Companies

Infosys Q1 PAT Falls 20% and Firm Adjusts FY25 Revenue Outlook

Published July 18, 2024

In a significant development affecting investor sentiment, Infosys INFY has reported a substantial dip in its consolidated net profit for the first quarter of the fiscal year 2025. The technology giant recorded a Profit After Tax (PAT) of Rs 6,374 crore, marking a sharp decrease of 20.08% from the Rs 7,975 crore reported in the previous quarter, which ended in Q4 FY24.

Financial Performance Review

This quarterly financial performance indicates a downward trajectory in earnings for one of the leading players in the global IT services landscape. The marked decrease in net profit arrives at a critical juncture when the company is navigating through a series of strategic revamps and market challenges. The decline may concern investors who closely monitor PAT as an essential indicator of the company's financial health.

Revised Future Revenue Projections

Beyond the immediate earnings figures, Infosys has also made critical revisions to its target revenue for the fiscal year ending on March 31, 2025. The firm has conservatively adjusted its revenue growth estimation to between 3% and 4%. This revised guidance possibly reflects a cautious approach in acknowledgment of global economic uncertainties and evolving industry dynamics that could potentially impact client spending and business momentum.

Infosys, Earnings, Revenue