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Infosys Q3 Results Preview: Infosys might post a 3.8% rise quarter-on-quarter in net profit to Rs 6,753 crore in Q3 FY25, compared to Rs 6,506 crore in the previous period.
Infosys Q3 Results: The IT major is set to announce its Q3 FY25 financial results on Thursday post-market hours.
IT major Infosys, which is set to announce its Q3 FY25 financial results on Thursday post-market hours, is expected to post revenue growth in the range of 0.5 per cent to 1.0 per cent on a quarterly basis for October-December 2024. It might register revenue of Rs 41,298 crore in rupee terms and a flat $4,895 million in US dollar terms, according to brokerage estimates.
In the previous September 2024 quarter, Infosys had posted a net profit of Rs 6,506 crore and revenue of Rs 40,986 crore. These were below estimates.
Among the latest brokerage estimates, Motilal Oswal has given the highest revenue growth forecast of 1 per cent for the December 2024 quarter (Q3 FY25) on a quarter-on-quarter basis, followed by Nuvama Institutional Equities (0.8 per cent), HDFC Securities (0.7 per cent), and PL Capital (0.5 per cent). These projections are based on constant currency (CC) revenue.
In terms of net profit, Infosys is expected to post a 3.8 per cent rise quarter-on-quarter in profit after tax to Rs 6,753 crore in Q3 FY25, compared to Rs 6,506 crore in the previous period.
In terms of EBIT (earnings before interest and tax), Nuvama expects Infosys’ EBIT to improve by about 30 basis points (bps) quarter-on-quarter, driven by the impact of Project Maximus, partially offset by seasonal furloughs.
PL Capital said it expects Infosys’ EBIT margin to improve slightly by around 20 bps quarter-on-quarter to 21.2 per cent, despite the lack of operating leverage.
Will Infosys Raise Growth Guidance?
According to Nuvama Institutional Equities, Infosys is expected to upgrade its revenue growth guidance to 4.5-4.75 per cent CC year-on-year (Y-o-Y) and maintain a margin outlook of 20-22 per cent for FY25.
PL Capital expects a marginal increase in its revenue guidance while maintaining its margin guidance for FY25.
HDFC Securities also said it expects Infosys to revise its growth guidance upwards for the fiscal year. Its margin guidance might remain unchanged, showcasing Infosys’ focus on maintaining operational stability while driving growth.
Last week, Tata Consulatancy Services (TCS), India’s largest IT services company, reported a 5.5 per cent rise year-on-year (YoY) in its net profit to Rs 12,380 crore, beating market estimates. Its revenue during October-December 2024 increased 5.6 per cent to Rs 63,973 crore. On a constant currency basis, TCS’ revenue rose over 4.5 per cent YoY during the October-December 2024 period.
Another IT firm HCLTech reported a 5.54 per cent rise in its consolidated net profit to Rs 4,591 crore for the third quarter ended March 2025. Its revenue from operations during January-March 2025 stood at Rs 29,890 crore, which is 5.07 per cent higher than the Rs 28,446 crore revenue recorded in the year-ago period.
