INFY · INFY Q1 FY2027 earnings call record财报电话会记录

“Our operating margin was 21.1%, free cash flow at $955 million.”

“With our Q1 results and a view of the rest of the financial year, we change our revenue growth guidance to 1.5%-3% YoY growth in constant currency terms.”

“Our operating margin guidance remains the same at 20%-22%.”

“Q1 revenues growth was lower than our expectations, mainly due to one-off 50 basis point impact on account of program termination by an EURS client during the quarter.”

“Tailwinds of 70 basis points from rupee depreciation, 20 basis points from Project Maximus, 20 basis points net benefit due to amortization of cost on intangibles incurred in Q4, offset by impact of new acquisitions in Q1.”

“Headwinds of 50 basis points from investment in AI sales and marketing, 40 basis points from one-time revenue impact arising out of program termination.”

“This assumes headwind from wage hikes, productivity pass-throughs AI investments and 50 basis point impact from acquisitions of Optimum Healthcare and Stratus.”

“So if I'm looking at the new guidance that is at the midpoint suggesting 2.25% sort of a growth, which I understand you indicated includes acquisition of about 1.7%.”

“Kumar, as you know, typically whatever happens in Q1, it'll have a cascading effect in Q2, and especially if the volumes have been softer through the Q1, automatically it'll have some impact on Q2 and therefore the rest of the year.”

“We had called out a European manufacturing client impact between 0.75%-1% last time, which is now clearly above 1% as we have progressed on certain other deals as well.”

“Of course, as I had called out at the beginning of the year, we will have a headwind coming out from the acquisition that we have done from, in terms of amortization of intangibles and retention payout to the founders or the management team, et cetera, or the acquired entities.”

“Are we looking at more headwinds this year on the margins than FY 2026?”