Infosys Q3 results: Earnings timing, analyst preview, FY26 guidance, deal wins

Infosys Ltd is set to announce its December quarter results on Tuesday, around 3:45 pm IST, followed by a press conference at 4:30 pm IST. The IT major was seen reporting a 5-11 per cent year on year (YoY) rise in net profit for the December quarter, driven by an 8-9 per cent increase in sales. A couple of brokerages said Infosys is likely to retain its FY26 guidance and announce deal wins in the range of $4.5-5 billion.

Analysts said investor focus would be on the outlook for technology spending in 2026, competitive intensity, pricing pressure in large deals, and clients’ willingness to undertake large transformation programmes that could be margin-dilutive in the initial phase.

Kotak Institutional Equities expects 4.8 per cent YoY rise in net profit at Rs 7,132.30 crore compared with Rs 6,806 crore in the same quarter last year. It sees sales at Rs 45,087 crore compared with Rs 41,764 crore in the year-ago quarter, up 8 per cent YoY. 

"We forecast revenue decline of 0.25 per cent QoQ primarily due to lower billing days and absence of mega deal wins in earlier quarters. We do not assume any incremental revenues from sale of third-party items. We expect gradual EBIT margin improvement QoQ, primarily driven by benefits from Project Maximus," it said.

The brokerage sees large deal wins at $4.5-5 billion, led by 1.2 billion pounds mega deal win from NHSBSA.

Axis Securities sees TCS' Q3 net profit rising 8.8 per cent to Rs 7,425 crore on 9.4 per cent YoY jump in net sales at Rs 45,679 crore. "We expect Infosys to report revenue growth of 2.7 per cent QoQ, driven by deal ramp-ups, while furloughs and lower working days are likely to keep growth modest. EBIT margins are expected to remain flat sequentially, supported by the cost optimisation program, i.e. Project Maximus," it said.

JM Financial sees TCS' net profit at Rs 7,577 crore in Q3, up 11.3 per cent YoY. Net revenue is seen rising 8.7 per cent YoY to Rs 45,385 crore.   

Antique Stock Broking sees net profit for TCS rising 10.8 per cent YoY to Rs 7,541.70 crore  for the quarter. It sees dollar revenue at $5,086 million, up 3 per cent YoY. 

MOFSL expects Infosys to maintain its guidance of 2-3 per cent YoY in CC terms. It said revenue growth is expected to be flat sequentially in CC terms due to seasonal furloughs, with H2 weaker than H1 as growth was front-ended, in line with prior years. Operating margin is likely to remain flat given the absence of wage hikes and lower third-party costs, MOFSL said.

The domestic brokerage said US BFSI is expected to remain resilient, with some pockets of discretionary spend, particularly in rate-sensitive portfolios such as mortgages, while retail remains soft amid tariff uncertainty. 

"The ask rate for the top end of guidance is minus 0.2 per cent for next two quarters, suggesting similar seasonality as previous years: seasonality implies flat Q3 growth and 1.3 per cent QoQ decline in Q4, MOFSL said.