Infosys Q3 Results Highlights: IT firm on track to add 20,000 freshers in FY26, says CFO

The American Depository Receipts of Infosys Ltd rose 1.6% in pre-market trading on January 14 after the IT major raised FY26 revenue growth forecast to 3%-3.5% from an earlier estimate of 2%-3%.

Revenue at its financial services segment, which accounts for nearly a third of its revenue, was up 3.9%. The communications segment rose the most at 9.9%.

Infosys CFO Jayesh Sanghrajka said that the company has onboarded 18,000 freshers during the quarter, and is on track to add 20,000 this fiscal year. "Headcount increase demonstrates that we have confidence where the market is and where we are seeing demand. We also approved a higher variable pay compared to last quarter," said CEO Salil Parekh.

TCV of large deal wins was $4.8 billion, with net new of 57%. Headcount increased by 5,043.

"Infosys delivered a strong Q3 performance demonstrating how our differentiated value propositions in enterprise AI, through Infosys Topaz, are consistently driving higher market share. Clients increasingly view Infosys as their AI partner with demonstrated expertise, innovation capabilities and strong delivery credentials. This has helped them unlock business potential and enhanced value realization," said Salil Parekh, CEO and MD of Infosys.

Infosys on January 14 reported Rs 1,289 crore as an exception item weighing down on its Q3 profit due to impact of new labour codes implemented in India.

The comes as the IT major reported a 2.2 percent year-on-year (YoY) fall in consolidated net profit to Rs 6,654 crore for the October-December quarter of the ongoing financial year 2026.

Infosys said that it had to make some adjustments worth Rs 1,289 crore, including an increase in gratuity liability arising out of past service cost and increase in leave liability, which has been recorgnised in the consolidated results.

India’s new labour codes, consolidated under the Code on Wages, 2019, Industrial Relations Code, 2020, Code on Social Security, 2020 and Occupational Safety, Health and Working Conditions Code, 2020, came into effect on November 21.

The law introduces a uniform definition of wages. In practice, this stops companies from parking large chunks of pay in allowances to keep statutory payouts low. Accordingly, basic pay must comprise at least 50 percent of CTC. Several other changes like no salary delays, overtime pay rules and more were introduced as part of the new laws.

The company revised its fiscal ending 2026 revenue growth forecast upwards to 3%-3.5%, from an earlier estimate of 2%-3%.

Infosys has reported a consolidated net profit of Rs 6,654 crore for Q3 FY26, marking a 2.2% YoY fall from the Rs 6,806 crore net profit reported in Q3 FY25. The IT major’s revenue from operations meanwhile rose 9% to Rs 45,479 crore.

Infosys shares closed 0.62% higher at Rs 1,608.90 apiece today. The IT major is set to release its results for the October-December quarter of the ongoing financial year 2026.

Mangalore Refinery and Petrochemicals (MRPL) reported a consolidated net profit of Rs 1,450.89 crore for Q3 FY26, marking a whopping 369% YoY rise from the Rs 309.30 crore in Q3 FY25. The firm’s revenue from operations meanwhile grew 16% YoY to Rs 29,720.13 crore.

Shares surged around 11% after the Q3 results.

HDFC AMC reported a consolidated net profit of Rs 769 crore for Q3 FY26, marking a 20% YoY rise from the Rs 641 crore reported in Q3 FY25. The firm's revenue from operations meanwhile rose 15% YoY to Rs 1,075.10 crore.

The shares of the AMC company jumped more than 4% after the results.

The shares of Groww jumped 3% to trade at Rs 167.27 apiece. This comes after the company released its results for the October-December quarter of the ongoing financial year 2026.

Union Bank of India shares jumped 7% to trade at Rs 178.70 apiece after the lender released its results for the third quarter of the ongoing financial year 2026.

