Infosys: Differentiated AI strategy and a sharp focus on value unlock propels 29% sequential growth in AI revenues

Infosys reported $5,145 million in Q2 revenues, up 1.5% year over year and up 1.2% sequentially in constant currency, with an operating margin stable at 21.0%. EPS rose 8.7% year over year in rupee terms. Large deal TCV reached $5.2 billion, with 62% net new, including a “mega deal” of over $2 billion. The company said AI revenue was 10.5% and grew 29% quarter-on-quarter, supported by a differentiated AI-first positioning. For FY27, Infosys revised revenue guidance to 1%-2% in constant currency while keeping margin guidance at 20%-22%. Free cash flow was $928 million and the board declared an interim dividend of 26 per share, up 13%.