{"url_path":"/sec/infy/10-k/2026/item-18","section_key":"item-18","section_title":"Item 18 Financial statements","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-06-15","source_url":"https://www.sec.gov/Archives/edgar/data/1067491/0001193125-26-270520-index.html","accession_number":"0001193125-26-270520","cik":"0001067491","ticker":"INFY","issuer_name":"Infosys Ltd","edgar_url":"https://www.sec.gov/Archives/edgar/data/1067491/0001193125-26-270520-index.html","primary_entity_key":"0001067491","primary_entity_name":"Infosys Ltd"},"word_count":38439,"has_tables":true,"body_markdown":"Item 18. Financial statements\n\nCONSOLIDATED STATEMENTS AND OTHER FINANCIAL INFORMATION\n\nReport of the Audit Committee\n\nTo the Board of Directors and Shareholders of Infosys Limited\n\nIn connection with the March 31, 2026, consolidated financial statements prepared under International Financial Reporting Standards as issued by the International Accounting Standards Board, the Audit Committee:\n\n(1)\nreviewed and discussed the consolidated financial statements with management;\n\n(2)\ndiscussed with the auditors the matters required by Public Company Accounting Oversight Board (PCAOB) 1301, as adopted by the PCAOB in Rule 3200; and\n\n(3)\nreceived the written disclosures and the letter from the auditors required by applicable requirements of the Public Company Accounting Oversight Board regarding the auditor’s communications with the audit Committee concerning independence and has discussed with the auditor the auditor’s independence.\n\nBased upon these reviews and discussions, the Audit Committee recommended to the Board of Directors that the audited consolidated financial statements be included in the Annual Report on Form 20-F to be filed with the Securities and Exchange Commission of the United States of America.\n\n \n\n \n\nBengaluru, India\n\nJune 15, 2026\n\n \n\n \n\nBobby Parikh\n\nChairperson and Audit\n\nCommittee Financial Expert\n\n \n\nD. Sundaram\n\nMember, Audit Committee and Financial Expert\n\n \n\nMichael Gibbs\n\nMember, Audit Committee\n\n \n\n \n\nNitin Paranjpe\n\nMember, Audit Committee\n\n \n\n \n\nReport of management\n\nThe management is responsible for preparing the company's consolidated financial statements and related information that appears in this Annual Report. The management believes that the consolidated financial statements fairly reflect the form and substance of transactions, and reasonably present the financial condition and results of operations of Infosys Limited and subsidiaries in conformity with International Financial Reporting Standards as issued by the International Accounting Standards Board. The management has included, in the company's consolidated financial statements, amounts that are based on estimates and judgments, which it believes are reasonable under the circumstances.\n\nThe company maintains a system of internal procedures and controls intended to provide reasonable assurance, at appropriate cost, that transactions are executed in accordance with company authorization and are properly recorded and reported in the consolidated financial statements, and that assets are adequately safeguarded.\n\nDeloitte Haskins & Sells LLP have conducted their audits in accordance with the standards of the Public Company Accounting Oversight Board (United States) of the Company's consolidated financial statements for the years ended March 31, 2026, March 31, 2025, and March 31, 2024.\n\nThe Board of Directors has appointed an Audit Committee composed of outside directors. The Committee meets with the management, internal auditors, and the independent auditors to review internal accounting controls and accounting, auditing, and financial reporting matters.\n\n \n\n \n\nBengaluru, India\n\nJune 15, 2026\n\n \n\nJayesh Sanghrajka\n\nChief Financial Officer\n\n \n\nSalil Parekh\n\nChief Executive Officer\n\nand Managing Director\n\n \n\n \n\n \n\nREPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM\n\nTo the Shareholders and the Board of Directors of Infosys Limited\n\nOpinion on the Financial Statements\n\n \n\nWe have audited the accompanying consolidated balance sheets of Infosys Limited (the “Company”) and subsidiaries (the \"Group\") as of March 31, 2026 and 2025, the related consolidated statements of comprehensive income, consolidated statements of changes in equity, and consolidated statements of cash flows, for each of the three years in the period ended March 31, 2026, and the related notes (collectively referred to as the \"consolidated financial statements\"). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Group as of March 31, 2026 and 2025, and the results of its operations and its cash flows for each of the three years in the period ended March 31, 2026, in conformity with the IFRS Accounting Standards as issued by the International Accounting Standards Board (IASB).\n\n \n\nWe have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Group's internal control over financial reporting as of March 31, 2026, based on criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission and our report dated June 15, 2026, expressed an unqualified opinion on the Group's internal control over financial reporting.\n\n \n\nBasis for Opinion\n\n \n\nThese consolidated financial statements are the responsibility of the Group's management. Our responsibility is to express an opinion on the Group's consolidated financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Group in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.\n\n \n\nWe conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. We believe that our audits provide a reasonable basis for our opinion.\n\n \n\nCritical Audit Matters\n\n \n\nThe critical audit matters communicated below are matters arising from the current-period audit of the financial statements that were communicated or required to be communicated to the audit committee and that (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matters below, providing separate opinions on the critical audit matters or on the accounts or disclosures to which they relate. \n\nRevenue Recognition - Refer to Notes 1.5(a) and 2.11 to the consolidated financial statements\n\n \n\nCritical Audit Matter Description\n\n \n\nThe Group’s contracts with customers include contracts with multiple products and services. The Group derives revenues from IT services comprising software development and related services, maintenance, consulting and package implementation, licensing of software products and platforms across the Group’s core and digital offerings and business process management services. The Group assesses the services promised in a contract and identifies distinct\n\nperformance obligations in the contract. Identification of distinct performance obligations to determine the deliverables and the ability of the customer to benefit independently from such deliverables involves significant judgement.\n\n \n\nIn certain integrated services arrangements, contracts with customers include subcontractor services or third-party vendor equipment or software. In these types of arrangements, revenue from sales of third-party vendor products or services is recorded net of costs when the Group is acting as an agent between the customer and the vendor, and gross when the Group is the principal for the transaction. In doing so, the Group first evaluates whether it obtains control of the specified goods or service before it is transferred to the customer. The Group considers whether it is primarily responsible for fulfilling the promise to provide the specified goods or services, inventory risk, pricing discretion and other factors to determine whether it controls the products or service and therefore, is acting as a principal or an agent.\n\n \n\nFixed price maintenance revenue is recognized ratably either on (1) a straight-line basis when services are performed through an indefinite number of repetitive acts over a specified period or (2) using a percentage of completion method when the pattern of benefits from the services rendered to the customer and the Group’s costs to fulfil the contract is not even through the period of contract because the services are generally discrete in nature and not repetitive. The use of method to recognize the maintenance revenues requires judgment and is based on the promises in the contract and nature of the deliverables.\n\n \n\nAs certain contracts with customers involve management’s judgment in (1) identifying distinct performance obligations, (2) determining whether the Group is acting as a principal or an agent and (3) whether fixed price maintenance revenue is recognized on a straight-line basis or using the percentage of completion method, revenue recognition from these judgments were identified as a critical audit matter and required a higher extent of audit effort.\n\n \n\nHow the Critical Audit Matter Was Addressed in the Audit\n\n \n\nOur audit procedures related to the (1) identification of distinct performance obligations, (2) determination of whether the Group is acting as a principal or agent and (3) whether fixed price maintenance revenue is recognized on a straight-line basis or using the percentage of completion method included the following, among others:\n\n \n\n•\nWe tested the effectiveness of controls relating to the (a) identification of distinct performance obligations, (b) determination of whether the Group is acting as a principal or an agent and (c) determination of whether fixed price maintenance revenue for certain contracts is recognized on a straight-line basis or using the percentage of completion method.\n\n \n\n•\nWe selected a sample of contracts with customers and performed the following procedures:\n\n \n\n \n\n‑\n\nObtained and read contract documents for each selection, including master service agreements, and other documents that were part of the agreement.\n\n \n\n‑\n\nIdentified significant terms and deliverables in the contract to assess management’s conclusions regarding the (i) identification of distinct performance obligations (ii) whether the Group is acting as a principal or an agent and (iii) whether fixed price maintenance revenue is recognized on a straight-line basis or using the percentage of completion method.\n\n \n\nRevenue recognition - Fixed price contracts using the percentage of completion method - Refer to Notes 1.5(a) and 2.11 to the consolidated financial statements\n\n \n\nCritical Audit Matter Description\n\n \n\nFixed price maintenance revenue is recognized ratably either (1) on a straight-line basis when services are performed through an indefinite number of repetitive acts over a specified period or (2) using a percentage of completion method when the pattern of benefits from services rendered to the customer and the Group’s costs to fulfil the contract is not even through the period of contract because the services are generally discrete in nature and not repetitive. Revenue\n\nfrom other fixed-price, fixed-timeframe contracts, where the performance obligations are satisfied over time is recognized using the percentage-of-completion method.\n\n \n\nUse of the percentage-of-completion method requires the Group to determine the actual efforts or costs expended to date as a proportion of the estimated total efforts or costs to be incurred. Efforts or costs expended have been used to measure progress towards completion as there is a direct relationship between input and productivity. The estimation of total efforts or costs involves significant judgement and is assessed throughout the period of the contract to reflect any changes based on the latest available information. Provisions for estimated losses, if any, on incomplete contracts are recorded in the period in which such losses become probable based on the estimated efforts or costs to complete the contract.\n\n \n\nWe identified the estimate of total efforts or costs to complete fixed price contracts measured using the percentage of completion method as a critical audit matter as the estimation of total efforts or costs involves significant judgement and is assessed throughout the period of the contract to reflect any changes based on the latest available information. This estimate has a high inherent uncertainty and requires consideration of progress of the contract, efforts or costs incurred to-date and estimates of efforts or costs required to complete the remaining contract performance obligations over the term of the contracts.\n\n \n\nThis required a high degree of auditor judgment in evaluating the audit evidence and a higher extent of audit effort to evaluate the reasonableness of the total estimated amount of revenue recognized on fixed-price contracts.\n\n \n\nHow the Critical Audit Matter Was Addressed in the Audit\n\n \n\nOur audit procedures related to estimates of total expected costs or efforts to complete for fixed-price contracts included the following, among others:\n\n \n\n•\nWe tested the effectiveness of controls relating to (1) recording of efforts or costs incurred and estimation of efforts or costs required to complete the remaining contract performance obligations and (2) access and application controls pertaining to time recording, allocation and budgeting systems which prevents unauthorised changes to recording of efforts incurred.\n\n \n\n•\nWe selected a sample of fixed price contracts with customers measured using the percentage-of-completion method and performed the following:\n\n \n\n–\n\nEvaluated management’s ability to reasonably estimate the progress towards satisfying the performance obligation by comparing actual efforts or costs incurred to prior year estimates of efforts or costs budgeted for performance obligations that have been fulfilled.\n\n \n\n–\n\nCompared efforts or costs incurred with Group’s estimate of efforts or costs incurred to date to identify significant variations and evaluate whether those variations have been considered appropriately in estimating the remaining costs or efforts to complete the contract.\n\n \n\n–\n\nTested the estimate for consistency with the status of delivery of milestones and customer acceptances and sign off from customers to identify possible delays in achieving milestones, which require changes in estimated costs or efforts to complete the remaining performance obligations.\n\n   \n\n \n\n/s/ Deloitte Haskins & Sells LLP\n\nBengaluru, India\n\nJune 15, 2026\n\nWe have served as the Company’s auditor since fiscal 2018.\n\nInfosys Limited and subsidiaries\n\nConsolidated Balance Sheet as of March 31,\n\n(Dollars in millions except equity share data)\n\n \n\n \n\nNote\n\n2026\n\n \n\n2025\n\nASSETS\n\n \n\n \n\n \n\n \n\n \n\nCurrent assets\n\n \n\n \n\n \n\n \n\n \n\nCash and cash equivalents\n\n \n\n2.1\n\n2,341\n\n \n\n2,861\n\nCurrent investments\n\n \n\n2.2\n\n1,365\n\n \n\n1,460\n\nTrade receivables\n\n \n\n \n\n3,715\n\n \n\n3,645\n\nUnbilled revenues\n\n \n\n2.12\n\n1,633\n\n \n\n1,503\n\nPrepayments and other current assets\n\n \n\n2.4\n\n1,656\n\n \n\n1,519\n\nIncome tax assets\n\n \n\n2.18\n\n193\n\n \n\n348\n\nDerivative financial instruments\n\n \n\n2.3\n\n9\n\n \n\n23\n\nTotal current assets\n\n \n\n \n\n10,912\n\n \n\n11,359\n\nNon-current assets\n\n \n\n \n\n \n\n \n\n \n\nProperty, plant and equipment\n\n \n\n2.7\n\n1,406\n\n \n\n1,497\n\nRight-of-use assets\n\n \n\n2.8\n\n651\n\n \n\n738\n\nGoodwill\n\n \n\n2.9\n\n1,278\n\n \n\n1,182\n\nIntangible assets\n\n \n\n2.9\n\n298\n\n \n\n323\n\nNon-current investments\n\n \n\n2.2\n\n942\n\n \n\n1,294\n\nUnbilled revenues\n\n \n\n2.12\n\n183\n\n \n\n261\n\nDeferred income tax assets\n\n \n\n2.18\n\n239\n\n \n\n130\n\nIncome tax assets\n\n \n\n2.18\n\n70\n\n \n\n190\n\nOther non-current assets\n\n \n\n2.4\n\n467\n\n \n\n445\n\nTotal non-current assets\n\n \n\n \n\n5,534\n\n \n\n6,060\n\nTotal assets\n\n \n\n \n\n16,446\n\n \n\n17,419\n\nLIABILITIES AND EQUITY\n\n \n\n \n\n \n\n \n\n \n\nCurrent liabilities\n\n \n\n \n\n \n\n \n\n \n\nTrade payables\n\n \n\n \n\n500\n\n \n\n487\n\nLease liabilities\n\n \n\n2.8\n\n333\n\n \n\n287\n\nDerivative financial instruments\n\n \n\n2.3\n\n63\n\n \n\n7\n\nCurrent income tax liabilities\n\n \n\n2.18\n\n594\n\n \n\n567\n\nUnearned revenues\n\n \n\n \n\n1,248\n\n \n\n994\n\nEmployee benefit obligations\n\n \n\n \n\n372\n\n \n\n340\n\nProvisions\n\n \n\n2.6\n\n159\n\n \n\n173\n\nOther current liabilities\n\n \n\n2.5\n\n2,247\n\n \n\n2,157\n\nTotal current liabilities\n\n \n\n \n\n5,516\n\n \n\n5,012\n\nNon-current liabilities\n\n \n\n \n\n \n\n \n\n \n\nLease liabilities\n\n \n\n2.8\n\n634\n\n \n\n675\n\nDeferred income tax liabilities\n\n \n\n2.18\n\n177\n\n \n\n202\n\nEmployee benefit obligations\n\n \n\n \n\n12\n\n \n\n11\n\nOther non-current liabilities\n\n \n\n2.5\n\n267\n\n \n\n264\n\nTotal liabilities\n\n \n\n \n\n6,606\n\n \n\n6,164\n\nEquity\n\n \n\n \n\n \n\n \n\n \n\nShare capital – ₹5/- ($0.16) par value 4,800,000,000 (4,800,000,000) equity shares authorized, issued and outstanding 4,046,940,812 (4,143,607,528) equity shares fully paid up, net of 8,650,911 (9,655,927) treasury shares each as of March 31, 2026 (March 31, 2025), respectively\n\n \n\n \n\n319\n\n \n\n325\n\nShare premium\n\n \n\n \n\n462\n\n \n\n500\n\nRetained earnings\n\n \n\n \n\n13,459\n\n \n\n13,766\n\nCash flow hedge reserves\n\n \n\n \n\n(2)\n\n \n\n(2)\n\nOther reserves\n\n \n\n \n\n773\n\n \n\n1,171\n\nCapital redemption reserve\n\n \n\n \n\n30\n\n \n\n24\n\nOther components of equity\n\n \n\n \n\n(5,255)\n\n \n\n(4,579)\n\nTotal equity attributable to equity holders of the Company\n\n \n\n \n\n9,786\n\n \n\n11,205\n\nNon-controlling interests\n\n \n\n \n\n54\n\n \n\n50\n\nTotal equity\n\n \n\n \n\n9,840\n\n \n\n11,255\n\nTotal liabilities and equity\n\n \n\n \n\n16,446\n\n \n\n17,419\n\nCommitments and contingent liabilities\n\n \n\n2.6, 2.7 and 2.18\n\n \n\n \n\n \n\n \n\nThe accompanying notes form an integral part of the consolidated financial statements.\n\nInfosys Limited and subsidiaries\n\nConsolidated Statements of Comprehensive Income for the years ended March 31,\n\n \n\n(Dollars in millions except equity share and per equity share data)\n\n \n\n \n\nNote\n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\n \n\nRevenues\n\n \n\n2.11\n\n \n\n20,158\n\n \n\n19,277\n\n \n\n18,562\n\n \n\nCost of sales\n\n \n\n \n\n \n\n14,079\n\n \n\n13,405\n\n \n\n12,975\n\n \n\nGross profit\n\n \n\n \n\n \n\n6,079\n\n \n\n5,872\n\n \n\n5,587\n\n \n\nOperating expenses:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nSelling and marketing expenses\n\n \n\n \n\n \n\n1,025\n\n \n\n898\n\n \n\n842\n\n \n\nAdministrative expenses\n\n \n\n \n\n \n\n969\n\n \n\n903\n\n \n\n911\n\n \n\nTotal operating expenses\n\n \n\n \n\n \n\n1,994\n\n \n\n1,801\n\n \n\n1,753\n\n \n\nOperating profit\n\n \n\n \n\n \n\n4,085\n\n \n\n4,071\n\n \n\n3,834\n\n \n\nOther income, net\n\n \n\n2.16\n\n \n\n468\n\n \n\n425\n\n \n\n568\n\n \n\nFinance cost\n\n \n\n \n\n \n\n47\n\n \n\n49\n\n \n\n56\n\n \n\nProfit before income taxes\n\n \n\n \n\n \n\n4,506\n\n \n\n4,447\n\n \n\n4,346\n\n \n\nIncome tax expense\n\n \n\n2.18\n\n \n\n1,190\n\n \n\n1,285\n\n \n\n1,177\n\n \n\nNet profit\n\n \n\n \n\n \n\n3,316\n\n \n\n3,162\n\n \n\n3,169\n\n \n\nOther comprehensive income\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nItems that will not be reclassified subsequently to profit or loss:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nRemeasurements of the net defined benefit liability / asset, net\n\n \n\n \n\n \n\n(31)\n\n \n\n(11)\n\n \n\n15\n\n \n\nEquity instruments through other comprehensive income, net\n\n \n\n2.2 and 2.18\n\n \n\n42\n\n \n\n2\n\n \n\n2\n\n \n\n \n\n \n\n \n\n \n\n11\n\n \n\n(9)\n\n \n\n17\n\n \n\nItems that will be reclassified subsequently to profit or loss:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFair valuation of investments, net\n\n \n\n2.2 and 2.18\n\n \n\n(2)\n\n \n\n24\n\n \n\n17\n\n \n\nFair value changes on derivatives designated as cash flow hedge, net\n\n \n\n2.3 and 2.18\n\n \n\n—\n\n \n\n(3)\n\n \n\n1\n\n \n\nExchange differences on translation of foreign operations\n\n \n\n \n\n \n\n(684)\n\n \n\n(198)\n\n \n\n(117)\n\n \n\n \n\n \n\n \n\n \n\n(686)\n\n \n\n(177)\n\n \n\n(99)\n\n \n\nTotal other comprehensive income/(loss), net of tax\n\n \n\n \n\n \n\n(675)\n\n \n\n(186)\n\n \n\n(82)\n\n \n\nTotal comprehensive income\n\n \n\n \n\n \n\n2,641\n\n \n\n2,976\n\n \n\n3,087\n\n \n\nProfit attributable to:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nOwners of the Company\n\n \n\n \n\n \n\n3,313\n\n \n\n3,158\n\n \n\n3,167\n\n \n\nNon-controlling interests\n\n \n\n \n\n \n\n3\n\n \n\n4\n\n \n\n2\n\n \n\n \n\n \n\n \n\n \n\n3,316\n\n \n\n3,162\n\n \n\n3,169\n\n \n\nTotal comprehensive income attributable to:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nOwners of the Company\n\n \n\n \n\n \n\n2,637\n\n \n\n2,972\n\n \n\n3,086\n\n \n\nNon-controlling interests\n\n \n\n \n\n \n\n4\n\n \n\n4\n\n \n\n1\n\n \n\n \n\n \n\n \n\n \n\n2,641\n\n \n\n2,976\n\n \n\n3,087\n\n \n\nEarnings per equity share\n\n \n\n2.19\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nBasic (in $ per share)\n\n \n\n \n\n \n\n0.81\n\n \n\n0.76\n\n \n\n0.77\n\n \n\nDiluted (in $ per share)\n\n \n\n \n\n \n\n0.80\n\n \n\n0.76\n\n \n\n0.76\n\n \n\nWeighted average equity shares used in computing earnings per equity share\n\n \n\n2.19\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nBasic (in shares)\n\n \n\n \n\n \n\n4,112,814,745\n\n \n\n4,141,611,738\n\n \n\n4,138,568,090\n\n \n\nDiluted (in shares)\n\n \n\n \n\n \n\n4,120,108,168\n\n \n\n4,152,051,184\n\n \n\n4,144,680,425\n\n \n\n \n\nThe accompanying notes form an integral part of the consolidated financial statements.