth of 2% to 5% for FY27, with margins expected in the 20% to 22% band. ICICI Securities sees growth at 3% to 5%, while Jefferies and Nuvama estimate a 2% to 5% range. Separately, another expectation referenced for FY27 guidance was around 2% to 4%.

Margins are expected to remain stable, supported by currency benefits and internal efficiency measures, even as cost pressures persist. The preview also flags that bonus payouts and visa costs could offset some of the currency tailwind.

Q4 FY26 preview: consolidated QoQ expectations

Estimates cited in the live update indicate mixed quarter-on-quarter movement across reported currency and profitability lines.

The same preview also lists FY26 constant currency revenue growth guidance at 3% to 3.5% and an operating margin range of 20% to 22%.

Deal pipeline and sectoral demand cues

The preview notes that a healthy deal pipeline, especially in financial services and energy, is supporting medium-term visibility. Total contract value (TCV) deal wins are expected to be stable year-on-year in the range of US$2,500 million to US$ 2,750 million. However, multiple notes across the live feed also underline that demand visibility, rather than just Q4 numbers, remains the bigger concern.

AI strategy in focus: scaling projects into revenue

Infosys’ AI strategy is expected to be closely tracked, particularly whether projects scale and start contributing meaningfully to revenue amid rapid technology shifts. The preview also flags “GenAI deflation” as a factor to watch, along with how AI integration shows up in new deal wins and any margin impact linked to GenAI delivery.

The company’s internal efficiency initiatives are also in the frame, with the update referencing benefits from “Project Maximus.” Separately, profitability impact from labour code changes was cited at ₹ 12,890 million.

Stock and sector backdrop ahead of the print

Ahead of results, Infosys shares were reported down about 1.50% at ₹1,250.60, trading close to a 52-week low of ₹1,215.10. Intraday, the stock moved between ₹1,265.50 and ₹1,243, with over 14.1 million shares changing hands. Technical levels cited include a pivot at ₹1,253, resistance at ₹1,263 and ₹1,275, and support at ₹1,240 and ₹1,230.

The broader sector mood has been cautious, with Indian IT stocks under pressure and Nifty IT down nearly 20% this year, as investors weigh demand softness and the longer-term implications of AI on traditional service models.

Other Q4 earnings on the radar: Union Bank numbers

The live feed also highlighted Union Bank of India’s March quarter performance, which was described as mixed despite improved asset quality.

Despite the results, Union Bank shares fell as much as 7.2% to ₹180 before trading around 5.5% lower intraday, according to the same update.

Market impact: what will likely move the stock

For Infosys, the live preview consistently points to FY27 guidance as the most important driver, ahead of near-term quarterly fluctuations. Investors are also expected to track whether management commentary confirms stable deal momentum and whether discretionary spending remains delayed under global uncertainty.

Any clarity on how currency tailwinds, cost headwinds (including bonuses and visa costs), and efficiency measures are balancing out will be central to margin expectations. Updates on AI execution, including integration in new deal wins and the pace of scaling, are likely to influence how markets interpret medium-term growth visibility.

Conclusion

Infosys heads into its Q4 FY26 results with expectations of seasonal softness and broadly stable margins, but the market’s attention is concentrated on FY27 guidance, deal wins, and AI-led execution. The company is set to share results at 3:45 PM IST on April 23, followed by a press conference and an earnings call later in the day, along with a potential final dividend recommendation.