Infosys dividend rises as AI revenue reaches double digits
Infosys declared a ₹26 interim dividend, its highest since 2014, while reporting ₹49,244 cr revenue and ₹7,823 cr net profit for the September 2026 quarter. Large-deal TCV reached USD 5.2 billion and AI revenue contribution moved into double digits.
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Infosys declared an interim dividend of ₹26 per share for the quarter ended 30 Sep 2026, its highest interim payout since 2014. The dividend increased from ₹23 per share declared in October 2025, signalling stronger cash distribution even as discretionary technology spending remained soft. 💻
The large-cap IT services company reported consolidated revenue of ₹49,244 cr, up 11% year on year, while constant-currency revenue growth was 1.5%. Net profit attributable to equity holders rose 6% to ₹7,823 cr, and basic earnings per share increased 9% to ₹19.32. The company also reported large-deal TCV of USD 5.2 billion, with artificial-intelligence-related revenue contribution reaching double digits.
Key Points:
- Interim dividend ₹26 per share was the highest announced by the company since 2014 and exceeded the ₹23 payout from October 2025.
- Revenue growth in reported currency outpaced constant-currency growth, highlighting the effect of currency movement alongside operating performance.
- AI-led transformation work, cost-takeout programmes and large enterprise contracts are being used to offset weaker discretionary technology demand.
- Net profit growth of 6% was slower than reported revenue growth, making margin performance and the conversion of large contracts into revenue important for the next phases.
The results matter for the broader IT sector because they show a mixed demand environment: traditional discretionary projects remain under pressure, while artificial intelligence and cost optimisation are generating new deal activity. The double-digit AI revenue contribution and USD 5.2 billion large-deal TCV provide measurable evidence of demand in newer service categories, but the 1.5% constant-currency growth rate indicates that contract wins have not yet translated into equally strong near-term growth.
Investors will watch the company’s revenue conversion from these large deals, the pace of AI-related growth, operating profitability and commentary on discretionary spending. The dividend record date and payment timeline, along with the next quarterly update, will also determine how the payout is reflected in trading activity. 📈
Source: Dalal Street Investment Journal, 29 Oct 2026
Not investment advice. For informational purposes only.