\n\nInfosys Limited and subsidiaries\n\nConsolidated Statements of Changes in Equity\n\n(Dollars in millions except equity share data)\n\n \n\nNumber of\nShares(1)\n\nShare\ncapital\n\nShare\npremium\n\nRetained\nearnings\n\nOther\nReserves(2)\n\nCapital\nredemption\nreserve\n\nCash\nFlow\nHedge\nReserve\n\nOther\ncomponents\nof equity\n\nTotal\nequity\nattributable\nto equity\nholders of\nthe\ncompany\n\nNon-\ncontrolling\ninterest\n\nTotal\nequity\n\nBalance as of April 1, 2023\n\n4,136,387,925\n\n325\n\n366\n\n11,401\n\n1,370\n\n24\n\n–\n\n(4,314)\n\n9,172\n\n52\n\n9,224\n\nChanges in equity for the year ended March 31, 2024\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nNet profit\n\n—\n\n—\n\n—\n\n3,167\n\n—\n\n—\n\n—\n\n—\n\n3,167\n\n2\n\n3,169\n\nRemeasurement of the net defined benefit liability/asset, net*\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n15\n\n15\n\n—\n\n15\n\nEquity instruments through other comprehensive income, net* (Refer to Notes 2.2 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n2\n\n2\n\n—\n\n2\n\nFair value changes on investments, net* (Refer to Notes 2.2 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n17\n\n17\n\n—\n\n17\n\nFair value changes on derivatives designated as cash flow hedge, net* (Refer to Notes 2.3 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n1\n\n—\n\n1\n\n—\n\n1\n\nExchange difference on translation of foreign operations\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(116)\n\n(116)\n\n(1)\n\n(117)\n\nTotal comprehensive income for the period\n\n—\n\n—\n\n—\n\n3,167\n\n—\n\n—\n\n1\n\n(82)\n\n3,086\n\n1\n\n3,087\n\nShares issued on exercise of employee stock options (Refer to Note 2.17)\n\n3,562,710\n\n—\n\n1\n\n—\n\n—\n\n—\n\n—\n\n—\n\n1\n\n—\n\n1\n\nTransfer to other reserves\n\n—\n\n—\n\n—\n\n(357)\n\n357\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nTransfer from other reserves on utilization\n\n—\n\n—\n\n—\n\n104\n\n(104)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nEmployee stock compensation expense (Refer to Note 2.17)\n\n—\n\n—\n\n77\n\n—\n\n—\n\n—\n\n—\n\n—\n\n77\n\n—\n\n77\n\nTransfer on account of options not exercised\n\n—\n\n—\n\n(19)\n\n19\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nDividends paid to non-controlling interest of subsidiary\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(5)\n\n(5)\n\nBuyback of shares pertaining to non controlling interest of subsidiary\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(2)\n\n(2)\n\nDividends#\n\n—\n\n—\n\n—\n\n(1,777)\n\n—\n\n—\n\n—\n\n—\n\n(1,777)\n\n—\n\n(1,777)\n\nBalance as of March 31, 2024\n\n4,139,950,635\n\n325\n\n425\n\n12,557\n\n1,623\n\n24\n\n1\n\n(4,396)\n\n10,559\n\n46\n\n10,605\n\nChanges in equity for the year ended March 31, 2025\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nNet profit\n\n—\n\n—\n\n—\n\n3,158\n\n—\n\n—\n\n—\n\n—\n\n3,158\n\n4\n\n3,162\n\nRemeasurement of the net defined benefit liability/asset, net*\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(11)\n\n(11)\n\n—\n\n(11)\n\nEquity instruments through other comprehensive income, net* (Refer to Notes 2.2 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n2\n\n2\n\n—\n\n2\n\nFair value changes on investments, net* (Refer to Notes 2.2 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n24\n\n24\n\n—\n\n24\n\nFair value changes on derivatives designated as cash flow hedge, net* (Refer to Notes 2.3 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(3)\n\n—\n\n(3)\n\n—\n\n(3)\n\nExchange difference on translation of foreign operations\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(198)\n\n(198)\n\n—\n\n(198)\n\nTotal comprehensive income for the period\n\n—\n\n—\n\n—\n\n3,158\n\n—\n\n—\n\n(3)\n\n(183)\n\n2,972\n\n4\n\n2,976\n\nShares issued on exercise of employee stock options (Refer to Note 2.17)\n\n3,656,893\n\n—\n\n1\n\n—\n\n—\n\n—\n\n—\n\n—\n\n1\n\n—\n\n1\n\nTransferred on account of options not exercised\n\n—\n\n—\n\n(23)\n\n23\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nTransfer to other reserves\n\n—\n\n—\n\n—\n\n(9)\n\n9\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nTransfer from other reserves on utilization\n\n—\n\n—\n\n—\n\n104\n\n(104)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nEmployee stock compensation expense (Refer to Note 2.17)\n\n—\n\n—\n\n93\n\n—\n\n—\n\n—\n\n—\n\n—\n\n93\n\n—\n\n93\n\nIncome tax benefit arising on exercise of stock options\n\n—\n\n—\n\n4\n\n—\n\n—\n\n—\n\n—\n\n—\n\n4\n\n—\n\n4\n\nTransferred from other reserves to retained earnings\n\n—\n\n—\n\n—\n\n357\n\n(357)\n\n \n\n \n\n \n\n—\n\n—\n\n—\n\nDividends#\n\n—\n\n—\n\n—\n\n(2,424)\n\n—\n\n—\n\n—\n\n—\n\n(2,424)\n\n—\n\n(2,424)\n\nBalance as of March 31, 2025\n\n4,143,607,528\n\n325\n\n500\n\n13,766\n\n1,171\n\n24\n\n(2)\n\n(4,579)\n\n11,205\n\n50\n\n11,255\n\nChanges in equity for the year ended March 31, 2026\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nNet profit\n\n—\n\n—\n\n—\n\n3,313\n\n—\n\n—\n\n—\n\n—\n\n3,313\n\n3\n\n3,316\n\nRemeasurement of the net defined benefit liability/asset, net*\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(31)\n\n(31)\n\n—\n\n(31)\n\nEquity instruments through other comprehensive income, net* (Refer to Notes 2.2 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n42\n\n42\n\n—\n\n42\n\nFair value changes on investments, net* (Refer to Notes 2.2 and 2.18)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(2)\n\n(2)\n\n—\n\n(2)\n\nExchange difference on translation of foreign operations\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n(685)\n\n(685)\n\n1\n\n(684)\n\n \n\nTotal comprehensive income for the period\n\n—\n\n—\n\n—\n\n3,313\n\n—\n\n—\n\n—\n\n(676)\n\n2,637\n\n4\n\n2,641\n\nShares issued on exercise of employee stock options (Refer to Note 2.17)\n\n3,333,284\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nBuyback of equity shares (Refer to Note 2.15)\n\n(100,000,000)\n\n(6)\n\n(140)\n\n(1,875)\n\n—\n\n—\n\n—\n\n—\n\n(2,021)\n\n—\n\n(2,021)\n\nTransaction costs related to buyback* (Refer to Note 2.15)\n\n—\n\n—\n\n(2)\n\n(3)\n\n—\n\n—\n\n—\n\n—\n\n(5)\n\n—\n\n(5)\n\nAmount transferred to capital redemption reserve upon Buyback (Refer to Note 2.15)\n\n—\n\n—\n\n—\n\n(6)\n\n—\n\n6\n\n—\n\n—\n\n—\n\n—\n\n—\n\nFinancial liability under option arrangements\n\n—\n\n—\n\n—\n\n(1)\n\n—\n\n—\n\n—\n\n—\n\n(1)\n\n—\n\n(1)\n\nChanges in the controlling stake of a subsidiary\n\n—\n\n—\n\n—\n\n1\n\n—\n\n—\n\n—\n\n—\n\n1\n\n—\n\n1\n\nTransfer from other reserves on utilization\n\n—\n\n—\n\n—\n\n139\n\n(139)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nTransferred from other reserves to retained earnings\n\n—\n\n—\n\n—\n\n259\n\n(259)\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nEmployee stock compensation expense (Refer to Note 2.17)\n\n—\n\n—\n\n106\n\n—\n\n—\n\n—\n\n—\n\n—\n\n106\n\n—\n\n106\n\nTransfer on account of options not exercised\n\n—\n\n—\n\n(7)\n\n7\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\n—\n\nIncome tax benefit arising on exercise of stock options (Refer to note 2.12)\n\n—\n\n—\n\n5\n\n—\n\n—\n\n—\n\n—\n\n—\n\n5\n\n—\n\n5\n\nDividends#\n\n—\n\n—\n\n—\n\n(2,141)\n\n—\n\n—\n\n—\n\n—\n\n(2,141)\n\n—\n\n(2,141)\n\nBalance as of March 31, 2026\n\n4,046,940,812\n\n319\n\n462\n\n13,459\n\n773\n\n30\n\n(2)\n\n(5,255)\n\n9,786\n\n54\n\n9,840\n\n \n\n* net of taxes\n\n# net of treasury shares\n\n(1) excludes treasury shares of 8,650,911 as of March 31, 2026, 9,655,927 as of March 31, 2025, 10,916,829 as of March 31, 2024, and 12,172,119 as of April 1, 2023, held by consolidated trust.\n\n(2) Represents the Special Economic Zone Re-investment reserve created out of the profit of the eligible SEZ unit in terms of the provisions of Sec 10AA(1)(ii) of Income Tax Act,1961. The reserve should be utilized by the Group for acquiring new plant and machinery for the purpose of its business in terms of the provisions of the Sec 10AA(2) of the Income Tax Act, 1961.\n\nThe accompanying notes form an integral part of the consolidated financial statements.\n\n \n\nInfosys Limited and subsidiaries\n\nConsolidated Statements of Cash Flows\n\nAccounting policy\n\nCash flows are reported using the indirect method, whereby profit for the year is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Group are segregated. The Group considers all highly liquid investments that are readily convertible to known amounts of cash to be cash equivalents.\n\n \n\n(Dollars in millions)\n\nFor the years ended March 31,\n\n \n\nNote\n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\n \n\nOperating activities:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nNet profit\n\n \n\n \n\n \n\n3,316\n\n \n\n3,162\n\n \n\n3,169\n\n \n\nAdjustments to reconcile net profit to net cash provided by operating activities:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nDepreciation and amortization\n\n \n\n2.7, 2.8 and 2.9\n\n \n\n552\n\n \n\n569\n\n \n\n565\n\n \n\nInterest and dividend income\n\n \n\n \n\n \n\n(127)\n\n \n\n(139)\n\n \n\n(138)\n\n \n\nFinance cost\n\n \n\n \n\n \n\n47\n\n \n\n49\n\n \n\n56\n\n \n\nIncome tax expense\n\n \n\n2.18\n\n \n\n1,190\n\n \n\n1,285\n\n \n\n1,177\n\n \n\nExchange differences on translation of assets and liabilities, net\n\n \n\n \n\n \n\n106\n\n \n\n9\n\n \n\n11\n\n \n\nImpairment loss recognized/(reversed) under expected credit loss model\n\n \n\n \n\n \n\n4\n\n \n\n6\n\n \n\n15\n\n \n\nStock compensation expense\n\n \n\n \n\n \n\n108\n\n \n\n95\n\n \n\n79\n\n \n\nProvision for post-sales client support and other provisions\n\n \n\n \n\n \n\n(19)\n\n \n\n(13)\n\n \n\n9\n\n \n\nInterest receivable on income tax refund\n\n \n\n \n\n \n\n(7)\n\n \n\n(39)\n\n \n\n(234)\n\n \n\nOther adjustments\n\n \n\n \n\n \n\n101\n\n \n\n99\n\n \n\n176\n\n \n\nChanges in working capital\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nTrade receivables and unbilled revenues\n\n \n\n \n\n \n\n(583)\n\n \n\n(209)\n\n \n\n(322)\n\n \n\nPrepayments and other assets\n\n \n\n \n\n \n\n(260)\n\n \n\n(157)\n\n \n\n(151)\n\n \n\nTrade payables\n\n \n\n \n\n \n\n(3)\n\n \n\n21\n\n \n\n11\n\n \n\nUnearned revenues\n\n \n\n \n\n \n\n349\n\n \n\n135\n\n \n\n21\n\n \n\nOther liabilities and provisions\n\n \n\n \n\n \n\n238\n\n \n\n140\n\n \n\n(182)\n\n \n\nCash generated from operations\n\n \n\n \n\n \n\n5,012\n\n \n\n5,013\n\n \n\n4,262\n\n \n\nIncome taxes paid\n\n \n\n2.18\n\n \n\n(973)\n\n \n\n(662)\n\n \n\n(1,114)\n\n \n\nNet cash generated by operating activities\n\n \n\n \n\n \n\n4,039\n\n \n\n4,351\n\n \n\n3,148\n\n \n\nInvesting activities:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nExpenditure on property, plant and equipment and intangibles, net of sale proceeds\n\n \n\n2.7\n\n \n\n(306)\n\n \n\n(263)\n\n \n\n(266)\n\n \n\nDeposits placed with corporation\n\n \n\n \n\n \n\n(106)\n\n \n\n(145)\n\n \n\n(102)\n\n \n\nRedemption of deposits placed with corporation\n\n \n\n \n\n \n\n82\n\n \n\n92\n\n \n\n86\n\n \n\nInterest and dividend received\n\n \n\n \n\n \n\n98\n\n \n\n113\n\n \n\n110\n\n \n\nPayment for acquisition of business, net of cash acquired\n\n \n\n2.10\n\n \n\n(76)\n\n \n\n(377)\n\n \n\n—\n\n \n\nPayment of contingent consideration pertaining to acquisition of business\n\n \n\n \n\n \n\n(1)\n\n \n\n—\n\n \n\n(12)\n\n \n\nEscrow and other deposits pertaining to Buyback\n\n \n\n \n\n \n\n(204)\n\n \n\n—\n\n \n\n—\n\n \n\nRedemption of escrow and other deposits pertaining to Buyback\n\n \n\n \n\n \n\n204\n\n \n\n—\n\n \n\n—\n\n \n\nOther receipts\n\n \n\n \n\n \n\n1\n\n \n\n1\n\n \n\n16\n\n \n\nPayments to acquire Investments\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nMutual fund units\n\n \n\n \n\n \n\n(8,200)\n\n \n\n(8,636)\n\n \n\n(7,990)\n\n \n\nCertificates of deposit\n\n \n\n \n\n \n\n(1,579)\n\n \n\n(825)\n\n \n\n(1,027)\n\n \n\nQuoted debt securities\n\n \n\n \n\n \n\n(726)\n\n \n\n(383)\n\n \n\n(184)\n\n \n\nCommercial paper\n\n \n\n \n\n \n\n(366)\n\n \n\n(757)\n\n \n\n(1,254)\n\n \n\nOther investments\n\n \n\n \n\n \n\n(4)\n\n \n\n(7)\n\n \n\n(2)\n\n \n\nProceeds on sale of Investments\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nMutual fund units\n\n \n\n \n\n \n\n8,178\n\n \n\n8,747\n\n \n\n7,818\n\n \n\nTarget maturity fund units\n\n \n\n \n\n \n\n56\n\n \n\n-\n\n \n\n-\n\n \n\nCertificates of deposit\n\n \n\n \n\n \n\n1,099\n\n \n\n791\n\n \n\n1,111\n\n \n\nQuoted debt securities\n\n \n\n \n\n \n\n1,206\n\n \n\n373\n\n \n\n203\n\n \n\nCommercial paper\n\n \n\n \n\n \n\n654\n\n \n\n914\n\n \n\n782\n\n \n\nOther investments\n\n \n\n \n\n \n\n-\n\n \n\n1\n\n \n\n3\n\n \n\nNet cash used in investing activities\n\n \n\n \n\n \n\n10\n\n \n\n(361)\n\n \n\n(708)\n\n \n\nFinancing activities:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nPayment of lease liabilities\n\n \n\n \n\n \n\n(318)\n\n \n\n(278)\n\n \n\n(245)\n\n \n\nPayment of dividends\n\n \n\n \n\n \n\n(2,133)\n\n \n\n(2,416)\n\n \n\n(1,777)\n\n \n\nPayment of dividends to non-controlling interests of subsidiary\n\n \n\n \n\n \n\n—\n\n \n\n—\n\n \n\n(5)\n\n \n\nShares issued on exercise of employee stock options\n\n \n\n \n\n \n\n—\n\n \n\n1\n\n \n\n1\n\n \n\nPayment towards purchase of non-controlling interest\n\n \n\n \n\n \n\n—\n\n \n\n—\n\n \n\n(2)\n\n \n\nLoan repayment of in-tech Holding GmbH (Refer to note 2.10)\n\n \n\n \n\n \n\n—\n\n \n\n(118)\n\n \n\n—\n\n \n\nOther payments\n\n \n\n \n\n \n\n(28)\n\n \n\n(64)\n\n \n\n(88)\n\n \n\nBuyback of equity shares including transaction costs\n\n \n\n \n\n \n\n(2,006)\n\n \n\n—\n\n \n\n—\n\n \n\nNet cash used in financing activities\n\n \n\n \n\n \n\n(4,485)\n\n \n\n(2,875)\n\n \n\n(2,116)\n\n \n\nNet increase/(decrease) in cash and cash equivalents\n\n \n\n \n\n \n\n(436)\n\n \n\n1,115\n\n \n\n324\n\n \n\nEffect of exchange rate changes on cash and cash equivalents\n\n \n\n \n\n \n\n(84)\n\n \n\n(27)\n\n \n\n(32)\n\n \n\nCash and cash equivalents at the beginning\n\n \n\n2.1\n\n \n\n2,861\n\n \n\n1,773\n\n \n\n1,481\n\n \n\nCash and cash equivalents at the end\n\n \n\n2.1\n\n \n\n2,341\n\n \n\n2,861\n\n \n\n1,773\n\n \n\nSupplementary information:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nRestricted cash balance\n\n \n\n2.1\n\n \n\n44\n\n \n\n50\n\n \n\n42\n\n \n\nThe accompanying notes form an integral part of the consolidated financial statements\n\n \n\nOverview and Notes to the Consolidated Financial Statements\n\n1. Overview\n\n1.1 Company overview\n\nInfosys Limited ('the Company' or 'Infosys') provides AI-first business consulting and technology services, to enable organizations to unlock AI value at scale. With over four decades of experience in managing the systems and workings of global enterprises, Infosys accelerates business transformation through its AI-first value framework, deep domain expertise, and unique ability to orchestrate innovations from its AI-native partner ecosystem. Infosys’ strategy is to be the navigator for its clients as they ideate, plan and execute on their journey to an AI-first future.\n\nInfosys together with its subsidiaries and controlled trusts is herein after referred to as the “Group”.\n\nThe Company is a public limited company incorporated and domiciled in India and has its registered office at Bengaluru, Karnataka, India. The Company has its primary listings on the BSE Limited and National Stock Exchange of India Limited in India. The Company’s American Depositary Shares (“ADS”) representing equity shares are listed on the New York Stock Exchange (“NYSE”).\n\nThe Group's consolidated financial statements are authorized for issue by the Company’s Board of Directors on June 15, 2026.\n\n1.2 Basis of preparation of financial statements\n\nThese consolidated financial statements are prepared in compliance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”), under the historical cost convention on accrual basis except for certain financial instruments which are measured at fair value and defined benefit liability/(asset) which is recognized at the present value of defined benefit obligation less fair value of plan assets. Accounting policies are consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.\n\nThe material accounting policy information used in preparation of the consolidated financial statements have been discussed in the respective notes.\n\n \n\n1.3 Basis of consolidation\n\nInfosys consolidates entities which it owns or controls. The consolidated financial statements comprise the financial statements of the Company, its controlled trusts and its subsidiaries. Control exists when the parent has power over the entity, is exposed, or has rights, to variable returns from its involvement with the entity and has the ability to affect those returns by using its power over the entity. Power is demonstrated through existing rights that give the ability to direct relevant activities, those which significantly affect the entity's returns. Subsidiaries are consolidated from the date control commences until the date control ceases.\n\nThe financial statements of the Group companies are consolidated on a line-by-line basis and intra-group balances and transactions including unrealized gain / loss from such transactions are eliminated upon consolidation. These financial statements are prepared by applying uniform accounting policies in use at the Group. Non-controlling interests which represent part of the net profit or loss and net assets of subsidiaries that are not, directly or indirectly, owned or controlled by the company, are excluded.\n\nRefer to Note 2.20 for the list of subsidiaries and controlled trusts of the Company.