Infosys Q1 2027 Earnings Call Transcript

Infosys (NYSE: INFY ) held its first-quarter earnings conference call on Thursday. Below is the complete transcript from the call. APIs provide real-time access to earnings call transcripts and financial data. Visit to learn more.

2% of total revenue, showing double-digit sequential growth. The company announced the appointment of Ashish Dash as CEO-designate, succeeding Salil Parekh, who will transition out by March 2027, highlighting a focus on AI strategy and continuity in leadership. 6 billion, with 61% being net new, indicating strong demand despite a challenging macroeconomic environment. 5% to 3% growth for FY27, reflecting a soft macro environment, client-specific issues, and program terminations.

Operating margin guidance remains at 20% to 22%, supported by currency tailwinds and operational efficiency initiatives like Project Maximus. Infosys is investing in AI talent, planning to add 6,000 frontier engineers, while maintaining a strong focus on reskilling existing employees. The company maintained a strong balance sheet with free cash flow of $955 million and a debt-free status, but noted challenges with softer pricing and competitive pressures. Full Transcript OPERATOR Ladies and gentlemen, greetings and welcome to Infosys Limited Q1 FY27 earnings conference call.

As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr.

Sandeep Mahindro. Thank you, and over to Mr. Mahindro. Sandeep Mahindro, Investor Relations Thanks everyone, and welcome to this earnings call to discuss Infosys Q1 FY27 financial results.

Joining us on this call is Chairman of the Board Mr. Nandan Nilekani, CEO and MD Mr. Salil Parekh, CFO Mr. Jayesh Sanghrajka, along with other members of the leadership team.

We'll start the call with some remarks by Nandan, followed by remarks by Salil and Jayesh on the performance. Subsequent to that we'll open up the call for questions with Salil and Jayesh. Kindly note that anything we say which refers to our future outlook is a forward-looking statement that must be read in conjunction with the risks that the company faces. A full statement and explanation of these risks is available in our filings with the SEC, which can be found on I would now like to pass on the call to Nandan.

Nandan Nilekani, Chairman Thank you, Sandeep, and it's really a pleasure to talk to all of you. I joined this call to make an important announcement. As you know, Salil has done a stellar job as the CEO for almost 10 years, and under his leadership the company has grown from $10 billion to $20 billion. He's done the transition to the digital era and he's laid the foundation for a differentiated AI strategy which will serve the company in good stead for many more years.

However, his term is coming to an end on March 31, 2027, and the Board has decided today to appoint a new CEO who is coming from inside Infosys, an internal candidate. His name is Ashish Dash. Ashish Dash has been in Infosys for more than 31 years, since he joined as a software engineer from IIT Kharagpur, and he has all-round experience of Infosys. He has worked in delivery for many years.

He has worked on account management. He has been involved with starting a DC in Bhubaneswar. He has been in sales and, of course, he has been a sales and segment head for many years running the SURE practice which has many verticals. He is an outstanding person.

He is very good at his job. He is very collegial; he is very collaborative. He is accepted and liked by everybody in the company. He has quintessential Infosys values.

At the same time, he's focused on the market and being able to get good deals at good revenue and good margin. And because of his technical background, he understands what is happening in AI and that will help him in the future. So the Board has appointed Mr. Dash as the CEO-designate.

He will work with Salil over the next few months. Next two, three months he'll focus on getting more coaching and training on being a CEO, and then for six months he will work as a mentee under Salil's leadership, who will groom him for the complex job of managing a $20 billion company at a very transformational time. So we are all very excited by the choice. It has got a very good response internally and with customers.

And you will get to see him in a few months, so you can maybe keep that in mind. Maybe now I'll ask Salil to add a few words on Dash. Salil Parekh, Chief Executive Officer and Managing Director Thanks, Nandan. Good morning, good evening everyone.

It's an absolute pleasure for me to have Dash be the next CEO of the company. I've had the opportunity to work with him over the last several years. In my mind he's a fantastic leader and very good with the people around. He's worked very closely with clients and built a portfolio which is, I think, quite strong and exceptional on the growth dimension and the way it's managed operationally and economically—so all of the ingredients which make for a successful business.

In addition to his leadership, Dash is a very good friend and I'm delighted for this. Congratulations to him, and I look forward to working with him over the course of the next few months, as Nandan mentioned, in the way we transition—in a smooth transition there. So look forward to all of that. And as Nandan said, you will get to mee