Wednesday, July 23, 2025

Infosys Q1FY26: Attrition Stable, Freshers to Drive Hiring Plans

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Infosys reported a 13.3% year-on-year (YoY) increase in net profit for Q1FY26, reaching ₹6,921 crore, compared to ₹6,106 crore in Q1FY25.

Revenue from operations rose 7% YoY to ₹42,279 crore, up from ₹39,518 crore in the same quarter last year.

Sequentially, however, net profit declined by 13.2% from ₹7,975 crore in Q4FY25.

Operating margin remained flat at 20.8%, consistent with Q1FY25, and slightly down from 21.1% in Q4FY25.

The company revised its FY26 revenue growth guidance upward to 1–3% in constant currency, reflecting cautious optimism amid global demand uncertainty.

Infosys Headcount and Attrition Q1 FY26

Infosys’ total workforce stood at 323,788 employees at the end of Q1FY26, up by just 210 employees from 323,578 in Q4FY25, indicating a largely flat headcount.

Compared to Q1FY25, when the company had 315,332 employees, this marks a modest YoY increase of 8,456 employees.

The company continues to adopt a conservative hiring approach, focusing on productivity and utilization rather than aggressive expansion.

Voluntary attrition in IT services rose slightly to 14.4% in Q1FY26, up from 14.1% in Q4FY25, but significantly lower than 17.3% in Q1FY25.

The marginal increase reflects ongoing churn in the tech workforce, though Infosys has managed to keep attrition within a stable range.

New Partnerships and Deal Wins: Momentum Continues

Infosys secured large deal wins worth $3.8 billion in Q1FY26, with 55% net new contracts, showcasing strong client demand across verticals.

This compares to $2.3 billion in Q1FY25 and $4.5 billion in Q4FY25, indicating sustained momentum despite a slight sequential dip.

CEO Salil Parekh highlighted the company’s success in enterprise AI, client consolidation, and digital transformation, noting that Infosys is well-positioned to support evolving customer needs.

Infosys Hiring Plans: Freshers in Focus

Infosys announced plans to hire over 20,000 freshers in FY26, reaffirming its commitment to building future-ready talent pipelines.

The company also indicated 5–8% wage hikes, signaling continued investment in workforce development despite muted lateral hiring.

Salil emphasized the growing demand for skills in generative AI, cloud, and digital services, areas where Infosys is actively training and deploying talent.


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Sahiba Sharma
Sahiba Sharmahttps://sightsinplus.com/
Sahiba Sharma, Senior Editor - Content at SightsIn Plus