\n\n \n\n1.4 Use of estimates and judgments\n\nThe preparation of the consolidated financial statements in conformity with IFRS requires management to make estimates, judgments and assumptions. These estimates, judgments and assumptions affect the application of accounting policies and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenues and expenses during the period. Application of accounting policies that require critical accounting estimates involving complex and subjective judgments and the use of assumptions in these consolidated financial statements have been disclosed in Note 1.5. Critical Accounting estimates and judgments could change from period to period. Actual results could differ from those estimates. Appropriate changes in estimates are made as management becomes aware of changes in circumstances surrounding the estimates. Changes in estimates and judgments are reflected in the consolidated financial statements in the period in which changes are made and, if material, their effects are disclosed in the notes to the consolidated financial statements.\n\n1.5 Critical accounting estimates and judgements\n\na. Revenue recognition\n\nThe Group’s contracts with customers include promises to transfer multiple products and services to a customer. Revenues from customer contracts are considered for recognition and measurement when the contract has been approved, in writing, by the parties to the contract, the parties to the contract are committed to perform their respective obligations under the contract, and the contract is legally enforceable. The Group assesses the services promised in a contract and identifies distinct performance obligations in the contract. Identification of distinct performance obligations to determine the deliverables and the ability of the customer to benefit independently from such deliverables, and allocation of transaction price to these distinct performance obligations involves significant judgement.\n\nFixed price maintenance revenue is recognized ratably on a straight-line basis when services are performed through an indefinite number of repetitive acts over a specified period. Revenue from a fixed price maintenance contract is recognized ratably using a percentage of completion method when the pattern of benefits from the services rendered to the customer and Group’s costs to fulfil the contract is not even through the period of the contract because the services are generally discrete in nature and not repetitive. The use of methods to recognize the maintenance revenues requires judgment and is based on the promises in the contract and nature of the deliverables.\n\nThe Group uses the percentage-of-completion method in accounting for other fixed-price contracts. Use of the percentage-of-completion method requires the Group to determine the actual efforts or costs expended to date as a proportion of the estimated total efforts or costs to be incurred. Efforts or costs expended have been used to measure progress towards completion as there is a direct relationship between input and productivity. The estimation of total efforts or costs involves significant judgement and is assessed throughout the period of the contract to reflect any changes based on the latest available information.\n\nContracts with customers includes subcontractor services or third-party vendor equipment or software in certain integrated services arrangements. In these types of arrangements, revenue from sales of third-party vendor products or services is recorded net of costs when the Group is acting as an agent between the customer and the vendor, and gross when the Group is the principal for the transaction. In doing so, the Group first evaluates whether it obtains control of the specified goods or services before they are transferred to the customer. The Group considers whether it is primarily responsible for fulfilling the promise to provide the specified goods or services, inventory risk, pricing discretion and other factors to determine whether it controls the specified goods or services and therefore, is acting as a principal or an agent.\n\nProvisions for estimated losses, if any, on incomplete contracts are recorded in the period in which such losses become probable based on the estimated efforts or costs to complete the contract.\n\n \n\nb. Income taxes\n\nThe Group's two major tax jurisdictions are India and the United States, though the company also files tax returns in other overseas jurisdictions.\n\nSignificant judgments are involved in determining the provision for income taxes, including amount expected to be paid/recovered for uncertain tax positions.\n\n \n\nIn assessing the realizability of deferred income tax assets, management considers whether some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which the temporary differences become deductible. Management considers the scheduled reversals of deferred income tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on the level of historical taxable income and projections for future taxable income over the periods in which the deferred income tax assets are deductible, management believes that the Group will realize the benefits of those deductible differences. The amount of the deferred income tax assets considered realizable, however, could be reduced in the near term if estimates of future taxable income during the carry forward period are reduced (Refer to Note 2.18).\n\nc. Business combinations and intangible assets\n\nBusiness combinations are accounted for using IFRS 3 (Revised), Business Combinations. IFRS 3 requires us to fair value identifiable intangible assets and contingent consideration to ascertain the net fair value of identifiable assets, liabilities and contingent liabilities of the acquiree. These valuations are conducted by external valuation experts. Estimates are required to be made in determining the value of contingent consideration, value of option arrangements and intangible assets. These measurements are based on information available at the acquisition date and are based on expectations and assumptions that have been deemed reasonable by management (Refer to Note 2.9 and 2.10).\n\nd. Property, plant and equipment\n\nProperty, plant and equipment represent a significant proportion of the asset base of the Group. The charge in respect of periodic depreciation is derived after determining an estimate of an asset’s expected useful life and the expected residual value at the end of its life. The useful lives and residual values of the Group's assets are determined by management at the time the asset is acquired and reviewed periodically, including at each financial year end. The lives are based on historical experience with similar assets as well as anticipation of future events, which may impact their life, such as changes in technology (Refer to Note 2.7).\n\ne. Impairment of Goodwill\n\nGoodwill is tested for impairment on an annual basis and whenever there is an indication that the recoverable amount of a cash generating unit (“CGU”) is less than its carrying amount. For the impairment test, goodwill is allocated to the CGU or groups of CGUs which benefit from the synergies of the acquisition and which represent the lowest level at which goodwill is monitored for internal management purposes.\n\nThe recoverable amount of CGUs is determined based on higher of value-in-use and fair value less cost to sell. Key assumptions in the cash flow projections are prepared based on current economic conditions and comprises estimated long term growth rates, weighted average cost of capital and estimated operating margins (Refer to Note 2.9).\n\n \n\n1.6 Recent accounting pronouncements\n\nNew and revised IFRS Standards in issue but not yet effective:\n\n \n\n \n\n \n\n \n\nIFRS 18 Presentation and Disclosures in Financial Statements\n\n \n\nPresentation and Disclosures in Financial Statements\n\nAmendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures\n\n:\n\nAmendments to the Classification and Measurement of Financial Instruments\n\nAmendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures\n\n:\n\nContracts Referencing Nature-dependent Electricity\n\n \n\n \n\nIFRS 18 – Presentation and Disclosures in Financial Statements\n\n \n\n \n\nOn April 9, 2024, IASB has issued IFRS 18– Presentation and Disclosures in Financial Statements that will replace IAS 1 Presentation of Financial Statements from its effective date. IFRS 18 introduces new requirements for information presented in the primary financial statements and disclosed in the notes. The new requirements are focused on the statement of profit or loss. IFRS 18 introduces three categories for income and expenses, that is, operating, investing and financing to improve the structure of the income statement. The standard also requires disclosure of newly defined management-defined performance measures, subtotals of income and expenses, and includes new requirements for aggregation and disaggregation of financial information based on the identified ‘roles’ of the primary financial statements and the notes. In addition, narrow-scope amendments have been made to IAS 7 Statement of Cash Flows, which include changing the starting point for determining cash flows from operations under the indirect method, from ‘profit or loss’ to ‘operating profit or loss’ and removing the optionality around classification of cash flows from dividends and interest. In addition, there are consequential amendments to several other standards. IFRS 18 is effective for annual reporting periods beginning on or after January 1, 2027, although early adoption is permitted. The Group is in the process of evaluating the impact of adopting IFRS 18 and other amendments on the consolidated financial statements.\n\n \n\nAmendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures\n\n \n\nOn May 30, 2024, IASB has issued amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures, which clarifies the classification of financial assets with environmental, social and governance (ESG) and similar features, derecognition of financial liability settled through electronic payment systems and also introduces additional disclosure requirements to enhance transparency for investors regarding investments in equity instruments designated at fair value through other comprehensive income and financial instruments with contingent features. Further, the amendments enhance the description of the term ‘non-recourse’, in particular to specify that a financial asset has non-recourse features if an entity’s ultimate right to receive cash flows is contractually limited to the cash flows generated by specified assets.\n\n \n\nThe effective date for adoption of this amendment is annual reporting periods beginning on or after January 1, 2026, although early adoption is permitted. The Group has evaluated the amendment and concluded there is no impact on its consolidated financial statements.\n\n \n\nOn December 18, 2024, IASB has issued amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures, relating to factors an entity is required to consider in assessing the own-use requirements for contracts to buy and take delivery of nature-dependent renewable electricity; hedge accounting treatment for nature-dependent renewable electricity and related disclosures.\n\n \n\nThe effective date for adoption of these amendments is annual reporting periods beginning on or after January 1, 2026, although early adoption is permitted. The Group has evaluated the amendment and there is no impact on its consolidated financial statements.\n\n \n\n2 Notes to the consolidated financial statements\n\n2.1 Cash and cash equivalents\n\nCash and cash equivalents consist of the following:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nCash and bank deposits\n\n \n\n \n\n2,341\n\n \n\n \n\n \n\n2,861\n\n \n\nTotal Cash and cash equivalents\n\n \n\n \n\n2,341\n\n \n\n \n\n \n\n2,861\n\n \n\n \n\nCash and cash equivalents as of March 31, 2026, and March 31, 2025, include restricted cash and bank balances of $44 million and $50 million, respectively. The restrictions are primarily on account of bank balances held by irrevocable trusts controlled by the Company.\n\nThe deposits maintained by the Group with banks and financial institution comprise of time deposits, which can be withdrawn by the Group at any point without prior notice or penalty on the principal.\n\n \n\n \n\n2.2 Investments\n\nThe carrying value of investments are as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nCurrent investments\n\n \n\n \n\n \n\n \n\n \n\n \n\nAmortized cost:\n\n \n\n \n\n \n\n \n\n \n\n \n\nQuoted debt securities\n\n \n\n11\n\n \n\n \n\n \n\n20\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFair value through profit and loss:\n\n \n\n \n\n \n\n \n\n \n\n \n\nMutual funds\n\n \n\n251\n\n \n\n \n\n229\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFair Value through other comprehensive income:\n\n \n\n \n\n \n\n \n\n \n\n \n\nQuoted debt securities\n\n \n\n132\n\n \n\n \n\n375\n\n \n\nCertificates of deposit\n\n \n\n844\n\n \n\n \n\n \n\n410\n\n \n\nCommercial Paper\n\n \n\n127\n\n \n\n \n\n \n\n426\n\n \n\n \n\n \n\n \n\n1,365\n\n \n\n \n\n \n\n1,460\n\n \n\nNon-Current investments\n\n \n\n \n\n \n\n \n\n \n\n \n\nAmortized cost:\n\n \n\n \n\n \n\n \n\n \n\n \n\nQuoted debt securities\n\n \n\n46\n\n \n\n \n\n173\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFair value through other comprehensive income:\n\n \n\n \n\n \n\n \n\n \n\n \n\nQuoted debt securities\n\n \n\n790\n\n \n\n \n\n \n\n1,014\n\n \n\nQuoted equity securities\n\n \n\n6\n\n \n\n \n\n \n\n7\n\n \n\nUnquoted equity and preference securities\n\n \n\n66\n\n \n\n \n\n20\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFair value through profit and loss:\n\n \n\n \n\n \n\n \n\n \n\n \n\nTarget maturity fund units\n\n \n\n \n\n—\n\n \n\n \n\n \n\n54\n\n \n\nUnquoted equity and preference securities\n\n \n\n6\n\n \n\n \n\n \n\n3\n\n \n\nOthers\n\n \n\n28\n\n \n\n \n\n23\n\n \n\n \n\n \n\n \n\n942\n\n \n\n \n\n \n\n1,294\n\n \n\nTotal Investments\n\n \n\n \n\n2,307\n\n \n\n \n\n \n\n2,754\n\n \n\nInvestment carried at amortized cost\n\n \n\n \n\n57\n\n \n\n \n\n \n\n193\n\n \n\nInvestments carried at fair value through other comprehensive income\n\n \n\n \n\n1,965\n\n \n\n \n\n \n\n2,252\n\n \n\nInvestments carried at fair value through profit and loss\n\n \n\n \n\n285\n\n \n\n \n\n \n\n309\n\n \n\n \n\nNote: Uncalled capital commitments outstanding as of March 31, 2026, and March 31, 2025, was $10 million and $14 million, respectively.\n\nRefer to Note 2.3 for accounting policies on financial instruments.\n\nDetails of amounts recorded in other comprehensive income:\n\n \n\n(Dollars in millions)\n\n \n\nNet gain / (loss) on\n\n \n\nYear ended March 31, 2026\n\n \n\n \n\nGross\n\n \n\n \n\nTax\n\n \n\n \n\nNet\n\n \n\nCertificates of deposit, Commercial papers and Quoted debt securities\n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n1\n\n \n\n \n\n \n\n(2\n\n)\n\nEquity and preference securities\n\n \n\n \n\n49\n\n \n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n42\n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\nNet gain / (loss) on\n\n \n\nYear ended March 31, 2025\n\n \n\n \n\nGross\n\n \n\n \n\nTax\n\n \n\n \n\nNet\n\n \n\nQuoted debt securities\n\n \n\n \n\n26\n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n23\n\n \n\nCertificates of deposit and Commercial papers\n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n1\n\n \n\nEquity and preference securities\n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n2\n\n \n\n \n\n(Dollars in millions)\n\n \n\nNet gain / (loss) on\n\n \n\nYear ended March 31, 2024\n\n \n\n \n\nGross\n\n \n\n \n\nTax\n\n \n\n \n\nNet\n\n \n\nQuoted debt securities\n\n \n\n \n\n19\n\n \n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n17\n\n \n\nEquity and preference securities\n\n \n\n \n\n1\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n2\n\n \n\n \n\nMethod of fair valuation:\n\n \n\n(Dollars in millions)\n\n \n\n Class of investment\n\n \n\nMethod\n\n \n\nFair value\n\n \n\n \n\n \n\n \n\n \n\nAs of March 31\n\n \n\n \n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\nMutual fund units- carried at Fair value through profit or loss\n\n \n\nQuoted price\n\n \n\n \n\n251\n\n \n\n \n\n \n\n229\n\n \n\nTarget maturity fund units- carried at Fair value through profit or loss\n\n \n\nQuoted price\n\n \n\n \n\n—\n\n \n\n \n\n \n\n54\n\n \n\nQuoted debt securities- carried at amortized cost\n\n \n\nQuoted price and market\nobservable inputs\n\n \n\n \n\n59\n\n \n\n \n\n \n\n213\n\n \n\nQuoted debt securities- carried at Fair value through other comprehensive income\n\n \n\nQuoted price and market\nobservable inputs\n\n \n\n \n\n922\n\n \n\n \n\n \n\n1,389\n\n \n\nCommercial Paper- carried at Fair value through other comprehensive income\n\n \n\nMarket observable inputs\n\n \n\n \n\n127\n\n \n\n \n\n \n\n426\n\n \n\nCertificate of deposits- carried at Fair value through other comprehensive income\n\n \n\nMarket observable inputs\n\n \n\n \n\n844\n\n \n\n \n\n \n\n410\n\n \n\nUnquoted equity and preference securities - carried at fair value through profit or loss\n\n \n\nDiscounted cash flows method, Market multiples method, Option pricing model\n\n \n\n \n\n6\n\n \n\n \n\n \n\n3\n\n \n\nUnquoted equity and preference securities- carried at fair value through other comprehensive income\n\n \n\nDiscounted cash flows method,\nMarket multiples method,\nOption pricing model\n\n \n\n \n\n66\n\n \n\n \n\n \n\n20\n\n \n\nQuoted equity securities - carried at fair value through other comprehensive income\n\n \n\nQuoted price\n\n \n\n \n\n6\n\n \n\n \n\n \n\n7\n\n \n\nOthers - carried at fair value through profit or loss\n\n \n\nDiscounted cash flows method,\nMarket multiples method,\nOption pricing model\n\n \n\n \n\n28\n\n \n\n \n\n \n\n23\n\n \n\n \n\n \n\n \n\n \n\n \n\n2,309\n\n \n\n \n\n \n\n2,774\n\n \n\n \n\nNote: Certain quoted investments are classified as Level 2 in the absence of active market for such investments.\n\n \n\n \n\n2.3 Financial instruments\n\nAccounting policy\n\n2.3.1 Initial recognition\n\n \n\nThe Group recognizes financial assets and financial liabilities when it becomes a party to the contractual provisions of the instrument. All financial assets and liabilities are recognized at fair value on initial recognition, except for trade receivables which are initially measured at transaction price. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities which are not at fair value through profit or loss are added to the fair value on initial recognition. Regular way purchase and sale of financial assets are accounted for at trade date.\n\n \n\n2.3.2 Subsequent measurement\n\na. Non-derivative financial instruments\n\n(i) Financial assets carried at amortized cost\n\nA financial asset is subsequently measured at amortized cost if it is held within a business model whose objective is to hold the asset in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.\n\n(ii) Financial assets at fair value through other comprehensive income (FVOCI)\n\nA financial asset is subsequently measured at fair value through other comprehensive income if it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. The Group has made an irrevocable election for certain investments which are classified as equity instruments to present the subsequent changes in fair value in other comprehensive income based on its business model.\n\n(iii) Financial assets at fair value through profit or loss (FVTPL)\n\nA financial asset which is not classified in any of the above categories are subsequently fair valued through profit or loss.\n\n(iv) Financial liabilities\n\nFinancial liabilities are subsequently carried at amortized cost using the effective interest method, except for contingent consideration and financial liability under option arrangements recognized in a business combination which is subsequently measured at fair value through profit or loss.\n\nb. Derivative financial instruments\n\nThe Group holds derivative financial instruments such as foreign exchange forward and option contracts to mitigate the risk of changes in exchange rates on foreign currency exposures. The counterparty for such contracts is generally a bank.\n\n(i) Financial assets or financial liabilities, at fair value through profit or loss\n\nThis category includes derivative financial assets or liabilities which are not designated as hedges.