Infosys, India’s second-largest IT services company, informed investors through a stock exchange filing after market hours on Monday that its board of directors will meet on Thursday, September 11, to discuss a proposal for the repurchase of fully paid-up equity shares.
The plan comes at a time when Infosys shares have struggled to gain traction. The stock has ended lower in five out of the past seven months, losing nearly 24 percent of its value. This weakness reflects a broader decline in the technology sector as investors continue to trim holdings due to sector-specific challenges.
Uncertainty around the outlook for India’s 283 billion dollar IT industry remains high because of tariff risks in the United States and other geopolitical pressures. Optimism at the beginning of the year about supportive US policies faded quickly after several tariff-related measures were announced, raising concerns that a slowdown in the American economy driven by trade conflicts could result in fewer outsourcing contracts.
This slowdown in new deal wins has already affected performance in the June quarter. The top Indian IT players posted modest results, with revenue growth ranging from 0.8 percent to 8.1 percent on a year-on-year basis.
Infosys reported an 8.7 percent rise in consolidated net profit for the June quarter. Profit increased to ₹6,921 crore compared to ₹6,368 crore in the same period last year, according to a regulatory disclosure. Revenue from operations grew 7.53 percent to ₹42,279 crore from ₹39,315 crore in Q1 FY25, supported by more working days and a strong performance in the banking, financial services, and insurance segment.
The company narrowed its full-year revenue guidance to 1 to 3 percent, revising its earlier forecast of flat to 3 percent. It retained its operating margin outlook of 20 to 22 percent for FY26.
As of June 30, 2025, Infosys employed 323,788 people, compared to 323,578 at the end of March 2025. This represents a net addition of 210 employees during the quarter. On a year-on-year basis, the company’s headcount increased by 8,456 from 315,332 in June 2024.