Infosys Q2 FY23-24 result expectations | Infosys Q2 result

Infosys Q2 FY23-24 result expectations : Infosys, one of the leading IT companies in India, is set to announce its second quarter results for the financial year 2023-24 on Thursday, October 12 at 3:45PM IST. The market is keen to know how the company performed in the July-September period amid the challenges posed by the pandemic and the slowdown in demand in some of its key markets. The expectations are not very high, as the company may have faced some challenges due to the demand slowdown in its key markets of North America and Western Europe.

The rather disappointing result from TCS has already set the stage for some worry for investors. So here are some details on the expectations from the investors and analysts.

Revenue growth Expectations

Analysts and experts expect Infosys to report a modest revenue growth in the second quarter on a year-on-year (YoY) and a quarter-on-quarter (QoQ) basis. According to Motilal Oswal Financial Services, Infosys may register a 0.8 per cent QoQ growth in constant currency (CC) terms, which is lower than its peers such as TCS and Wipro. The brokerage firm attributes this to the continued demand slowdown in some of the segments that Infosys operates in, such as banking, financial services and insurance (BFSI), retail and manufacturing.

“We would be closely monitoring the ramp-up of these wins and the formation of the deal pipeline. We expect the company to maintain its guidance on the back of healthy deal wins, which should provide strong footing in the second half,” said Motilal Oswal.

On a YoY basis, Infosys may report a 5.2 per cent growth in revenue in rupee terms and a 6 per cent growth in CC terms, as per Motilal Oswal and Nuvama Wealth Management estimates . This would be lower than the 9.8 per cent YoY growth that Infosys reported in the first quarter of FY24.

Profitability and margins Expectations

Infosys may see a slight improvement in its profitability and margins in the second quarter, thanks to its cost optimization measures and operational efficiency. Motilal Oswal expects Infosys to post a 3.1 per cent YoY growth in profit after tax (PAT) and a 0.4 per cent QoQ growth in earnings before interest, tax, depreciation and amortization (EBITDA) margin. Nuvama Wealth Management expects Infosys to report a 2.9 per cent QoQ growth in EBIT margin.

“We expect steady deal-wins and conservative commentary on the demand environment. We expect Infosys to maintain its revenue (1-3.5 per cent) and margin (20-22 per cent) guidance for FY24,” said Nuvama.

However, both the brokerage firms expect Infosys to witness a marginal decline in its EBITDA margin on a YoY basis, from 24.4 per cent in Q2FY23 to 23.4 per cent in Q2FY24 . This could be due to the impact of wage hikes, increased travel and back-to-office expenses, and lower revenue growth.

Guidance and commentary Expectations

One of the key things that investors and analysts will look out for is Infosys’ guidance and commentary for the rest of the financial year. In the previous quarter, Infosys lowered its revenue guidance for FY24 from 12-14 per cent to 11-13.5 per cent in CC terms, citing uncertainties in the business environment due to the increasing repo rates. However, it maintained its operating margin guidance at 20-22 per cent.

In its exchange filing, Infosys had said that it had a solid deal pipeline and strong major deal closures that would help it grow in the future. In fact, Infosys has bagged several mega deals recently from clients such as Google Cloud, Vanguard, Daimler, Rolls-Royce and Britvic . These deals are expected to boost Infosys’ revenue and market share in the coming quarters.

Therefore, analysts expect Infosys to maintain its guidance for FY24 and provide a positive outlook on the demand environment. They will also closely monitor the ramp-up of these deals and the formation of new deal pipelines. Infosys’ commentary on its digital transformation initiatives, cloud capabilities, talent acquisition and retention strategies, and innovation investments will also be of interest.


Infosys is likely to report a soft Q2FY24 numbers due to the demand slowdown in key markets. Infosys Q2 FY24 results will be an important indicator of how the company is coping with the challenges and opportunities in the IT sector. The market will look for signs of revenue growth acceleration, margin expansion, deal momentum, and guidance revision. Infosys will announce its results at 3:45 pm on Thursday, October 12. Stay up-to-date by joining your Telegram group.

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