\n\nAlthough the Group believes that these derivatives constitute hedges from an economic perspective, they may not qualify for hedge accounting under IFRS 9, Financial Instruments. Any derivative that is either not designated a hedge, or is so designated but is ineffective as per IFRS 9, is categorized as a financial asset or financial liability, carried at fair value through profit or loss.\n\n \n\nDerivatives not designated as hedges are recognized initially at fair value and attributable transaction costs are recognized in net profit in the consolidated statement of comprehensive income when incurred. Subsequent to initial recognition, these derivatives are measured at fair value through profit or loss and the resulting exchange gains or losses are included in other income. Assets/ liabilities in this category are presented as current assets/current liabilities if they are either held for trading or are expected to be realized within 12 months after the balance sheet date.\n\n(ii) Cash flow hedge\n\nThe Group primarily designates certain foreign exchange forward and options contracts as cash flow hedges to mitigate the risk of foreign exchange exposure on highly probable forecast cash transactions.\n\nWhen a derivative is designated as a cash flow hedging instrument, the effective portion of changes in the fair value of the derivative is recognized in other comprehensive income and accumulated in the cash flow hedge reserve. Any ineffective portion of changes in the fair value of the derivative is recognized immediately in other income in the statement of comprehensive income. If the hedging instrument no longer meets the criteria for hedge accounting, then hedge accounting is discontinued prospectively. If the hedging instrument expires or is sold, terminated or exercised, the cumulative gain or loss on the hedging instrument recognized in cash flow hedge reserve till the period the hedge was effective remains in cash flow hedge reserve until the forecasted transaction occurs. The cumulative gain or loss previously recognized in the cash flow hedge reserve is transferred to the net profit in the statement of comprehensive income upon the occurrence of the related forecasted transaction. If the forecasted transaction is no longer expected to occur, then the amount accumulated in cash flow hedge reserve is reclassified to the net profit in the consolidated statement of comprehensive income.\n\n \n\n \n\n2.3.3 Derecognition of financial instruments\n\nThe Group derecognizes a financial asset when the contractual rights to the cash flows from the financial asset expire or it transfers the financial asset and the transfer qualifies for derecognition under IFRS 9. A financial liability (or a part of a financial liability) is derecognized from the Group's balance sheet when the obligation specified in the contract is discharged or cancelled or expires.\n\n2.3.4 Fair value of financial instruments\n\nIn determining the fair value of its financial instruments, the Group uses a variety of methods and assumptions that are based on market conditions and risks existing at each reporting date. The methods used to determine fair value include discounted cash flow analysis, available quoted market prices, option pricing models, market multiples and dealer quotes. All methods of assessing fair value result in general approximation of value, and such value may never actually be realized.\n\nRefer to table ‘Financial instruments by category’ below for the disclosure on carrying value and fair value of financial assets and liabilities. For financial assets and liabilities maturing within one year from the balance sheet date and which are not carried at fair value, the carrying amounts approximate fair value due to the short maturity of these instruments.\n\n2.3.5 Impairment\n\nThe Group recognizes loss allowances using the expected credit loss (ECL) model for the financial assets and unbilled revenue which are not fair valued through profit or loss. Loss allowance for trade receivables and unbilled revenue with no significant financing component is measured at an amount equal to lifetime ECL. For all other financial assets, expected credit losses are measured at an amount equal to the 12-month ECL, unless there has been a significant increase in credit risk from initial recognition in which case those are measured at lifetime ECL.\n\n \n\nThe Group determines the allowance for credit losses based on historical loss experience adjusted to reflect current and estimated future economic conditions. The Group considers current and anticipated future economic conditions relating to industries the Group deals with and the countries where it operates.\n\n \n\nThe amount of expected credit losses (or reversal) that is required to adjust the loss allowance at the reporting date to the amount that is required to be recorded is recognized as an impairment loss or gain in consolidated statement of comprehensive income.\n\n \n\n \n\nFinancial instruments by category\n\n \n\nThe carrying value and fair value of financial instruments by categories as of March 31, 2026, were as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\n \n\n \n\n \n\nFinancial assets/ liabilities\nat fair value through\nprofit or loss\n\n \n\n \n\nFinancial assets/liabilities\nat fair value through OCI\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nAmortised cost\n\n \n\n \n\nDesignated upon\ninitial recognition\n\n \n\n \n\nMandatory\n\n \n\n \n\nEquity instruments\ndesignated upon\ninitial recognition\n\n \n\n \n\nMandatory\n\n \n\n \n\nTotal\ncarrying\nvalue\n\n \n\n \n\nTotal fair value\n\n \n\nAssets:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nCash and cash equivalents (Refer to Note 2.1)\n\n \n\n \n\n2,341\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n2,341\n\n \n\n \n\n \n\n2,341\n\n \n\nInvestments (Refer to Note 2.2)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nMutual funds\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n251\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n251\n\n \n\n \n\n \n\n251\n\n \n\nQuoted debt securities\n\n \n\n \n\n57\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n922\n\n \n\n \n\n \n\n979\n\n \n\n \n\n981(1)\n\n \n\nCertificates of deposit\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n844\n\n \n\n \n\n \n\n844\n\n \n\n \n\n \n\n844\n\n \n\nCommercial Papers\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n127\n\n \n\n \n\n \n\n127\n\n \n\n \n\n \n\n127\n\n \n\nQuoted equity securities\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n6\n\n \n\nUnquoted equity and preference securities\n\n \n\n \n\n—\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n66\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n72\n\n \n\n \n\n \n\n72\n\n \n\nUnquoted investments others\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n28\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n28\n\n \n\n \n\n \n\n28\n\n \n\nTrade receivables\n\n \n\n \n\n3,715\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n3,715\n\n \n\n \n\n \n\n3,715\n\n \n\nUnbilled revenues (Refer to Note 2.12) (3)\n\n \n\n \n\n1,211\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n1,211\n\n \n\n \n\n \n\n1,211\n\n \n\nPrepayments and other assets (Refer to Note 2.4)\n\n \n\n \n\n774\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n774\n\n \n\n \n\n772(2)\n\n \n\nDerivative financial instruments\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n9\n\n \n\nTotal\n\n \n\n \n\n8,098\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n282\n\n \n\n \n\n \n\n72\n\n \n\n \n\n \n\n1,899\n\n \n\n \n\n \n\n10,357\n\n \n\n \n\n \n\n10,357\n\n \n\nLiabilities:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nTrade payables\n\n \n\n \n\n500\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n500\n\n \n\n \n\n \n\n500\n\n \n\nLease liabilities (Refer to Note 2.8)\n\n \n\n \n\n967\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n967\n\n \n\n \n\n \n\n967\n\n \n\nDerivative financial instruments\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n57\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n63\n\n \n\n \n\n \n\n63\n\n \n\nFinancial liability under option arrangements (Refer to Note 2.5)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n93\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n93\n\n \n\n \n\n \n\n93\n\n \n\nOther liabilities including contingent consideration (Refer to Note 2.5)\n\n \n\n \n\n1,936\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n11\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n1,947\n\n \n\n \n\n \n\n1,947\n\n \n\nTotal\n\n \n\n \n\n3,403\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n161\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n3,570\n\n \n\n \n\n \n\n3,570\n\n \n\n \n\n(1)\nOn account of fair value changes including interest accrued\n\n(2)\nExcludes interest accrued on quoted debt securities carried at amortized cost of $2 million\n\n(3)\nExcludes unbilled revenue on contracts where the right to consideration is dependent on completion of contractual milestones\n\n \n\nThe carrying value and fair value of financial instruments by categories as of March 31, 2025, were as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\n \n\nFinancial assets/ liabilities\nat fair value through\nprofit or loss\n\n \n\nFinancial assets/liabilities\nat fair value through OCI\n\n \n\n \n\n \n\n \n\n \n\n \n\nAmortised cost\n\n \n\nDesignated upon\ninitial recognition\n\n \n\nMandatory\n\n \n\nEquity instruments\ndesignated upon\ninitial recognition\n\n \n\nMandatory\n\n \n\nTotal\ncarrying\nvalue\n\n \n\nTotal fair value\n\nAssets:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nCash and cash equivalents (Refer to Note 2.1)\n\n \n\n2,861\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n2,861\n\n \n\n2,861\n\nInvestments (Refer to Note 2.2)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nMutual funds\n\n \n\n—\n\n \n\n—\n\n \n\n229\n\n \n\n—\n\n \n\n—\n\n \n\n229\n\n \n\n229\n\nTarget maturity fund units\n\n \n\n—\n\n \n\n—\n\n \n\n54\n\n \n\n—\n\n \n\n—\n\n \n\n54\n\n \n\n54\n\nQuoted debt securities\n\n \n\n193\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n1,389\n\n \n\n1,582\n\n \n\n1,602(1)\n\nCertificates of deposit\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n410\n\n \n\n410\n\n \n\n410\n\nCommercial Papers\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n426\n\n \n\n426\n\n \n\n426\n\nQuoted equity securities\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n7\n\n \n\n—\n\n \n\n7\n\n \n\n7\n\nUnquoted equity and preference securities\n\n \n\n—\n\n \n\n3\n\n \n\n—\n\n \n\n20\n\n \n\n—\n\n \n\n23\n\n \n\n23\n\nUnquoted investments others\n\n \n\n—\n\n \n\n—\n\n \n\n23\n\n \n\n—\n\n \n\n—\n\n \n\n23\n\n \n\n23\n\nTrade receivables\n\n \n\n3,645\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n3,645\n\n \n\n3,645\n\nUnbilled revenues (Refer to Note 2.12) (3)\n\n \n\n1,195\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n1,195\n\n \n\n1,195\n\nPrepayments and other assets (Refer to Note 2.4)\n\n \n\n844\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n844\n\n \n\n835(2)\n\nDerivative financial instruments\n\n \n\n—\n\n \n\n—\n\n \n\n20\n\n \n\n—\n\n \n\n3\n\n \n\n23\n\n \n\n23\n\nTotal\n\n \n\n8,738\n\n \n\n3\n\n \n\n326\n\n \n\n27\n\n \n\n2,228\n\n \n\n11,322\n\n \n\n11,333\n\nLiabilities:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nTrade payables\n\n \n\n487\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n487\n\n \n\n487\n\nLease liabilities (Refer to Note 2.8)\n\n \n\n962\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n962\n\n \n\n962\n\nDerivative financial instruments\n\n \n\n—\n\n \n\n—\n\n \n\n3\n\n \n\n—\n\n \n\n4\n\n \n\n7\n\n \n\n7\n\nFinancial liability under option arrangements (Refer to Note 2.5)\n\n \n\n—\n\n \n\n—\n\n \n\n77\n\n \n\n—\n\n \n\n—\n\n \n\n77\n\n \n\n77\n\nOther liabilities including contingent consideration (Refer to Note 2.5)\n\n \n\n1,932\n\n \n\n—\n\n \n\n3\n\n \n\n—\n\n \n\n—\n\n \n\n1,935\n\n \n\n1,935\n\nTotal\n\n \n\n3,381\n\n \n\n—\n\n \n\n83\n\n \n\n—\n\n \n\n4\n\n \n\n3,468\n\n \n\n3,468\n\n \n\n(1)\nOn account of fair value changes including interest accrued\n\n(2)\nExcludes interest accrued on quoted debt securities carried at amortized cost of $9 million\n\n(3)\nExcludes unbilled revenue on contracts where the right to consideration is dependent on completion of contractual milestones\n\n \n\nFor trade receivables, trade payables, other assets and payables maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the short maturity of these instruments.\n\nFair value hierarchy\n\nLevel 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities.\n\nLevel 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices).\n\nLevel 3 - Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).\n\n \n\nThe fair value hierarchy of assets and liabilities measured at fair value on a recurring basis as of March 31, 2026 is as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nAs of\nMarch 31, 2026\n\n \n\nFair value measurement at end of\nthe reporting year using\n\n \n\n \n\n \n\n \n\nLevel 1\n\n \n\nLevel 2\n\n \n\nLevel 3\n\nAssets\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nInvestments (Refer to note 2.2)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nInvestments in Mutual fund units\n\n \n\n251\n\n \n\n251\n\n \n\n—\n\n \n\n—\n\nInvestments in quoted debt securities\n\n \n\n981\n\n \n\n898\n\n \n\n83\n\n \n\n—\n\nInvestments in certificates of deposit\n\n \n\n844\n\n \n\n—\n\n \n\n844\n\n \n\n—\n\nInvestments in commercial paper\n\n \n\n127\n\n \n\n—\n\n \n\n127\n\n \n\n—\n\nInvestments in unquoted equity and preference securities\n\n \n\n72\n\n \n\n—\n\n \n\n—\n\n \n\n72\n\nInvestments in quoted equity securities\n\n \n\n6\n\n \n\n6\n\n \n\n—\n\n \n\n—\n\nInvestment in unquoted investments others\n\n \n\n28\n\n \n\n—\n\n \n\n—\n\n \n\n28\n\nOthers\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nDerivative financial instruments- gain\n\n \n\n9\n\n \n\n—\n\n \n\n9\n\n \n\n—\n\nLiabilities\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nDerivative financial instruments- loss\n\n \n\n63\n\n \n\n—\n\n \n\n63\n\n \n\n—\n\nFinancial liability under option arrangements (Refer to Note 2.5)(1)\n\n \n\n93\n\n \n\n—\n\n \n\n—\n\n \n\n93\n\nLiability towards contingent consideration (Refer to note 2.5)(2)\n\n \n\n11\n\n \n\n—\n\n \n\n—\n\n \n\n11\n\n \n\n(1) Discount rate ranges from 9.5% to 14.5%\n\n(2) Discount rate ranges from 2.5% to 6%\n\nDuring fiscal 2026, quoted debt securities of $10 million were transferred from Level 2 to Level 1 of fair value hierarchy, since these were valued based on quoted price and quoted debt securities of $51 million were transferred from Level 1 to Level 2 of fair value hierarchy, since these were valued based on market observable inputs.\n\n \n\nThe fair value hierarchy of assets and liabilities measured at fair value on a recurring basis as of March 31, 2025 is as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\nMarch 31, 2025\n\n \n\n \n\nFair value measurement at end of\nthe reporting year using\n\n \n\n \n\n \n\n \n\n \n\n \n\nLevel 1\n\n \n\n \n\nLevel 2\n\n \n\n \n\nLevel 3\n\n \n\nAssets\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nInvestments (Refer to note 2.2)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nInvestments in Mutual fund units\n\n \n\n \n\n229\n\n \n\n \n\n \n\n229\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nInvestments in target maturity fund units\n\n \n\n \n\n54\n\n \n\n \n\n \n\n54\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nInvestments in quoted debt securities\n\n \n\n \n\n1,602\n\n \n\n \n\n \n\n1,533\n\n \n\n \n\n \n\n69\n\n \n\n \n\n \n\n—\n\n \n\nInvestments in certificates of deposit\n\n \n\n \n\n410\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n410\n\n \n\n \n\n \n\n—\n\n \n\nInvestments in commercial paper\n\n \n\n \n\n426\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n426\n\n \n\n \n\n \n\n—\n\n \n\nInvestments in unquoted equity and preference securities\n\n \n\n \n\n23\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n23\n\n \n\nInvestments in quoted equity securities\n\n \n\n \n\n7\n\n \n\n \n\n \n\n7\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nInvestment in unquoted investments others\n\n \n\n \n\n23\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n23\n\n \n\nOthers\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nDerivative financial instruments- gain\n\n \n\n \n\n23\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n23\n\n \n\n \n\n \n\n—\n\n \n\nLiabilities\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nDerivative financial instruments- loss\n\n \n\n \n\n7\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n7\n\n \n\n \n\n \n\n—\n\n \n\nFinancial liability under option arrangements (Refer to Note 2.5)(1)\n\n \n\n \n\n77\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n77\n\n \n\nLiability towards contingent consideration (Refer to note 2.5)(2)\n\n \n\n \n\n3\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n3\n\n \n\n \n\n(1)Discount rate ranges from 9% to 15%\n\n(2)Discount rate - 6%\n\nDuring fiscal 2025, quoted debt securities of $35 million were transferred from Level 2 to Level 1 of fair value hierarchy, since these were valued based on quoted price and quoted debt securities of $65 million were transferred from Level 1 to Level 2 of fair value hierarchy, since these were valued based on market observable inputs.\n\nMajority of investments of the Group are fair valued based on Level 1 or Level 2 inputs. These investments primarily include investment in mutual fund units, target maturity fund units, quoted debt securities, certificates of deposit, commercial paper, quoted bonds issued by government and quasi-government organizations. The Group invests after considering counterparty risks based on multiple criteria including Tier I Capital, Capital Adequacy Ratio, Credit Rating, Profitability, NPA levels and Deposit base of banks and financial institutions. These risks are monitored regularly as per Group’s risk management program.\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nThe following tables present movement of assets and liabilities valued using level 3 inputs for the year ended March 31, 2026 and March 31,2025:\n\n(i) Investments\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n2024\n\n \n\n \n\n \n\nUnquoted equity and preference securities\n\n \n\n \n\nOthers\n\n \n\n \n\n Unquoted equity and preference securities\n\n \n\n \n\nOthers\n\n \n\nUnquoted equity and preference securities\n\n \n\n \n\nOthers\n\n \n\nBalance at the beginning\n\n \n\n \n\n23\n\n \n\n \n\n \n\n23\n\n \n\n \n\n \n\n11\n\n \n\n \n\n \n\n24\n\n \n\n \n\n24\n\n \n\n \n\n \n\n21\n\n \n\nPurchase of investments\n\n \n\n \n\n—\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n4\n\n \n\n \n\n—\n\n \n\n \n\n \n\n2\n\n \n\nFair value gain/(loss) recognised through profit and loss\n\n \n\n \n\n3\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n—\n\n \n\n \n\n \n\n4\n\n \n\nFair value gain/(loss) recognised through other comprehensive income\n\n \n\n \n\n47\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n—\n\n \n\n \n\n5\n\n \n\n \n\n \n\n—\n\n \n\nSale of investments\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n—\n\n \n\n \n\n \n\n(3\n\n)\n\nTransferred from Level 3 to Level 1 based on quotes prices\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n(14\n\n)\n\n \n\n \n\n—\n\n \n\nTranslation difference\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n(4\n\n)\n\n \n\n \n\n—\n\n \n\nBalance at the end\n\n \n\n \n\n72\n\n \n\n \n\n \n\n28\n\n \n\n \n\n \n\n23\n\n \n\n \n\n \n\n23\n\n \n\n \n\n11\n\n \n\n \n\n \n\n24\n\n \n\n \n\n \n\nii) Financial liability under option arrangements\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\n \n\nBalance at the beginning\n\n \n\n \n\n77\n\n \n\n \n\n72\n\n \n\n \n\n73\n\n \n\nAddition\n\n \n\n \n\n1\n\n \n\n \n\n-\n\n \n\n \n\n-\n\n \n\nChange in fair value\n\n \n\n \n\n10\n\n \n\n \n\n6\n\n \n\n \n\n-\n\n \n\nTranslation difference\n\n \n\n \n\n5\n\n \n\n \n\n(1\n\n)\n\n \n\n(1\n\n)\n\nBalance at the end\n\n \n\n \n\n93\n\n \n\n \n\n77\n\n \n\n \n\n72\n\n \n\n \n\n \n\n(iii) Liability towards contingent consideration\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\n \n\nBalance at the beginning\n\n \n\n \n\n3\n\n \n\n \n\n-\n\n \n\n \n\n12\n\n \n\nAddition due to business combination (Refer Note - 2.10)\n\n \n\n \n\n8\n\n \n\n \n\n4\n\n \n\n \n\n-\n\n \n\nPayments\n\n \n\n \n\n(1\n\n)\n\n \n\n-\n\n \n\n \n\n(12\n\n)\n\nTranslation difference\n\n \n\n \n\n1\n\n \n\n \n\n(1\n\n)\n\n \n\n-\n\n \n\nBalance at the end\n\n \n\n \n\n11\n\n \n\n \n\n3\n\n \n\n \n\n-\n\n \n\n \n\nA one percentage point change in the unobservable inputs used in fair valuation of Level 3 assets and liabilities does not have a significant impact in its value.