Mumbai, Jan 14 (SocialNews.XYZ) IT major Infosys on Wednesday reported a decline in its consolidated net profit for the October–December quarter (Q3 FY26), mainly due to the impact of the Indian government’s recent Labour Code norms.
Infosys said its consolidated net profit fell 2.2 per cent year-on-year (YoY) to Rs 6,666 crore in the third quarter, compared with Rs 6,822 crore in the same period last financial year (Q3 FY25).
On a quarter-on-quarter (QoQ) basis, profit dropped sharply by nearly 9.6 per cent from Rs 7,375 crore reported in the previous quarter of the current financial year (Q2 FY26), according to its stock exchange filing.
According to the company’s consolidated financial statements, Infosys faced a one-time impact of Rs 1,289 crore due to the implementation of the new Labour Code norms in India.
Despite the pressure on profits, the company’s revenue performance remained strong.
Revenue from operations rose 9 per cent year-on-year (YoY) to Rs 45,479 crore during the quarter.
Along with the results, Infosys also raised its revenue growth outlook for the full financial year.
The company revised its FY26 revenue guidance upward to 3–3.5 per cent in constant currency terms, while maintaining its operating margin guidance in the range of 20–22 per cent.
"Infosys delivered a strong Q3 performance demonstrating how our differentiated value propositions in enterprise AI, through Infosys Topaz, are consistently driving higher market share,” said Salil Parekh, CEO and MD of Infosys.
On the stock market front, Infosys shares have delivered mixed returns to investors. According to NSE data, the stock has given over 16 per cent returns in the last five years and around 6 per cent returns over the past three years.
However, the shares have fallen 17.88 per cent over the last one year and slipped marginally by 0.31 per cent in the recent one-year period.
Infosys stock is also down 2.79 per cent over the last five trading sessions. Ahead of the quarterly results announcement, Infosys shares ended Wednesday’s session at Rs 1,608.9, gaining Rs 9.9 or 0.62 per cent on the Indian stock market.
Source: IANS
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