FINWIRES · TerminalLIVE
FINWIRES

Infosys' Quarterly Profit Climbs 12% as AI Push Gains Traction; Names CEO Designate

By
Infosys' Quarterly Profit Climbs 12% as AI Push Gains Traction; Names CEO Designate

Infosys (NSE:INFY, BOM:500209) posted attributable profit of 77.7 billion Indian rupees for the fiscal first quarter ended June 30, up 12% from 69.2 billion rupees a year earlier.

Revenue increased 14% year over year to 482.1 billion rupees from 422.8 billion rupees, while earnings per share rose to 19.17 rupees from 16.68 rupees, according to a Thursday exchange filing.

"AI momentum is now rapidly converting into revenue, which demonstrates how Infosys' differentiated enterprise AI value proposition is translating into consistent market share gains," Chief Executive Officer and Managing Director Salil Parekh said.

The IT services company also appointed Ashiss Kumar Dash as CEO designate for a five-year term, subject to shareholder approval.

Dash will succeed Salil Parekh as managing director and chief executive officer on April 1, 2027, following the completion of Parekh's second term after more than nine years in the role.

Dash currently heads a global business portfolio spanning multiple industry verticals and has spent more than three decades at Infosys in customer-facing, delivery and global operations roles.

Parekh will continue to lead the company until March 31, 2027, and work closely with Dash to ensure a leadership transition.

For fiscal 2027, Infosys forecasts constant-currency revenue growth of 1.5% to 3.0% and an operating margin of 20% to 22%.

Chief Financial Officer Jayesh Sanghrajka said Infosys will continue investing in artificial intelligence, talent and platforms to drive future growth while maintaining financial flexibility.

Related Articles

EU Raises Preliminary Concerns Over JD.com's $2.5 Billion Ceconomy Acquisition
US Markets

EU Raises Preliminary Concerns Over JD.com's $2.5 Billion Ceconomy Acquisition

The European Commission has notified JD.com (HKG:9618) of its preliminary objections over the Chinese e-commerce company's proposed $2.5 billion acquisition of German electronics retailer Ceconomy."The issuing of a statement of ​grounds is a ​formal step in an investigation under ⁠the Foreign Subsidies Regulation where the Commission informs the ​companies ​concerned ⁠in writing of the objections ​raised against ​them," ⁠the statement said.The Commission opened an in-depth investigation in May to assess whether JD.com had received foreign subsidies that could distort competition in the EU's internal market.It said it has concerns that JD.com may have benefited from preferential financing, tax incentives and grants attributable to the Chinese government.The Commission said those subsidies could strengthen the merged company's competitive position and negatively affect competition in the bloc after the transaction.JD.com announced the all-cash takeover offer for Ceconomy in July 2025, offering 4.60 euros per share.The deal aims to combine JD.com's e-commerce, logistics and technology capabilities with Ceconomy's consumer electronics retail business, which operates more than 1,000 MediaMarkt and Saturn stores across 11 European countries.Under the investment agreement, Ceconomy would continue operating as a standalone business in Europe with its existing workforce, employee agreements and sites.The European Commission's provisional deadline to complete its review is Oct. 2.

HKG:9618HKG:9988
Nestlé India's Fiscal First-Quarter Profit Surges 48% on Strong Demand
US Markets

Nestlé India's Fiscal First-Quarter Profit Surges 48% on Strong Demand

Nestlé India's (NSE:NESTLEIND, BOM:500790) profit jumped 48% during the first quarter of the fiscal year 2026-2027, with sales remaining solid despite the global supply chain being partially affected as a result of geopolitical tensions.Profit rose to 9.75 billion rupees from 6.59 billion rupees in the previous year, according to a Wednesday earnings release from the confectionery product maker.Earnings per share climbed year over year to 5.06 yuan from 3.42 yuan.Revenue increased to 63.8 billion rupees from nearly 51 billion rupees a year earlier.Total sales grew 25%, while exports jumped 36% from the previous year.Nestlé India's chairman and managing director, Manish Tiwary, said all four product groups - beverages, prepared dishes, milk products, and pet food - recorded double-digit growth. The company's chocolate brand KitKat continued to gain market share, while the Nescafé franchise expanded its reach due to increased coffee penetration and other factors."Even as we delivered strong business performance, we remained focused on building the capabilities, partnerships and value chains that strengthen our business for the long term," Tiwary said.Analysts from Jefferies noted that Nestlé India delivered a strong performance partly due to broader industry trends. However, the El Niño weather phenomenon may affect base ingredient prices as it brings lower crop estimates."Coffee prices are expected to remain soft, supported by higher output from Brazil or Vietnam although near-term volatility may persist. Cocoa & sugar prices remain under pressure due to erratic rainfall & lower crop estimates," Jefferies analysts said."Edible oil prices are elevated but stable. Wheat & milk are expected to remain range-bound, while protein complex continues to face inflationary pressure due to higher demand."

BOM:500790NSE:NESTLEIND
Australia's Jobless Rate Holds Steady in June as More Than 76,000 People Find Work
US Markets

Australia's Jobless Rate Holds Steady in June as More Than 76,000 People Find Work

Australia's unemployment rate held steady in June, in line with market expectations, amid a jump in part-time employment and a higher participation rate.The seasonally adjusted unemployment rate remained at 4.4% in June, unchanged from the previous month, data from the Australian Bureau of Statistics showed on Thursday.The result is in line with an estimate from Westpac, as well as with a consensus forecast compiled by Trading Economics.The number of employed people increased by 76,300 from the previous month to about 14.8 million, driven by a 47,000-person increase in part-time employment, while the volume of unemployed people rose by 12,700 to 686,800. As a result, the participation rate ticked higher to 67% from 66.7% in May.Part of the employment growth came from Australians who were waiting to start a job in May, representing "a stronger June movement than has been observed in recent years," said Sean Crick, head of labor statistics at the ABS.He added that people in the 55 to 64 age bracket recorded the largest annual growth in the participation rate, up nearly a full percentage point to 70.6%.The data also showed a 5 million increase in the overall number of monthly hours worked to about 2.01 billion hours in June, while the employment-to-population ratio edged 30 basis points higher to 64%.Earlier in July, Reserve Bank of Australia Assistant Governor Sarah Hunter said the country may need a period of higher unemployment to ease inflation expectations. The central bank left its official cash rate unchanged at 4.35% in June, and its next policy meeting is scheduled for August.

ASX 200