\n\n \n\nIncome from financial assets\n\n \n\n(Dollars in millions)\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\n \n\nInterest income on financial assets carried at amortized cost\n\n \n\n184\n\n \n\n \n\n180\n\n \n\n \n\n128\n\n \n\n \n\nInterest income on financial assets fair valued through other comprehensive income\n\n \n\n121\n\n \n\n \n\n124\n\n \n\n \n\n122\n\n \n\n \n\nGain / (loss) on investments carried at fair value through profit or loss\n\n \n\n33\n\n \n\n \n\n34\n\n \n\n \n\n34\n\n \n\n \n\nGain / (loss) on investments carried at fair value through other comprehensive Income\n\n \n\n2\n\n \n\n \n\n \n\n-\n\n \n\n \n\n \n\n-\n\n \n\n \n\nGain / (loss) on investments carried at amortized cost\n\n \n\n \n\n9\n\n \n\n \n\n \n\n-\n\n \n\n \n\n \n\n-\n\n \n\n \n\n \n\n \n\n \n\n349\n\n \n\n \n\n \n\n338\n\n \n\n \n\n \n\n284\n\n \n\n \n\n \n\nFinancial risk management\n\nFinancial risk factors\n\nThe Group's activities expose it to a variety of financial risks: market risk, credit risk and liquidity risk. The Group's primary focus is to foresee the unpredictability of financial markets and seek to minimize potential adverse effects on its financial performance. The primary market risk to the Group is foreign exchange risk. The Group uses derivative financial instruments to mitigate foreign exchange related risk exposures. The Group's exposure to credit risk is influenced mainly by the individual characteristic of each customer and the concentration of risk from the top few customers.\n\nMarket risk\n\nThe Group operates internationally, and a major portion of the business is transacted in several currencies and consequently the Group is exposed to foreign exchange risk through its sales and services in the United States and elsewhere, and purchases from overseas suppliers in various foreign currencies. The Group holds derivative financial instruments such as foreign exchange forward and option contracts to mitigate the risk of changes in exchange rates on foreign currency exposures. The Group is also exposed to foreign exchange risk arising on intercompany transaction in foreign currencies. The exchange rate between the Indian rupee and foreign currencies has changed substantially in recent years and may fluctuate substantially in the future. Consequently, the results of the Group’s operations are adversely affected as the rupee appreciates/ depreciates against these currencies.\n\nThe following table analyzes foreign currency risk from financial assets and liabilities as of March 31, 2026:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nU.S. dollars\n\n \n\nEuro\n\n \n\nUnited Kingdom\n Pound Sterling\n\n \n\nAustralian dollars\n\n \n\nOther currencies\n\n \n\nTotal\n\nNet financial assets\n\n \n\n3,025\n\n \n\n1,384\n\n \n\n259\n\n \n\n235\n\n \n\n442\n\n \n\n5,345\n\nNet financial liabilities\n\n \n\n(1,551)\n\n \n\n(482)\n\n \n\n(142)\n\n \n\n(131)\n\n \n\n(286)\n\n \n\n(2,592)\n\nTotal\n\n \n\n1,474\n\n \n\n902\n\n \n\n117\n\n \n\n104\n\n \n\n156\n\n \n\n2,753\n\n \n\nThe following table analyzes foreign currency risk from financial assets and liabilities as of March 31, 2025:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nU.S. dollars\n\n \n\nEuro\n\n \n\nUnited Kingdom\n Pound Sterling\n\n \n\nAustralian dollars\n\n \n\nOther currencies\n\n \n\nTotal\n\nNet financial assets\n\n \n\n3,138\n\n \n\n1,379\n\n \n\n261\n\n \n\n159\n\n \n\n361\n\n \n\n5,298\n\nNet financial liabilities\n\n \n\n(1,539)\n\n \n\n(440)\n\n \n\n(120)\n\n \n\n(83)\n\n \n\n(253)\n\n \n\n(2,435)\n\nTotal\n\n \n\n1,599\n\n \n\n939\n\n \n\n141\n\n \n\n76\n\n \n\n108\n\n \n\n2,863\n\n \n\nFor the years ended March 31, 2026, 2025 and 2024, every percentage point depreciation / appreciation in the exchange rate between the Indian rupee and the U.S. dollar has affected the Group's incremental operating margins by approximately 0.44%, 0.43% and 0.43%, respectively.\n\nSensitivity analysis is computed based on the changes in the income and expenses in foreign currency upon conversion into functional currency, due to exchange rate fluctuations between the previous reporting period and the current reporting period.\n\nDerivative financial instruments\n\nThe Group primarily holds derivative financial instruments such as foreign exchange forward and option contracts to mitigate the risk of changes in exchange rates on foreign currency exposures. The counterparty for such contracts is generally a bank. These derivative financial instruments are valued based on quoted prices for similar assets and liabilities in active markets or inputs that are directly or indirectly observable in the marketplace.\n\n \n\nThe following table gives details in respect of outstanding foreign exchange forward and options contracts:\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\n \n\n \n\nIn Million\n\n \n\n \n\nIn $ Million\n\n \n\n \n\nIn Million\n\n \n\n \n\nIn $ Million\n\n \n\nDerivatives designated as cash flow hedges\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nForward contracts\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIn Swiss Franc\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n53\n\n \n\n \n\n60\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nOption Contracts\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIn Euro\n\n \n\n \n\n417\n\n \n\n \n\n \n\n479\n\n \n\n \n\n \n\n341\n\n \n\n \n\n \n\n367\n\n \n\nIn Australian dollars\n\n \n\n \n\n87\n\n \n\n \n\n \n\n60\n\n \n\n \n\n \n\n93\n\n \n\n \n\n \n\n58\n\n \n\nIn Swiss Franc\n\n \n\n \n\n26\n\n \n\n \n\n \n\n32\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nIn United Kingdom Pound Sterling\n\n \n\n \n\n18\n\n \n\n \n\n \n\n24\n\n \n\n \n\n \n\n17\n\n \n\n \n\n \n\n22\n\n \n\nOther derivatives\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nForward contracts\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIn U.S. Dollars\n\n \n\n \n\n1,509\n\n \n\n \n\n \n\n1,509\n\n \n\n \n\n \n\n1,284\n\n \n\n \n\n \n\n1,284\n\n \n\nIn Euro\n\n \n\n \n\n853\n\n \n\n \n\n \n\n980\n\n \n\n \n\n \n\n698\n\n \n\n \n\n \n\n753\n\n \n\nIn Singapore dollars\n\n \n\n \n\n149\n\n \n\n \n\n \n\n115\n\n \n\n \n\n \n\n133\n\n \n\n \n\n \n\n99\n\n \n\nIn Swiss Franc\n\n \n\n \n\n70\n\n \n\n \n\n \n\n88\n\n \n\n \n\n \n\n51\n\n \n\n \n\n \n\n58\n\n \n\nIn United Kingdom Pound Sterling\n\n \n\n \n\n65\n\n \n\n \n\n \n\n85\n\n \n\n \n\n \n\n53\n\n \n\n \n\n \n\n69\n\n \n\nIn Australian dollars\n\n \n\n \n\n58\n\n \n\n \n\n \n\n40\n\n \n\n \n\n \n\n24\n\n \n\n \n\n \n\n15\n\n \n\nIn Norwegian Krone\n\n \n\n \n\n300\n\n \n\n \n\n \n\n31\n\n \n\n \n\n \n\n167\n\n \n\n \n\n \n\n16\n\n \n\nIn Hongkong Dollars\n\n \n\n \n\n106\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n40\n\n \n\n \n\n \n\n5\n\n \n\nIn New Zealand dollars\n\n \n\n \n\n22\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n37\n\n \n\n \n\n \n\n21\n\n \n\nIn South African rand\n\n \n\n \n\n152\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nIn Danish Krone\n\n \n\n \n\n50\n\n \n\n \n\n \n\n8\n\n \n\n \n\n \n\n152\n\n \n\n \n\n \n\n22\n\n \n\nIn Hungarian Forint\n\n \n\n \n\n2,280\n\n \n\n \n\n \n\n7\n\n \n\n \n\n \n\n2,000\n\n \n\n \n\n \n\n5\n\n \n\nIn Canadian dollars\n\n \n\n \n\n7\n\n \n\n \n\n \n\n5\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nIn Czech Koruna\n\n \n\n \n\n99\n\n \n\n \n\n \n\n5\n\n \n\n \n\n \n\n176\n\n \n\n \n\n \n\n7\n\n \n\nIn Philippine Peso\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n500\n\n \n\n \n\n \n\n9\n\n \n\nOption contracts\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nIn U.S. Dollars\n\n \n\n \n\n685\n\n \n\n \n\n \n\n685\n\n \n\n \n\n796\n\n \n\n \n\n796\n\n \n\nIn Euro\n\n \n\n \n\n48\n\n \n\n \n\n \n\n55\n\n \n\n \n\n \n\n179\n\n \n\n \n\n \n\n193\n\n \n\nIn Australian dollars\n\n \n\n \n\n25\n\n \n\n \n\n \n\n17\n\n \n\n \n\n11\n\n \n\n \n\n7\n\n \n\nIn United Kingdom Pound Sterling\n\n \n\n \n\n10\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n4,273\n\n \n\n \n\n \n\n \n\n \n\n \n\n3,866\n\n \n\n \n\nThe Group recognized a net loss of $258 million, net loss of $12 million and net gain of $22 million on derivative financial instruments not designated as cash flow hedges for fiscal 2026, 2025 and 2024, respectively, which are included under other income.\n\nThe foreign exchange forward and option contracts mature within 12 months. The table below analyzes the derivative financial instruments into relevant maturity groupings based on the remaining period as of the balance sheet date:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\nMarch 31, 2025\n\n \n\nNot later than one month\n\n \n\n \n\n2,186\n\n \n\n \n\n1,814\n\n \n\nLater than one month and not later than three months\n\n \n\n \n\n1,967\n\n \n\n \n\n1,947\n\n \n\nLater than three months and not later than one year\n\n \n\n \n\n120\n\n \n\n \n\n105\n\n \n\n \n\n \n\n \n\n4,273\n\n \n\n \n\n3,866\n\n \n\n \n\n \n\nDuring fiscal 2026, 2025 and 2024, the Group has designated certain foreign exchange forward and option contracts as cash flow hedges to mitigate the risk of foreign exchange exposure on highly probable forecast cash transactions. The related hedge transactions for balance in cash flow hedge reserve as of March 31, 2026, are expected to occur and reclassified to statement of comprehensive income within three months.\n\nThe Group determines the existence of an economic relationship between the hedging instrument and hedged item based on the currency, amount and timing of its forecasted cash flows. Hedge effectiveness is determined at the inception of the hedge relationship, and through periodic prospective effectiveness assessments to ensure that an economic relationship exists between the hedged item and hedging instrument, including whether the hedging instrument is expected to offset changes in cash flows of hedged items.\n\nIf the hedge ratio for risk management purposes is no longer optimal but the risk management objective remains unchanged and the hedge continues to qualify for hedge accounting, the hedge relationship will be rebalanced by adjusting either the volume of the hedging instrument or the volume of the hedged item so that the hedge ratio aligns with the ratio used for risk management purposes. Any hedge ineffectiveness is calculated and accounted for in profit or loss at the time of the hedge relationship rebalancing.\n\nThe following table provides the reconciliation of cash flow hedge reserve:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nGain / (Loss)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nBalance at the beginning of the period\n\n \n\n \n\n(2\n\n)\n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\nGain / (Loss) recognized in other comprehensive income during the period\n\n \n\n \n\n(35\n\n)\n\n \n\n(1\n\n)\n\n \n\n \n\n1\n\n \n\nAmount reclassified to profit or loss during the period\n\n \n\n \n\n35\n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n1\n\n \n\nTax impact on above\n\n \n\n \n\n—\n\n \n\n \n\n1\n\n \n\n \n\n \n\n(1\n\n)\n\nBalance at the end of the period\n\n \n\n \n\n(2\n\n)\n\n \n\n(2\n\n)\n\n \n\n \n\n1\n\n \n\n \n\nThe Group offsets a financial asset and a financial liability when it currently has a legally enforceable right to set off the recognized amounts and the Group intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously.\n\nThe following table provides quantitative information about offsetting of derivative financial assets and derivative financial liabilities:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\n \n\n \n\nDerivative\nfinancial asset\n\n \n\n \n\nDerivative\nfinancial liability\n\n \n\n \n\nDerivative\nfinancial asset\n\n \n\n \n\nDerivative\nfinancial liability\n\n \n\nGross amount of recognized financial asset/liability\n\n \n\n \n\n19\n\n \n\n \n\n \n\n(73\n\n)\n\n \n\n \n\n30\n\n \n\n \n\n \n\n(14\n\n)\n\nAmount set off\n\n \n\n \n\n(10\n\n)\n\n \n\n \n\n10\n\n \n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n7\n\n \n\nNet amount presented in balance sheet\n\n \n\n \n\n9\n\n \n\n \n\n \n\n(63\n\n)\n\n \n\n \n\n23\n\n \n\n \n\n \n\n(7\n\n)\n\n \n\n \n\nCredit risk\n\nCredit risk refers to the risk of default on its obligation by the counterparty resulting in a financial loss. The maximum exposure to the credit risk at the reporting date is primarily from trade receivables amounting to $3,715 million and $3,645 million as of March 31, 2026, and March 31, 2025, respectively and unbilled revenue amounting to $1,816 million and $1,764 million as of March 31, 2026 and March 31, 2025, respectively. Trade receivables and unbilled revenue are typically unsecured and are derived from revenue earned from customers primarily located in the United States of America and Europe. Credit risk has always been managed by the Group through credit approvals, establishing credit limits and continuously monitoring the creditworthiness of customers to which the Group grants credit terms in the normal course of business. The Group uses the expected credit loss model to assess any required allowances; and uses a provision matrix to compute the expected credit loss allowance for trade receivables and unbilled revenues. This matrix takes into account credit reports and other related credit information to the extent available.\n\nThe Group's exposure to credit risk is influenced mainly by the individual characteristic of each customer and the concentration of risk from the top few customers. Exposure to customers is diversified and there is no single customer contributing more than 10% of outstanding trade receivables and unbilled revenues.\n\nThe following table gives details in respect of percentage of revenues generated from top five customers and top ten customers:\n\n \n\n \n\n \n\n \n\n(In %)\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n2025\n\n \n\n \n\n2024\n\n \n\n \n\nRevenue from top five customers\n\n \n\n12.9\n\n13.2\n\n \n\n \n\n13.3\n\n \n\n \n\nRevenue from top ten customers\n\n \n\n20.5\n\n \n\n20.5\n\n \n\n \n\n \n\n20.0\n\n \n\n \n\n \n\n \n\nCredit risk exposure\n\n \n\nTrade receivables ageing schedule for fiscal 2026 is as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding for following periods from due date of payment\n\n \n\n \n\n \n\n \n\n \n\n \n\nNot Due\n\n \n\n \n\nLess than 6 months\n\n \n\n \n\n6 months to 1 year\n\n \n\n \n\n1-2 years\n\n \n\n \n\n2-3 years\n\n \n\n \n\nMore than 3 years\n\n \n\n \n\nTotal\n\n \n\nTrade receivables\n\n \n\n \n\n3,021\n\n \n\n \n\n \n\n737\n\n \n\n \n\n \n\n14\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n3,785\n\n \n\nLess: Allowance for credit loss\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n70\n\n \n\nTotal Trade receivables\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n3,715\n\n \n\n \n\nTrade receivables ageing schedule for fiscal 2025 is as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding for following periods from due date of payment\n\n \n\n \n\n \n\n \n\n \n\n \n\nNot Due\n\n \n\n \n\nLess than 6 months\n\n \n\n \n\n6 months to 1 year\n\n \n\n \n\n1-2 years\n\n \n\n \n\n2-3 years\n\n \n\n \n\nMore than 3 years\n\n \n\n \n\nTotal\n\n \n\nTrade receivables\n\n \n\n \n\n2,772\n\n \n\n \n\n \n\n879\n\n \n\n \n\n \n\n24\n\n \n\n \n\n \n\n32\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n3,729\n\n \n\nLess: Allowance for credit loss\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n84\n\n \n\nTotal Trade receivables\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n3,645\n\n \n\n \n\nThe allowance for lifetime expected credit loss on customer balances was $9 million, $13 million and $11 million for fiscal 2026, 2025 and 2024, respectively.\n\n \n\nMovement in credit loss allowance on customer balance is as follows:\n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nBalance at the beginning\n\n \n\n \n\n114\n\n \n\n \n\n114\n\n \n\n \n\n \n\n117\n\n \n\nTranslation differences\n\n \n\n \n\n—\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n(2\n\n)\n\nImpairment loss recognized / (reversed), net\n\n \n\n \n\n9\n\n \n\n \n\n13\n\n \n\n \n\n \n\n11\n\n \n\nAmounts written off\n\n \n\n \n\n(30\n\n)\n\n \n\n(11\n\n)\n\n \n\n \n\n(12\n\n)\n\nBalance at the end\n\n \n\n \n\n93\n\n \n\n \n\n114\n\n \n\n \n\n \n\n114\n\n \n\n \n\nThe gross carrying amount of a financial asset is written off (either partially or in full) when there is no realistic prospect of recovery.\n\n \n\nCredit exposure\n\n \n\nThe Group’s credit period generally ranges from 30-75 days.\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\nMarch 31, 2025\n\n \n\nTrade receivables\n\n \n\n \n\n3,715\n\n \n\n \n\n3,645\n\n \n\nUnbilled revenues\n\n \n\n \n\n1,816\n\n \n\n \n\n1,764\n\n \n\n \n\nDays Sales Outstanding (DSO) as of March 31, 2026 and March 31, 2025 was 67 days and 69 days, respectively.\n\n \n\nCredit risk on cash and cash equivalents is limited as the Group generally invest in deposits with banks with high ratings assigned by international and domestic credit rating agencies. Ratings are monitored periodically and the Group has considered the latest available credit ratings as at the date of approval of these Consolidated Financial Statements.\n\n \n\nThe investments of the Group primarily include investment in mutual fund units, quoted debt securities, certificates of deposit, commercial paper, quoted bonds issued by government and quasi government organizations. The Group invests after considering counterparty risks based on multiple criteria including Tier I Capital, Capital Adequacy Ratio, credit rating, profitability, NPA levels and deposit base of banks and financial institutions. These risks are monitored regularly as per Group’s risk management program.\n\nLiquidity risk\n\nLiquidity risk is defined as the risk that the Group will not be able to settle or meet its obligations on time.\n\nThe Group's principal sources of liquidity are cash and cash equivalents and investments and the cash flow that is generated from operations. The Group has no outstanding borrowings. The Group believes that the working capital is sufficient to meet its current requirements.\n\n \n\nAs of March 31, 2026, the Group had a working capital of $5,396, million including cash and cash equivalents of $2,341, million and current investments of $1,365 million. As of March 31, 2025, the Group had a working capital of $6,347 million including cash and cash equivalents of $2,861 million and current investments of $1,460 million.\n\n \n\nAs of March 31, 2026, and March 31, 2025, the outstanding employee benefit obligations were $384 million and $351 million, respectively, which have been substantially funded. Accordingly, no liquidity risk is perceived.\n\nRefer to Note 2.8 for remaining contractual maturities of lease liabilities.