Infosys Reports 13.6% YoY Increase in Operating Profits, Notably Offset by 8,400 Job Reductions in Q4 2026

Infosys Reports 8,440 Job Cuts in Q4 FY26

Infosys, India's second-largest IT company in terms of market capitalization, has reported a significant decline in headcount for the quarter ending March 31, 2026. According to the company's quarterly earnings report released on Thursday, the IT services giant has reduced its workforce by 8,440 employees compared to the previous quarter.

The majority of the job cuts were from software professionals, while the Sales and Support team witnessed a slight increase. The total headcount for Q4 of FY26 stood at 328,594. Interestingly, the workforce has increased year-over-year (YoY) for FY26 by 5,000-odd employees. To put this into perspective, the following table highlights the headcount changes for some of Infosys' peers in Q4 FY26:

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

Roughly 40% of Infosys' workforce is comprised of women. The company's last twelve-month (LTM) attrition rate has increased from 12.3% in Q3 to 12.6% in Q4 of FY26.

Infosys CFO Jayesh Sanghrajka attributed the decline in headcount to softer volumes and the freshers in the system that had to be accounted for. Despite this, the company reported a 21% YoY rise in consolidated profit to ₹8,501 crore for the quarter ending March 31, 2026. In the same quarter of the previous financial year, the company's profit was ₹7,033 crore.

In a statement, Infosys CEO and MD Salil Parekh said that the company delivered a resilient performance in FY26 with growth of 3.1%, driven by strong large deal wins of $14.9 billion. This reflects the robustness of the company's enterprise AI value proposition and market share gains in large transformation opportunities.