Union Bank of India reported a standalone net profit of Rs 5,016.77 crore for Q3 FY26, marking a 9% YoY rise from the Rs 4,603.63 crore in Q3 FY25. Net interest income (NII) meanwhile rose nearly 1% to Rs 9,327.93 crore.

The lender's asset quality improved, with net NPA ratio falling to 0.51% in Q3 FY26 from 0.82% in Q3 FY25.

Indian Overseas Bank (IOB) reported a net profit of Rs 1,365.12 crore for Q3 FY26, marking a 56 percent YoY rise from the Rs 873.66 crore net profit reported in Q3 FY25. The shares jumped 2% after the results.

Groww reported a consolidated net profit of Rs 547 crore for Q3 FY26, marking a 28% YoY fall from the Rs 757 crore net profit reported in Q3 FY25. The firm's revenue from operations meanwhile rose 25% YoY to Rs 1,216.1 crore.

Seasonal furloughs to keep sequential revenue growth flat and operating margins to be steady in the absence of wage hikes, brokerages said on expectations from Infosys results.

Motilal Oswal Financial Services, earlier this week, said it sees up to 33% upside potential for Infosys stock.

"Infosys is well placed to benefit from enterprise-wide AI spending, given its discretionary-heavy mix. At the current valuations, upside risks meaningfully outweigh downside risks. We value INFO at 26x FY28E EPS with a TP of INR2,150, implying a 33% upside potential. Infosys remains our top pick among tier-1 IT names and we reiterate our BUY rating on the stock."

The recent strategic collaboration between Infosys (INFO) and Cognition (Devin) is worth highlighting, said the brokerage. Under this partnership, Infosys will deploy DEVIN, Cognition’s “AI software engineer”, across Infosys' internal teams and client delivery.

"We anticipate Infosys will increase its FY26E revenue growth guidance by 1% to 3-4% (low ask rate for 2H). Infosys is likely to maintain a margin band of 20-22%," said HDFC Securities.

5paisa Capital shares fell more than 7 percent. 5paisa Capital reported a consolidated net profit of Rs 12.3 crore for the third quarter of FY26. This marks a 24 percent YoY drop from the Rs 16.18 crore net profit reported in the same period of the previous financial year.

The firm’s revenue from operations meanwhile fell more than 7 percent to Rs 79.27 crore in Q3 FY26, from Rs 85.27 crore in Q3 FY25.

The shares of Tata Elxsi dropped more than 3 percent on January 14 after the company released its results for the third quarter of the ongoing financial year 2026.

Tata Elxsi on January 14 reported a net profit of Rs 108.89 crore for the October-December quarter of FY26. This marks a 45 percent year-on-year (YoY) drop from the Rs 199.01 crore net profit reported in the corresponding quarter of the previous financial year.

It is important to note that this included an exceptional item of Rs 95.69 crore due to the one-time impact of the New Labour Codes which took effect from November 21. Tata Elxsi said that changes to “employee benefit plans arising from legislative amendments constitute a plan amendment, requiring recognition of past service cost immediately in the statement of profit and Loss”.

“The New Labour Codes has resulted in estimated one time increase in provision for employee benefits of the Company amounting to ~ 9,568.88 lakhs and the same has been recognized as an exceptional items in the current reporting period,” the Tata Group company said.

While net profit declined, the firm’s revenue from operations rose more than 1.5 percent to Rs 953.47 crore.

HDFC Asset Management Company shares jumped nearly 2% to trade at Rs 2,535.15 apiece. The company is set to release its results for the third quarter of the ongoing financial year 2026 today.

The shares of Billionbrains Garage Ventures, the owner of popular brokerage firm Groww, were trading in the green with marginal gains. The stock is up 0.55 percent to trade at Rs 163.50 apiece. The company is set to release its results for the third quarter of the ongoing financial year 2026 today.

The shares of IT major Infosys were trading in the green with marginal gains. The stock is up 0.19 percent to trade at Rs 1,600.95 apiece. The company is set to release its results for the third quarter of the ongoing financial year 2026 today.