\n\n \n\n \n\n \n\nThe table below provides details regarding the contractual maturities of significant financial liabilities as of March 31, 2026:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\nLess than 1 year\n\n \n\n1-2 years\n\n \n\n2-4 years\n\n \n\n4-7 years\n\n \n\nTotal\n\nTrade payables\n\n \n\n500\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n500\n\nFinancial liability under option arrangements on an undiscounted basis (Refer to Note 2.5)\n\n \n\n88\n\n \n\n—\n\n \n\n15\n\n \n\n—\n\n \n\n103\n\nLiability towards contingent consideration on an undiscounted basis (Refer to Note 2.5)\n\n \n\n8\n\n \n\n3\n\n \n\n—\n\n \n\n—\n\n \n\n11\n\nOther financial liabilities on an undiscounted basis (Refer to Note 2.5)\n\n \n\n1,744\n\n \n\n171\n\n \n\n21\n\n \n\n—\n\n \n\n1,936\n\n \n\nThe table below provides details regarding the contractual maturities of significant financial liabilities as of March 31, 2025:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nLess than 1 year\n\n \n\n \n\n1-2 years\n\n \n\n \n\n2-4 years\n\n \n\n \n\n4-7 years\n\n \n\n \n\nTotal\n\n \n\nTrade payables\n\n \n\n \n\n487\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n487\n\n \n\nFinancial liability under option arrangements on an undiscounted basis (Refer to Note 2.5)\n\n \n\n \n\n72\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n17\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n89\n\n \n\nLiability towards contingent consideration on an undiscounted basis (Refer to Note 2.5)\n\n \n\n \n\n2\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n4\n\n \n\nOther financial liabilities on an undiscounted basis (Refer to Note 2.5)\n\n \n\n \n\n1,709\n\n \n\n \n\n \n\n205\n\n \n\n \n\n \n\n17\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1,932\n\n \n\n \n\n \n\n2.4 Prepayments and other assets\n\nPrepayments and other assets consist of the following:\n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\nAs of\n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\n \n\nCurrent\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nSecurity deposits(1)\n\n \n\n8\n\n \n\n \n\n8\n\n \n\n \n\nLoans to employees(1)\n\n \n\n25\n\n \n\n \n\n29\n\n \n\n \n\nPrepaid expenses (2)\n\n \n\n450\n\n \n\n \n\n360\n\n \n\n \n\nInterest accrued and not due(1)\n\n \n\n47\n\n \n\n \n\n99\n\n \n\n \n\nWithholding taxes and others (2)(4)\n\n \n\n411\n\n \n\n \n\n332\n\n \n\n \n\nAdvance payments to vendors for supply of goods (2)\n\n \n\n50\n\n \n\n \n\n48\n\n \n\n \n\nDeposit with corporation(1)(3)\n\n \n\n334\n\n \n\n \n\n345\n\n \n\n \n\nDeferred contract cost\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nCost of obtaining a contract (2)\n\n \n\n30\n\n \n\n \n\n40\n\n \n\n \n\nCost of fulfillment(2)\n\n \n\n70\n\n \n\n \n\n59\n\n \n\n \n\nNet investment in lease(1)\n\n \n\n170\n\n \n\n \n\n \n\n133\n\n \n\n \n\nOther non-financial assets (2)\n\n \n\n15\n\n \n\n \n\n \n\n11\n\n \n\n \n\nOther financial assets(1)\n\n \n\n46\n\n \n\n \n\n55\n\n \n\n \n\nTotal Current prepayment and other assets\n\n \n\n \n\n1,656\n\n \n\n \n\n \n\n1,519\n\n \n\n \n\nNon-current\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nLoans to employees(1)\n\n \n\n1\n\n \n\n \n\n2\n\n \n\n \n\nSecurity deposits(1)\n\n \n\n30\n\n \n\n \n\n32\n\n \n\n \n\nDeposit with corporation(1)(3)\n\n \n\n8\n\n \n\n \n\n10\n\n \n\n \n\nDefined benefit plan assets (2)\n\n \n\n21\n\n \n\n \n\n35\n\n \n\n \n\nPrepaid expenses (2)\n\n \n\n82\n\n \n\n \n\n33\n\n \n\n \n\nDeferred contract cost\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nCost of obtaining a contract (2)\n\n \n\n52\n\n \n\n \n\n36\n\n \n\n \n\nCost of fulfillment(2)\n\n \n\n102\n\n \n\n \n\n103\n\n \n\n \n\nWithholding taxes and others (2)(4)\n\n \n\n66\n\n \n\n \n\n63\n\n \n\n \n\nNet investment in lease(1)\n\n \n\n101\n\n \n\n \n\n \n\n129\n\n \n\n \n\nOther financial assets(1)\n\n \n\n4\n\n \n\n \n\n2\n\n \n\n \n\nTotal Non-current prepayment and other assets\n\n \n\n \n\n467\n\n \n\n \n\n \n\n445\n\n \n\n \n\nTotal prepayment and other assets\n\n \n\n \n\n2,123\n\n \n\n \n\n \n\n1,964\n\n \n\n \n\n(1) Financial assets carried at amortized cost\n\n \n\n774\n\n \n\n \n\n \n\n844\n\n \n\n \n\n \n\n(2)\nNon-financial assets\n\n(3)\nDeposit with corporation represents amounts deposited to settle certain employee-related obligations as and when they arise during the normal course of business.\n\n(4)\nWithholding taxes and others primarily consist of input tax credits and VAT recoverable from tax authorities.\n\n \n\n2.5 Other liabilities\n\nOther liabilities comprise the following:\n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\nAs of\n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\n \n\nCurrent\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nAccrued compensation to employees(1)\n\n \n\n622\n\n \n\n \n\n \n\n576\n\n \n\n \n\nAccrued defined benefit liability (3)\n\n \n\n5\n\n \n\n \n\n \n\n1\n\n \n\n \n\nAccrued expenses(1)\n\n \n\n \n\n1,021\n\n \n\n \n\n \n\n991\n\n \n\n \n\nWithholding taxes and others(3)\n\n \n\n409\n\n \n\n \n\n381\n\n \n\n \n\nLiabilities of controlled trusts (1)\n\n \n\n18\n\n \n\n \n\n \n\n20\n\n \n\n \n\nLiability towards contingent consideration(2)\n\n \n\n8\n\n \n\n \n\n \n\n1\n\n \n\n \n\nCapital creditors(1)\n\n \n\n30\n\n \n\n \n\n \n\n61\n\n \n\n \n\nFinancial liability under option arrangements(2)(4)\n\n \n\n80\n\n \n\n \n\n \n\n64\n\n \n\n \n\nOther non-financial liabilities(3)\n\n \n\n1\n\n \n\n \n\n \n\n1\n\n \n\n \n\nOther financial liabilities (1)\n\n \n\n53\n\n \n\n \n\n \n\n61\n\n \n\n \n\nTotal Current other liabilities\n\n \n\n \n\n2,247\n\n \n\n \n\n \n\n2,157\n\n \n\n \n\nNon-current\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nAccrued compensation to employees(1)\n\n \n\n1\n\n \n\n \n\n \n\n1\n\n \n\n \n\nAccrued expenses(1)\n\n \n\n182\n\n \n\n \n\n \n\n221\n\n \n\n \n\nAccrued defined benefit liability (3)\n\n \n\n50\n\n \n\n \n\n \n\n14\n\n \n\n \n\nFinancial liability under option arrangements(2)(4)\n\n \n\n13\n\n \n\n \n\n \n\n13\n\n \n\n \n\nLiability towards contingent consideration(2)\n\n \n\n3\n\n \n\n \n\n \n\n2\n\n \n\n \n\nOther non-financial liabilities(3)\n\n \n\n9\n\n \n\n \n\n \n\n12\n\n \n\n \n\nOther financial liabilities (1)\n\n \n\n9\n\n \n\n \n\n \n\n1\n\n \n\n \n\nTotal Non-current other liabilities\n\n \n\n \n\n267\n\n \n\n \n\n \n\n264\n\n \n\n \n\nTotal other liabilities\n\n \n\n \n\n2,514\n\n \n\n \n\n \n\n2,421\n\n \n\n \n\n(1) Financial liability carried at amortized cost\n\n \n\n \n\n1,936\n\n \n\n \n\n \n\n1,932\n\n \n\n \n\n(2) Financial liability carried at fair value through profit or loss\n\n \n\n104\n\n \n\n \n\n \n\n80\n\n \n\n \n\nFinancial liability under option arrangements on undiscounted basis\n\n \n\n103\n\n \n\n \n\n \n\n89\n\n \n\n \n\nFinancial liability towards contingent consideration on undiscounted basis (Refer to Note 2.10)\n\n \n\n11\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n(3) Non-financial liabilities\n\n(4) Represents liability related to options issued by the Group over the non-controlling interests in its subsidiaries.\n\n \n\nAccrued expenses primarily relate to cost of technical sub-contractors, telecommunication charges, legal and professional charges, brand building expenses, overseas travel expenses and office maintenance and cost of third party software and hardware.\n\n \n\n \n\n2.6 Provisions and other contingencies\n\n \n\nAccounting policy\n\n \n\n2.6.1 Provisions\n\nA provision is recognized if, as a result of a past event, the Group has a present legal or constructive obligation that is reasonably estimable, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The Group recognizes a reimbursement asset when, and only when, it is virtually certain that the reimbursement will be received if the Group settles the obligation.\n\nContingent liability is a possible obligation arising from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity or a present obligation that arises from past events but is not recognized because it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or the amount of the obligation cannot be measured with sufficient reliability.\n\n \n\na)\nPost sales client support\n\n \n\nThe Group provides its clients with a fixed-period post-sales support for its fixed-price, fixed-timeframe contracts. Costs associated with such support services are accrued at the time related revenues are recorded and included in cost of sales. The Group estimates such costs based on historical experience and estimates are reviewed on a periodic basis for any material changes in assumptions and likelihood of occurrence.\n\n \n\nb)\nOnerous contracts\n\nProvisions for onerous contracts are recognized when the expected benefits to be derived by the Group from a contract are lower than the unavoidable costs of meeting the future obligations under the contract. Provisions for estimated losses, if any, on incomplete contracts are recorded in the period in which such losses become probable based on the estimated efforts or costs to complete the contract. The provision is measured at the present value of the lower of the expected cost of terminating the contract and the expected net cost of continuing with the contract. Before a provision is established the Group recognizes any impairment loss on the assets associated with that contract.\n\nProvision for post sales client support and other provisions:\n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\nAs of\n\n \n\n \n\nMarch 31, 2026\n\n \n\nMarch 31, 2025\n\n \n\nPost sales client support and other provisions\n\n \n\n159\n\n \n\n155\n\n \n\nProvision pertaining to settlement (refer to note 2.6.2)\n\n \n\n-\n\n \n\n18\n\n \n\nTotal provisions\n\n \n\n159\n\n \n\n173\n\n \n\n \n\nProvision for post sales client support and other provisions primarily represents costs associated with providing sales support services which are accrued at the time of recognition of revenues and are expected to be utilized over a period of 1 year.\n\n \n\nThe movement in the provision for post sales client support and other provisions is as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\nBalance at the beginning\n\n \n\n \n\n155\n\n \n\nProvision recognized / (reversed)\n\n \n\n \n\n54\n\n \n\nProvision utilized\n\n \n\n \n\n(50\n\n)\n\nBalance at the end\n\n \n\n \n\n159\n\n \n\n \n\n \n\nProvision for post sales client support and other provisions is included in cost of sales in the consolidated statement of comprehensive income.\n\nAs of March 31, 2026, and March 31, 2025, claims against the Group, not acknowledged as debts (excluding demands from income tax authorities- Refer to Note 2.18), amounted to $122 million (₹1,153 crore) and $119 million (₹1,020 crore), respectively.\n\nAmount paid to statutory authorities against the claims (excluding demands from income tax authorities- Refer to Note 2.18) amounted to $3 million (₹27 crore) and $1 million (₹8 crore) as at March 31, 2026 and March 31, 2025 respectively.\n\n \n\n2.6.2 Legal Proceedings\n\n \n\nMcCamish cybersecurity incident\n\n \n\nIn November 2023, certain systems of Infosys McCamish Systems LLC (\"McCamish\"), a subsidiary of Infosys BPM Limited (a wholly owned subsidiary of Infosys Limited), were encrypted by ransomware, resulting in the nonavailability of certain applications and systems. McCamish initiated its incident response and engaged cybersecurity and other specialists to assist in its investigation of and response to the incident and remediation and restoration of impacted applications and systems. By December 31, 2023, McCamish, with external specialists' assistance, substantially remediated and restored the affected applications and systems.\n\nMcCamish in coordination with its third-party eDiscovery vendor has identified corporate customers and individuals whose information was subject to unauthorized access and exfiltration. McCamish processes personal data on behalf of its corporate customers.\n\nFrom March 6, 2024 through July 25, 2024, six actions were filed in the U.S. District Court for the Northern District of Georgia against McCamish. All six actions were consolidated, and the consolidated class action complaint was filed on November 7, 2024, purportedly on behalf of all persons residing in the United States whose personally identifiable information was compromised in the incident, including all who was sent a notice of the incident. On December 20, 2024, the Court granted the parties’ joint motion to stay proceedings pending the parties’ efforts to resolve the lawsuit through mediation.\n\nOn March 13, 2025, the McCamish and the plaintiffs engaged in mediation, resulting in-principal agreement that sets forth the terms of a proposed settlement of the class action lawsuits against McCamish, as well as seven class action lawsuits arising out of the incident that have been filed against the McCamish’s customers. Under the settlement terms, McCamish has agreed to pay $17.5 million into a fund to settle these matters.\n\nMcCamish had accrued for the settlement amount along with the insurance reimbursement receivable during the year ended March 31, 2025. On December 18, 2025, McCamish received final court order from Northern District of Geogia (US) approving settlement of class action lawsuit. This settlement resolves allegations made in the class action lawsuit without admission of any liability. The settlement amount has since been paid.\n\nMcCamish may incur additional costs including from indemnities or damages/claims, which are indeterminable at this time.\n\n \n\n \n\nGovernment Investigation\n\n \n\nThe U.S. Department of Justice (“DOJ”) is conducting an investigation regarding how the Company classified certain H-1B visa-recipient employees in immigration documents filed with certain U.S. government authorities. The Company is engaged in discussions with the DOJ regarding its ongoing investigation and continues its own inquiry regarding the matter. At this stage, the Company is unable to predict the outcome of this matter, including whether such outcome could have a material adverse effect on the Company’s business and results of operations.\n\n \n\nOthers\n\n \n\n \n\nApart from the foregoing, the Group is subject to legal proceedings and claims which have arisen in the ordinary course of business. The Group’s management reasonably expects that such ordinary course legal actions, when ultimately concluded and determined, will not have a material and adverse effect on the Group’s results of operations or financial condition.\n\n \n\n \n\n2.7 Property, plant and equipment\n\n \n\nAccounting policy\n\n \n\nProperty, plant and equipment are stated at cost, less accumulated depreciation and impairment, if any. Costs directly attributable to acquisition are capitalized until the property, plant and equipment are ready for use, as intended by management. The charge in respect of periodic depreciation is derived at after determining an estimate of an asset’s expected useful life and the expected residual value at the end of its life. The Group depreciates property, plant and equipment over their estimated useful lives using the straight-line method. The estimated useful lives of assets are as follows:\n\nBuildings\n\n \n\n22 - 25 years\n\nPlant and machinery(1)\n\n \n\n5 years\n\nComputer equipment\n\n \n\n3-5 years\n\nFurniture and fixtures\n\n \n\n5 years\n\nVehicles\n\n \n\n5 years\n\nLeasehold improvements\n\n \n\nLower of useful life of the asset or lease term\n\n(1)\nIncludes solar plant with a useful life of 25 years.\n\n \n\nDepreciation methods, useful lives and residual values are reviewed periodically, including at each financial year end. The useful lives are based on historical experience with similar assets as well as anticipation of future events, which may impact their life, such as changes in technology.\n\nAdvances paid towards the acquisition of property, plant and equipment outstanding at each balance sheet date and the cost of assets not ready to use before such date are disclosed under ‘Capital work-in-progress’. Subsequent expenditures relating to property, plant and equipment is capitalized only when it is probable that future economic benefits associated with these will flow to the Group and the cost of the item can be measured reliably. The cost and related accumulated depreciation are eliminated from the financial statements upon sale or retirement of the asset.\n\n \n\nImpairment\n\n \n\nProperty, plant and equipment are evaluated for recoverability whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e. the higher of the fair value less cost to sell and the value-in-use) is determined on an individual asset basis unless the asset does not generate cash flows that are largely independent of those from other assets. In such cases, the recoverable amount is determined for the Cash Generating Unit (CGU) to which the asset belongs.\n\nIf such assets are considered to be impaired, the impairment to be recognized in the net profit in the consolidated statement of comprehensive income is measured by the amount by which the carrying value of the assets exceeds the estimated recoverable amount of the asset. An impairment loss is reversed in the net profit in the consolidated statement of comprehensive income if there has been a change in the estimates used to determine the recoverable amount. The carrying amount of the asset is increased to its revised recoverable amount, provided that this amount does not exceed the carrying amount that would have been determined (net of any accumulated depreciation) had no impairment loss been recognized for the asset in prior years.\n\n \n\n \n\n \n\nFollowing are the changes in the carrying value of property, plant and equipment for fiscal 2026:\n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nLand\n\n \n\n \n\nBuildings\n\n \n\n \n\nPlant and\nmachinery\n\n \n\n \n\nComputer\nequipment\n\n \n\n \n\nFurniture\nand fixtures\n\n \n\n \n\nVehicles\n\n \n\n \n\nTotal\n\n \n\nGross carrying value as of April 1, 2025\n\n \n\n \n\n173\n\n \n\n \n\n \n\n1,371\n\n \n\n \n\n \n\n632\n\n \n\n \n\n \n\n1,088\n\n \n\n \n\n \n\n386\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n3,656\n\n \n\nAdditions\n\n \n\n \n\n3\n\n \n\n \n\n \n\n77\n\n \n\n \n\n \n\n47\n\n \n\n \n\n170\n\n \n\n \n\n \n\n26\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n323\n\n \n\nAdditions - Business Combination (Refer to Note 2.10)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n1\n\n \n\nDeletions*#\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(11\n\n)\n\n \n\n \n\n(147\n\n)\n\n \n\n \n\n(18\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(185\n\n)\n\nTranslation difference\n\n \n\n \n\n(17\n\n)\n\n \n\n \n\n(121\n\n)\n\n \n\n \n\n(64\n\n)\n\n \n\n \n\n(100\n\n)\n\n \n\n \n\n(31\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(333\n\n)\n\nGross carrying value as of March 31, 2026\n\n \n\n \n\n152\n\n \n\n \n\n \n\n1,326\n\n \n\n \n\n \n\n604\n\n \n\n \n\n \n\n1,012\n\n \n\n \n\n \n\n363\n\n \n\n \n\n \n\n5\n\n \n\n \n\n \n\n3,462\n\n \n\nAccumulated depreciation as of April 1, 2025\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(627\n\n)\n\n \n\n \n\n(511\n\n)\n\n \n\n \n\n(820\n\n)\n\n \n\n \n\n(315\n\n)\n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n(2,278\n\n)\n\nDepreciation\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(51\n\n)\n\n \n\n \n\n(39\n\n)\n\n \n\n \n\n(122\n\n)\n\n \n\n \n\n(27\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(239\n\n)\n\nAccumulated depreciation on deletions*#\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n10\n\n \n\n \n\n \n\n145\n\n \n\n \n\n \n\n18\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n174\n\n \n\nTranslation difference\n\n \n\n \n\n—\n\n \n\n \n\n \n\n60\n\n \n\n \n\n \n\n54\n\n \n\n \n\n \n\n76\n\n \n\n \n\n \n\n25\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n215\n\n \n\nAccumulated depreciation as of March 31, 2026\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(618\n\n)\n\n \n\n \n\n(486\n\n)\n\n \n\n \n\n(721\n\n)\n\n \n\n \n\n(299\n\n)\n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n(2,128\n\n)\n\nCapital work-in-progress as of April 1, 2025\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n119\n\n \n\nCarrying value as of April 1, 2025\n\n \n\n \n\n173\n\n \n\n \n\n \n\n744\n\n \n\n \n\n \n\n121\n\n \n\n \n\n \n\n268\n\n \n\n \n\n \n\n71\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1,497\n\n \n\nCapital work-in-progress as of March 31, 2026\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n72\n\n \n\nCarrying value as of March 31, 2026\n\n \n\n \n\n152\n\n \n\n \n\n \n\n708\n\n \n\n \n\n \n\n118\n\n \n\n \n\n \n\n291\n\n \n\n \n\n \n\n64\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1,406\n\n \n\n \n\n* During fiscal 2026, certain assets which were not in use having gross book value of $129 million (net book value: Nil), were retired\n\n \n\nFollowing are the changes in the carrying value of property, plant and equipment for fiscal 2025:\n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nLand\n\n \n\n \n\nBuildings\n\n \n\n \n\nPlant and\nmachinery\n\n \n\n \n\nComputer\nequipment\n\n \n\n \n\nFurniture\nand fixtures\n\n \n\n \n\nVehicles\n\n \n\n \n\nTotal\n\n \n\nGross carrying value as of April 1, 2024\n\n \n\n \n\n171\n\n \n\n \n\n \n\n1,411\n\n \n\n \n\n \n\n637\n\n \n\n \n\n \n\n1,032\n\n \n\n \n\n \n\n406\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n3,663\n\n \n\nAdditions\n\n \n\n \n\n6\n\n \n\n \n\n \n\n5\n\n \n\n \n\n \n\n30\n\n \n\n \n\n154\n\n \n\n \n\n \n\n22\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n217\n\n \n\nAdditions - Business Combination (Refer to Note 2.10)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n1\n\n \n\n \n\n1\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n5\n\n \n\nDeletions*#\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(13\n\n)\n\n \n\n \n\n(20\n\n)\n\n \n\n \n\n(75\n\n)\n\n \n\n \n\n(36\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(144\n\n)\n\nTranslation difference\n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n(32\n\n)\n\n \n\n \n\n(16\n\n)\n\n \n\n \n\n(24\n\n)\n\n \n\n \n\n(9\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(85\n\n)\n\nGross carrying value as of March 31, 2025\n\n \n\n \n\n173\n\n \n\n \n\n \n\n1,371\n\n \n\n \n\n \n\n632\n\n \n\n \n\n \n\n1,088\n\n \n\n \n\n \n\n386\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n3,656\n\n \n\nAccumulated depreciation as of April 1, 2024\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(590\n\n)\n\n \n\n \n\n(498\n\n)\n\n \n\n \n\n(765\n\n)\n\n \n\n \n\n(322\n\n)\n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n(2,180\n\n)\n\nDepreciation\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(52\n\n)\n\n \n\n \n\n(44\n\n)\n\n \n\n \n\n(148\n\n)\n\n \n\n \n\n(35\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(279\n\n)\n\nAccumulated depreciation on deletions*#\n\n \n\n \n\n—\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n18\n\n \n\n \n\n \n\n73\n\n \n\n \n\n \n\n35\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n128\n\n \n\nTranslation difference\n\n \n\n \n\n—\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n20\n\n \n\n \n\n \n\n7\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n53\n\n \n\nAccumulated depreciation as of March 31, 2025\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(627\n\n)\n\n \n\n \n\n(511\n\n)\n\n \n\n \n\n(820\n\n)\n\n \n\n \n\n(315\n\n)\n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n(2,278\n\n)\n\nCapital work-in-progress as of April 1, 2024\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n54\n\n \n\nCarrying value as of April 1, 2024\n\n \n\n \n\n171\n\n \n\n \n\n \n\n821\n\n \n\n \n\n \n\n139\n\n \n\n \n\n \n\n267\n\n \n\n \n\n \n\n84\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1,537\n\n \n\nCapital work-in progress as at March 31, 2025\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n119\n\n \n\nCarrying value as at March 31, 2025\n\n \n\n \n\n173\n\n \n\n \n\n \n\n744\n\n \n\n \n\n \n\n121\n\n \n\n \n\n \n\n268\n\n \n\n \n\n \n\n71\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1,497\n\n \n\n \n\n* During fiscal 2025, certain assets which were not in use having gross book value of $60 million (net book value: Nil), were retired\n\n \n\n \n\nFollowing are the changes in the carrying value of property, plant and equipment for fiscal 2024:\n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nLand\n\n \n\n \n\nBuildings\n\n \n\n \n\nPlant and\nmachinery\n\n \n\n \n\nComputer\nequipment\n\n \n\n \n\nFurniture\nand fixtures\n\n \n\n \n\nVehicles\n\n \n\n \n\nTotal\n\n \n\nGross carrying value as of April 1, 2023\n\n \n\n \n\n174\n\n \n\n \n\n \n\n1,407\n\n \n\n \n\n \n\n625\n\n \n\n \n\n \n\n1,037\n\n \n\n \n\n \n\n409\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n3,658\n\n \n\nAdditions\n\n \n\n \n\n—\n\n \n\n \n\n36\n\n \n\n \n\n40\n\n \n\n \n\n112\n\n \n\n \n\n24\n\n \n\n \n\n \n\n—\n\n \n\n \n\n212\n\n \n\nDeletions*#\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n(19\n\n)\n\n \n\n \n\n(102\n\n)\n\n \n\n \n\n(20\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(148\n\n)\n\nTranslation difference\n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n(25\n\n)\n\n \n\n \n\n(9\n\n)\n\n \n\n \n\n(15\n\n)\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(59\n\n)\n\nGross carrying value as of March 31, 2024\n\n \n\n \n\n171\n\n \n\n \n\n \n\n1,411\n\n \n\n \n\n \n\n637\n\n \n\n \n\n \n\n1,032\n\n \n\n \n\n \n\n406\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n3,663\n\n \n\nAccumulated depreciation as of April 1, 2023\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(552\n\n)\n\n \n\n \n\n(468\n\n)\n\n \n\n \n\n(709\n\n)\n\n \n\n \n\n(300\n\n)\n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n(2,034\n\n)\n\nDepreciation\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(54\n\n)\n\n \n\n \n\n(56\n\n)\n\n \n\n \n\n(167\n\n)\n\n \n\n \n\n(47\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(324\n\n)\n\nAccumulated depreciation on deletions*#\n\n \n\n \n\n—\n\n \n\n \n\n \n\n7\n\n \n\n \n\n18\n\n \n\n \n\n101\n\n \n\n \n\n19\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n145\n\n \n\nTranslation difference\n\n \n\n \n\n—\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n8\n\n \n\n \n\n \n\n10\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n33\n\n \n\nAccumulated depreciation as of March 31, 2024\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(590\n\n)\n\n \n\n \n\n(498\n\n)\n\n \n\n \n\n(765\n\n)\n\n \n\n \n\n(322\n\n)\n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n(2,180\n\n)\n\nCapital work-in-progress as of April 1, 2023\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n55\n\n \n\nCarrying value as of April 1, 2023\n\n \n\n \n\n174\n\n \n\n \n\n \n\n855\n\n \n\n \n\n \n\n157\n\n \n\n \n\n \n\n328\n\n \n\n \n\n \n\n109\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1,679\n\n \n\nCapital work-in-progress as of March 31, 2024\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n54\n\n \n\nCarrying value as of March 31, 2024\n\n \n\n \n\n171\n\n \n\n \n\n \n\n821\n\n \n\n \n\n \n\n139\n\n \n\n \n\n \n\n267\n\n \n\n \n\n \n\n84\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1,537\n\n \n\n \n\n* During fiscal 2024, certain assets which were not in use having gross book value of $93 million (net book value: Nil), were retired\n\n \n\n# Proceeds from sale of property, plant and equipment amounted to $31 million, $20 million and $1 million for the year ended March 31, 2026, March 31, 2025 and March 31, 2024 respectively.\n\n \n\nThe aggregate depreciation expense is included in cost of sales in the consolidated statement of comprehensive income.\n\n \n\nRepairs and maintenance costs are recognized in the consolidated statement of comprehensive income when incurred.\n\nConsequent to the Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021 (“the Rules”), the Company was required to transfer its CSR capital assets installed prior to January 2021. Towards this the Company had incorporated a subsidiary ‘Infosys Green Forum’ (IGF) under Section 8 of the Companies Act, 2013. During the year ended March 31, 2022, the Company had completed the transfer of assets upon obtaining the required approvals from regulatory authorities, as applicable. During fiscal 2024, the application filed by IGF for regularization of the provisional registration was rejected and registration cancelled vide order dated March 26, 2024 by Income Tax Commissioner (Exemption). IGF had filed an appeal before Income Tax Appellate Tribunal (ITAT) against the order. During fiscal 2026, ITAT had upheld the order of Commissioner (Exemption) and dismissed the IGF’s appeals. IGF has filed an appeal before the Hon’ble High Court against the ITAT order.\n\nThe Group had contractual commitments for capital expenditure primarily comprising of commitments for infrastructure facilities and computer equipment aggregating to $141 million and $109 million as of March 31, 2026, and March 31, 2025, respectively.\n\n \n\n \n\n2.7.1 Capital work-in-Progress\n\n \n\nThe changes in capital work-in-progress for the year ended March 31, 2026, March 31, 2025 and March 31, 2024 are as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\nBalance at the beginning\n\n \n\n95\n\n \n\n35\n\n \n\n35\n\nAdditions\n\n \n\n291\n\n \n\n273\n\n \n\n213\n\nCapitalised\n\n \n\n(320)\n\n \n\n(211)\n\n \n\n(212)\n\nTranslation differences\n\n \n\n(11)\n\n \n\n(2)\n\n \n\n(1)\n\nBalance at the end\n\n \n\n55\n\n \n\n95\n\n \n\n35\n\n \n\n2.8 Leases\n\nAccounting Policy\n\nThe Group as a lessee\n\nThe Group’s lease asset classes primarily consist of leases for land, buildings and computers. The Group assesses whether a contract contains a lease, at inception of a contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Group assesses whether: (1) the contract involves the use of an identified asset (2) the Group has substantially all of the economic benefits from use of the asset through the period of the lease and (3) the Group has the right to direct the use of the asset.\n\nAt the date of commencement of the lease, the Group recognizes a right-of-use asset (“ROU”) and a corresponding lease liability for all lease arrangements in which it is a lessee, except for leases with a term of twelve months or less (short-term leases) and low value leases. For these short-term and low value leases, the Group recognizes the lease payments as an operating expense on a straight-line basis over the term of the lease.\n\nAs a lessee, the Group determines the lease term as the non-cancellable period of a lease adjusted with any option to extend or terminate the lease, if the use of such option is reasonably certain. The Group makes an assessment on the expected lease term on a lease-by-lease basis and thereby assesses whether it is reasonably certain that any options to extend or terminate the contract will be exercised. In evaluating the lease term, the Group considers factors such as any significant leasehold improvements undertaken over the lease term, costs relating to the termination of the lease and the importance of the underlying asset to Group’s operations taking into account the location of the underlying asset and the availability of suitable alternatives. The lease term in future periods is reassessed to ensure that the lease term reflects the current economic circumstances.\n\nCertain lease arrangements include the options to extend or terminate the lease before the end of the lease term. ROU assets and lease liabilities includes these options when it is reasonably certain that they will be exercised.\n\nThe ROU assets are initially recognized at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or prior to the commencement date of the lease plus any initial direct costs less any lease incentives. They are subsequently measured at cost less accumulated depreciation and impairment losses.\n\nROU assets are depreciated from the commencement date on a straight-line basis over the shorter of the lease term and useful life of the underlying asset.\n\nROU assets are evaluated for recoverability whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e. the higher of the fair value less cost to sell and the value-in-use) is determined on an individual asset basis unless the asset does not generate cash flows that\n\n \n\nare largely independent of those from other assets. In such cases, the recoverable amount is determined for the Cash Generating Unit (CGU) to which the asset belongs.\n\nThe lease liability is initially measured at amortized cost at the present value of the future lease payments. The lease payments are discounted using the interest rate implicit in the lease or, if not readily determinable, using the incremental borrowing rates in the country of domicile of these leases. Lease liabilities are remeasured with a corresponding adjustment to the related right of use asset if the Group changes its assessment of whether it will exercise an extension or a termination option.\n\nLease liability and ROU asset have been separately presented in the Balance Sheet and lease payments have been classified as financing cash flows.\n\nThe Group as a lessor\n\nLeases for which the Group is a lessor is classified as a finance or operating lease. Whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee, the contract is classified as a finance lease. All other leases are classified as operating leases.\n\nWhen the Group is an intermediate lessor, it accounts for its interests in the head lease and the sublease separately. The sublease is classified as a finance or operating lease by reference to the right-of-use asset arising from the head lease.\n\nFor finance lease, finance income is recognized over the lease term based on a pattern reflecting a constant periodic rate of return on the lessor’s net investment in the lease and for operating leases, rental income is recognized on a straight line basis over the term of the relevant lease.\n\nFollowing are the changes in the carrying value of right of use assets for the year ended March 31, 2026:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nCategory of ROU asset\n\n \n\n \n\n \n\nLand\n\n \n\n \n\nBuildings\n\n \n\n \n\nVehicles\n\n \n\n \n\nComputers\n\n \n\n \n\nTotal\n\n \n\nBalance as of April 1, 2025\n\n \n\n \n\n70\n\n \n\n \n\n \n\n392\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n273\n\n \n\n \n\n \n\n738\n\n \n\nAdditions*\n\n \n\n \n\n—\n\n \n\n \n\n \n\n66\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n218\n\n \n\n \n\n \n\n285\n\n \n\nDeletions\n\n \n\n \n\n(6\n\n)\n\n \n\n \n\n(6\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(120\n\n)\n\n \n\n \n\n(132\n\n)\n\nDepreciation\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(84\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(127\n\n)\n\n \n\n \n\n(213\n\n)\n\nTranslation difference\n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n(26\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n(27\n\n)\n\nBalance as of March 31, 2026\n\n \n\n \n\n58\n\n \n\n \n\n \n\n342\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n248\n\n \n\n \n\n \n\n651\n\n \n\n \n\n* Net of adjustments on account of modifications\n\nFollowing are the changes in the carrying value of right of use assets for the year ended March 31, 2025:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nCategory of ROU asset\n\n \n\n \n\n \n\nLand\n\n \n\n \n\nBuildings\n\n \n\n \n\nVehicles\n\n \n\n \n\nComputers\n\n \n\n \n\nTotal\n\n \n\nBalance as of April 1, 2024\n\n \n\n \n\n72\n\n \n\n \n\n \n\n396\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n316\n\n \n\n \n\n \n\n786\n\n \n\nAdditions*\n\n \n\n \n\n—\n\n \n\n \n\n \n\n96\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n155\n\n \n\n \n\n \n\n254\n\n \n\nAddition due to Business Combination (Refer to Note 2.10)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n19\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n20\n\n \n\nDeletions\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(28\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(77\n\n)\n\n \n\n \n\n(106\n\n)\n\nDepreciation\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(84\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(115\n\n)\n\n \n\n \n\n(201\n\n)\n\nTranslation difference\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(6\n\n)\n\n \n\n \n\n(15\n\n)\n\nBalance as of March 31, 2025\n\n \n\n \n\n70\n\n \n\n \n\n \n\n392\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n273\n\n \n\n \n\n \n\n738\n\n \n\n \n\n* Net of adjustments on account of modifications\n\n \n\n \n\nFollowing are the changes in the carrying value of right of use assets for the year ended March 31, 2024:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nCategory of ROU asset\n\n \n\n \n\n \n\nLand\n\n \n\n \n\nBuildings\n\n \n\n \n\nVehicles\n\n \n\n \n\nComputers\n\n \n\n \n\nTotal\n\n \n\nBalance as of April 1, 2023\n\n \n\n \n\n76\n\n \n\n \n\n474\n\n \n\n \n\n2\n\n \n\n \n\n \n\n285\n\n \n\n \n\n \n\n837\n\n \n\nAdditions*\n\n \n\n \n\n—\n\n \n\n \n\n \n\n47\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n226\n\n \n\n \n\n \n\n274\n\n \n\nDeletions\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(22\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(91\n\n)\n\n \n\n \n\n(114\n\n)\n\nImpairment\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(10\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(10\n\n)\n\nDepreciation\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(87\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(104\n\n)\n\n \n\n \n\n(193\n\n)\n\nTranslation difference\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n(6\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(8\n\n)\n\nBalance as of March 31, 2024\n\n \n\n \n\n72\n\n \n\n \n\n \n\n396\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n316\n\n \n\n \n\n \n\n786\n\n \n\n \n\n* Net of adjustments on account of modifications and lease incentives\n\nThe aggregate depreciation expense on ROU assets is included in cost of sales in the consolidated statement of comprehensive income.\n\nThe following is the break-up of current and non-current lease liabilities:\n\n \n\n(Dollars in millions)\n\n \n\n \n\nAs of\n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\nCurrent lease liabilities\n\n \n\n333\n\n \n\n \n\n287\n\nNon-current lease liabilities\n\n \n\n634\n\n \n\n \n\n675\n\nTotal\n\n \n\n \n\n967\n\n \n\n \n\n962\n\nThe following is the movement in lease liabilities:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nBalance at the beginning\n\n \n\n \n\n962\n\n \n\n \n\n \n\n1,002\n\n \n\n \n\n \n\n1,010\n\n \n\nAdditions\n\n \n\n \n\n283\n\n \n\n \n\n \n\n255\n\n \n\n \n\n \n\n265\n\n \n\nAddition for Business Combination (Refer to Note 2.10)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n20\n\n \n\n \n\n \n\n—\n\n \n\nFinance cost accrued during the period\n\n \n\n \n\n41\n\n \n\n \n\n40\n\n \n\n \n\n39\n\n \n\nDeletions\n\n \n\n \n\n(18\n\n)\n\n \n\n \n\n(65\n\n)\n\n \n\n \n\n(53\n\n)\n\nPayment of lease liabilities\n\n \n\n \n\n(318\n\n)\n\n \n\n \n\n(278\n\n)\n\n \n\n \n\n(245\n\n)\n\nTranslation difference\n\n \n\n \n\n17\n\n \n\n \n\n \n\n(12\n\n)\n\n \n\n \n\n(14\n\n)\n\nBalance at the end\n\n \n\n \n\n967\n\n \n\n \n\n \n\n962\n\n \n\n \n\n \n\n1,002\n\n \n\n \n\nThe table below provides details regarding the contractual maturities of lease liabilities on an undiscounted basis:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nLess than one year\n\n \n\n \n\n358\n\n \n\n \n\n \n\n290\n\n \n\nOne to five years\n\n \n\n \n\n610\n\n \n\n \n\n \n\n608\n\n \n\nMore than five years\n\n \n\n \n\n110\n\n \n\n \n\n \n\n152\n\n \n\nTotal\n\n \n\n \n\n1,078\n\n \n\n \n\n \n\n1,050\n\n \n\nThe Group does not face a significant liquidity risk with regard to its lease liabilities as the current assets are sufficient to meet the obligations related to lease liabilities as and when they fall due.\n\n \n\nRental expense recorded for short-term leases was $13 million, $10 million and $12 million for fiscal 2026, fiscal 2025 and fiscal 2024, respectively.\n\n \n\nLeases not yet commenced to which Group is committed is $27 million for a lease term up to 6 years.\n\nThe following is the movement in the net investment in lease:\n\n(Dollars in millions)\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n2025\n\n2024\n\nBalance at the beginning\n\n \n\n262\n\n219\n\n112\n\nAdditions\n\n \n\n142\n\n120\n\n149\n\nInterest income accrued during the period\n\n \n\n7\n\n4\n\n3\n\nOthers\n\n \n\n2\n\n(3)\n\n—\n\nLease receipts\n\n \n\n(146)\n\n(79)\n\n(48)\n\nTranslation Differences\n\n \n\n4\n\n1\n\n3\n\nBalance at the end\n\n \n\n271\n\n262\n\n219\n\n \n\n \n\n \n\n \n\n2.9 Goodwill and intangible assets\n\n \n\n2.9.1 Goodwill\n\n \n\nAccounting policy\n\nGoodwill represents the purchase consideration in excess of the Group's interest in the net fair value of identifiable assets, liabilities and contingent liabilities of the acquired entity. When the net fair value of the identifiable assets, liabilities and contingent liabilities acquired exceeds the purchase consideration, the fair value of net assets acquired is reassessed and the bargain purchase gain is recognized immediately in the net profit in the statement of comprehensive income. Goodwill is measured at cost less accumulated impairment losses.\n\n \n\nImpairment\n\n \n\nGoodwill is tested for impairment on an annual basis and whenever there is an indication that the recoverable amount of a cash generating unit (CGU) is less than its carrying amount. For the impairment test, goodwill is allocated to the CGU or groups of CGUs which benefit from the synergies of the acquisition, and which represents the lowest level at which goodwill is monitored for internal management purposes. A CGU is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash inflows from other assets or group of assets. Impairment occurs when the carrying amount of a CGU including the goodwill, exceeds the estimated recoverable amount of the CGU. The recoverable amount of a CGU is the higher of its fair value less cost to sell and its value-in-use. Value-in-use is the present value of future cash flows expected to be derived from the CGU. Key assumptions in the cash flow projections are prepared based on current economic conditions and includes estimated long term growth rates, weighted average cost of capital and estimated operating margins.\n\n \n\nFollowing is a summary of changes in the carrying amount of goodwill:\n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nCarrying value at the beginning\n\n \n\n \n\n1,182\n\n \n\n \n\n875\n\n \n\nGoodwill on acquisitions during the year (Refer to Note 2.10)\n\n \n\n \n\n52\n\n \n\n \n\n \n\n309\n\n \n\nTranslation differences\n\n \n\n \n\n44\n\n \n\n \n\n \n\n(2\n\n)\n\nCarrying value at the end\n\n \n\n \n\n1,278\n\n \n\n \n\n \n\n1,182\n\n \n\n \n\n \n\nFor the purpose of impairment testing, goodwill acquired in a business combination is allocated to the cash generating units (CGU) or groups of CGUs, which are benefited from the synergies of the acquisition. The Group internally reviews the goodwill for impairment at the operating segment level, after allocation of the goodwill to CGUs or groups of CGUs.\n\nThe following table presents the allocation of goodwill to operating segments as of March 31, 2026, and March 31, 2025:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\n \n\n \n\nAs of\n\n \n\nSegments\n\n \n\nMarch 31, 2026\n\n \n\nMarch 31, 2025\n\n \n\nFinancial services\n\n \n\n194\n\n \n\n177\n\n \n\nRetail\n\n \n\n118\n\n \n\n112\n\n \n\nCommunication\n\n \n\n86\n\n \n\n81\n\n \n\nEnergy, utilities, Resources and Services\n\n \n\n186\n\n \n\n156\n\n \n\nManufacturing\n\n \n\n372\n\n \n\n349\n\n \n\nLife Sciences\n\n \n\n122\n\n \n\n114\n\n \n\n \n\n \n\n \n\n1,078\n\n \n\n \n\n989\n\n \n\nOperating segments without significant goodwill\n\n \n\n83\n\n \n\n76\n\n \n\nTotal\n\n \n\n \n\n1,161\n\n \n\n \n\n1,065\n\n \n\n \n\nThe goodwill pertaining to Panaya amounting to $117 million and $117 million as of March 31, 2026, and March 31, 2025, respectively is tested for impairment at the entity level.\n\nThe recoverable amount of a CGU is the higher of its fair value less cost to sell and its value-in-use. The fair value of a CGU is determined based on the market capitalization. Value-in-use is determined based on discounted future cash flows.\n\nThe key assumptions used for the calculations are as follows:\n\n \n\n \n\n \n\n(in %)\n\n \n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nLong term growth rate\n\n \n\n \n\n7-10\n\n \n\n \n\n7-10\n\n \n\nOperating margins\n\n \n\n \n\n19-21\n\n \n\n \n\n19-21\n\n \n\nDiscount rate\n\n \n\n \n\n \n\n14\n\n \n\n \n\n \n\n13\n\n \n\n \n\nThe above discount rate is based on the Weighted Average Cost of Capital (WACC) of the Company. As of March 31, 2026, the estimated recoverable amount of the CGU exceeded its carrying amount. Reasonable sensitivities in key assumptions are unlikely to cause the carrying amount to exceed the recoverable amount of the cash generating units.\n\n \n\n \n\n2.9.2 Intangible assets\n\n \n\nAccounting policy\n\nIntangible assets are stated at cost less accumulated amortization and impairment. Intangible assets are amortized over their respective individual estimated useful lives on a straight-line basis, from the date that they are available for use. The estimated useful life of an identifiable intangible asset is based on a number of factors including the effects of obsolescence, demand, competition, and other economic factors (such as the stability of the industry and known technological advances) and the level of maintenance expenditures required to obtain the expected future cash flows from the asset. Amortization methods and useful lives are reviewed periodically including at each financial year end.\n\nResearch costs are expensed as incurred. Software product development costs are expensed as incurred unless technical and commercial feasibility of the project is demonstrated, future economic benefits are probable, the Group has an intention and ability to complete and use or sell the software and the costs can be measured reliably. The costs which can be capitalized include the cost of material, direct labour, overhead costs that are directly attributable to preparing the asset for its intended use.\n\nImpairment\n\n \n\nIntangible assets are evaluated for recoverability whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e., the higher of the fair value less cost to sell and the value-in-use) is determined on an individual asset basis unless the asset does not generate cash flows that are largely independent of those from other assets. In such cases, the recoverable amount is determined for the CGU to which the asset belongs.\n\nIf such assets are considered to be impaired, the impairment to be recognized in the net profit in the statement of comprehensive income is measured by the amount by which the carrying value of the assets exceeds the estimated recoverable amount of the asset. An impairment loss is reversed in the net profit in the statement of comprehensive income if there has been a change in the estimates used to determine the recoverable amount. The carrying amount of the asset is increased to its revised recoverable amount, provided that this amount does not exceed the carrying amount that would have been determined (net of any accumulated amortization) had no impairment loss been recognized for the asset in prior years.\n\n \n\nFollowing are the changes in the carrying value of acquired intangible assets for fiscal 2026:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nCustomer\nrelated\n\n \n\n \n\nSoftware\nrelated\n\n \n\n \n\nMarketing\nrelated\n\n \n\n \n\nOthers*\n\n \n\n \n\nTotal\n\n \n\nGross carrying value as of April 1, 2025\n\n \n\n \n\n516\n\n \n\n \n\n \n\n151\n\n \n\n \n\n \n\n61\n\n \n\n \n\n \n\n94\n\n \n\n \n\n \n\n822\n\n \n\nAdditions during the period\n\n \n\n \n\n—\n\n \n\n \n\n \n\n19\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n19\n\n \n\nAcquisition through business combination (Refer note no. 2.10)\n\n \n\n \n\n26\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n7\n\n \n\n \n\n \n\n35\n\n \n\nDeletions\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nTranslation differences\n\n \n\n \n\n25\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n34\n\n \n\nGross carrying value as of March 31, 2026\n\n \n\n \n\n567\n\n \n\n \n\n \n\n176\n\n \n\n \n\n \n\n65\n\n \n\n \n\n \n\n102\n\n \n\n \n\n \n\n910\n\n \n\nAccumulated amortization as of April 1, 2025\n\n \n\n \n\n(281\n\n)\n\n \n\n \n\n(103\n\n)\n\n \n\n \n\n(35\n\n)\n\n \n\n \n\n(80\n\n)\n\n \n\n \n\n(499\n\n)\n\nAmortization expense #\n\n \n\n \n\n(71\n\n)\n\n \n\n \n\n(14\n\n)\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n(9\n\n)\n\n \n\n \n\n(101\n\n)\n\nDeletions\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nTranslation differences\n\n \n\n \n\n(11\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(12\n\n)\n\nAccumulated amortization as of March 31, 2026\n\n \n\n \n\n(363\n\n)\n\n \n\n \n\n(118\n\n)\n\n \n\n \n\n(42\n\n)\n\n \n\n \n\n(89\n\n)\n\n \n\n \n\n(612\n\n)\n\nCarrying value as of March 31, 2026\n\n \n\n \n\n204\n\n \n\n \n\n \n\n58\n\n \n\n \n\n \n\n23\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n298\n\n \n\nCarrying value as of April 1, 2025\n\n \n\n \n\n235\n\n \n\n \n\n \n\n48\n\n \n\n \n\n \n\n26\n\n \n\n \n\n \n\n14\n\n \n\n \n\n \n\n323\n\n \n\nEstimated Useful Life (in years)\n\n \n\n1-15\n\n \n\n \n\n3-10\n\n \n\n \n\n3-10\n\n \n\n \n\n3-7\n\n \n\n \n\n \n\n \n\nEstimated Remaining Useful Life (in years)\n\n \n\n1-9\n\n \n\n \n\n1-4\n\n \n\n \n\n1-5\n\n \n\n \n\n1-2\n\n \n\n \n\n \n\n \n\n \n\n#During the year ended March 31, 2026, a decline in the revenue estimates led to the carrying value of the customer related intangibles assets recognized on business combination exceeding the estimated recoverable amount. Consequently, the\n\n \n\nCompany has recognized $26 million as the excess of carrying value over the estimated recoverable value for the year ended March 31, 2026.\n\n \n\n* Primarily includes intangibles related to vendor relationships\n\n \n\nFollowing are the changes in the carrying value of acquired intangible assets for fiscal 2025:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nCustomer\nrelated\n\n \n\n \n\nSoftware\nrelated\n\n \n\n \n\nMarketing\nrelated\n\n \n\n \n\nOthers*\n\n \n\n \n\nTotal\n\n \n\nGross carrying value as of April 1, 2024\n\n \n\n \n\n304\n\n \n\n \n\n \n\n134\n\n \n\n \n\n \n\n42\n\n \n\n \n\n \n\n94\n\n \n\n \n\n \n\n574\n\n \n\nAdditions during the period\n\n \n\n \n\n—\n\n \n\n \n\n \n\n17\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n17\n\n \n\nAcquisition through business combination (Refer note no. 2.10)\n\n \n\n \n\n212\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n20\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n232\n\n \n\nDeletions\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nTranslation differences\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\nGross carrying value as of March 31, 2025\n\n \n\n \n\n516\n\n \n\n \n\n \n\n151\n\n \n\n \n\n \n\n61\n\n \n\n \n\n \n\n94\n\n \n\n \n\n \n\n822\n\n \n\nAccumulated amortization as of April 1, 2024\n\n \n\n \n\n(219\n\n)\n\n \n\n \n\n(93\n\n)\n\n \n\n \n\n(28\n\n)\n\n \n\n \n\n(67\n\n)\n\n \n\n \n\n(407\n\n)\n\nAmortization expense #\n\n \n\n \n\n(62\n\n)\n\n \n\n \n\n(10\n\n)\n\n \n\n \n\n(6\n\n)\n\n \n\n \n\n(13\n\n)\n\n \n\n \n\n(91\n\n)\n\nDeletions\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nTranslation differences\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\nAccumulated amortization as of March 31, 2025\n\n \n\n \n\n(281\n\n)\n\n \n\n \n\n(103\n\n)\n\n \n\n \n\n(35\n\n)\n\n \n\n \n\n(80\n\n)\n\n \n\n \n\n(499\n\n)\n\nCarrying value as of March 31, 2025\n\n \n\n \n\n235\n\n \n\n \n\n \n\n48\n\n \n\n \n\n \n\n26\n\n \n\n \n\n \n\n14\n\n \n\n \n\n \n\n323\n\n \n\nCarrying value as of April 1, 2024\n\n \n\n \n\n85\n\n \n\n \n\n \n\n41\n\n \n\n \n\n \n\n14\n\n \n\n \n\n \n\n27\n\n \n\n \n\n \n\n167\n\n \n\nEstimated Useful Life (in years)\n\n \n\n1-15\n\n \n\n \n\n3-10\n\n \n\n \n\n3-10\n\n \n\n \n\n3-7\n\n \n\n \n\n \n\n \n\nEstimated Remaining Useful Life (in years)\n\n \n\n1-9\n\n \n\n \n\n1-4\n\n \n\n \n\n1-6\n\n \n\n \n\n1-3\n\n \n\n \n\n \n\n \n\n \n\n#During the year ended March 31, 2025, a decline in the revenue estimates led to the carrying value of the customer related intangibles assets recognized on business combination exceeding the estimated recoverable amount. Consequently, the Company has recognized $22 million as the excess of carrying value over the estimated recoverable value for the year ended March 31, 2025.\n\n \n\n* Primarily includes intangibles related to vendor relationships\n\nFollowing are the changes in the carrying value of acquired intangible assets for fiscal 2024:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nCustomer\nrelated\n\n \n\n \n\nSoftware\nrelated\n\n \n\n \n\nMarketing\nrelated\n\n \n\n \n\nOthers*\n\n \n\n \n\nTotal\n\n \n\nGross carrying value as of April 1, 2023\n\n \n\n \n\n307\n\n \n\n \n\n \n\n127\n\n \n\n \n\n \n\n42\n\n \n\n \n\n \n\n94\n\n \n\n \n\n \n\n570\n\n \n\nAdditions during the period\n\n \n\n \n\n—\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n9\n\n \n\nTranslation differences\n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(5\n\n)\n\nGross carrying value as of March 31, 2024\n\n \n\n \n\n304\n\n \n\n \n\n \n\n134\n\n \n\n \n\n \n\n42\n\n \n\n \n\n \n\n94\n\n \n\n \n\n \n\n574\n\n \n\nAccumulated amortization as of April 1, 2023\n\n \n\n \n\n(196\n\n)\n\n \n\n \n\n(85\n\n)\n\n \n\n \n\n(24\n\n)\n\n \n\n \n\n(52\n\n)\n\n \n\n \n\n(357\n\n)\n\nAmortization expense\n\n \n\n \n\n(24\n\n)\n\n \n\n \n\n(9\n\n)\n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n(15\n\n)\n\n \n\n \n\n(52\n\n)\n\nTranslation differences\n\n \n\n \n\n1\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n2\n\n \n\nAccumulated amortization as of March 31, 2024\n\n \n\n \n\n(219\n\n)\n\n \n\n \n\n(93\n\n)\n\n \n\n \n\n(28\n\n)\n\n \n\n \n\n(67\n\n)\n\n \n\n \n\n(407\n\n)\n\nCarrying value as of March 31, 2024\n\n \n\n \n\n85\n\n \n\n \n\n \n\n41\n\n \n\n \n\n \n\n14\n\n \n\n \n\n \n\n27\n\n \n\n \n\n \n\n167\n\n \n\nCarrying value as of April 1, 2023\n\n \n\n \n\n111\n\n \n\n \n\n \n\n42\n\n \n\n \n\n \n\n18\n\n \n\n \n\n \n\n42\n\n \n\n \n\n \n\n213\n\n \n\nEstimated Useful Life (in years)\n\n \n\n1-15\n\n \n\n \n\n3-10\n\n \n\n \n\n3-10\n\n \n\n \n\n3-7\n\n \n\n \n\n \n\n \n\nEstimated Remaining Useful Life (in years)\n\n \n\n1-10\n\n \n\n \n\n1-5\n\n \n\n \n\n1-6\n\n \n\n \n\n1-4\n\n \n\n \n\n \n\n \n\n \n\n* Primarily includes intangibles related to vendor relationships\n\n \n\nThe amortization expense has been included under depreciation and amortization expense under cost of sales in the consolidated statement of comprehensive income.\n\n \n\n \n\nResearch and development expense recognized in the consolidated statement of comprehensive income, for fiscal 2026, 2025 and 2024 was $207 million, $153 million and $135 million, respectively.\n\n \n\n \n\n2.10 Business combinations\n\n \n\nAccounting Policy:\n\n \n\nBusiness combinations have been accounted for using the acquisition method under the provisions of IFRS 3 (Revised), Business Combinations.\n\nThe purchase price in an acquisition is measured at the fair value of the assets transferred, equity instruments issued and liabilities incurred or assumed at the date of acquisition, which is the date on which control is transferred to the Group. The purchase price also includes the fair value of any contingent consideration. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair value on the date of acquisition. Contingent consideration is remeasured at fair value at each reporting date and changes in the fair value of the contingent consideration are recognized in the consolidated statement of comprehensive income.\n\n \n\nThe interest of non-controlling shareholders is initially measured either at fair value or at the non-controlling interests’ proportionate share of the acquiree’s identifiable net assets. The choice of measurement basis is made on an acquisition-by-acquisition basis. Subsequent to acquisition, the carrying amount of non-controlling interests is the amount of those interests at initial recognition plus the non-controlling interests’ share of subsequent changes in equity of subsidiaries.\n\n \n\nBusiness combinations between entities under common control is outside the scope of IFRS 3 (Revised), Business Combinations and is accounted for at carrying value of assets acquired and liabilities assumed.\n\n \n\nThe payments related to options issued by the Group over the non-controlling interests in its subsidiaries are accounted as financial liabilities and initially recognized at the estimated present value of gross obligations. Such options are subsequently measured at fair value in order to reflect the amount payable under the option at the date at which it becomes exercisable. In the event that the option expires unexercised, the liability is derecognized.\n\n \n\nAcquisition during the year ended March 31, 2026\n\n \n\nDuring the year ended March 31, 2026 the Group, completed two business combinations by acquiring 100% partnership interests/voting interests in:\n\n \n\n1) MRE Consulting Ltd., a leading Energy and business consulting services company, headquartered in Texas, U.S. on April 30, 2025, which is expected to bring newer capabilities for the Group in trading and risk management, especially in the energy sector.\n\n \n\n2) The Missing Link Security Pty. Ltd., The Missing Link Security Limited and The Missing Link Automation Pty. Ltd. (collectively known as \"The Missing Link\"), a leading Cybersecurity service provider headquartered in Australia on April 30, 2025, which is expected to further strengthen the Group's capabilities in the cybersecurity sector and bolster its presence in the fast growing Australian Market.\n\n \n\n \n\nThe purchase price is allocated to assets acquired and liabilities assumed based upon determination of fair values at the date of acquisition as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\nComponent\n\n \n\nAcquiree's\ncarrying\namount\n\n \n\nFair value\nadjustments\n\n \n\nPurchase price\nallocated\n\nNet assets*\n\n \n\n14\n\n \n\n—\n\n \n\n14\n\nIntangible assets\n\n \n\n \n\n \n\n \n\n \n\n \n\nCustomer related\n\n \n\n—\n\n \n\n26\n\n \n\n26\n\nVendor relationship\n\n \n\n—\n\n \n\n7\n\n \n\n7\n\nBrand\n\n \n\n—\n\n \n\n2\n\n \n\n2\n\nDeferred tax liabilities on intangible assets\n\n \n\n—\n\n \n\n(5)\n\n \n\n(5)\n\nTotal\n\n \n\n14\n\n \n\n30\n\n \n\n44\n\nGoodwill\n\n \n\n \n\n \n\n \n\n \n\n52\n\nTotal purchase price\n\n \n\n \n\n \n\n \n\n \n\n96\n\n \n\n(*)Includes cash and cash equivalents acquired of $12 million.\n\n \n\nThe excess of the purchase consideration paid over the fair value of assets acquired has been attributed to goodwill. The primary items that generated this goodwill are the value of the acquired assembled workforce and estimated synergies, neither of which qualify as an intangible asset.\n\n \n\nGoodwill amounting to $9 million is expected to be deductible for tax purposes.\n\n \n\nThe total purchase consideration of $96 million includes upfront cash consideration of $88 million and contingent consideration with an estimated fair value of $8 million as on the date of acquisition.\n\n \n\nAt the acquisition date, the key inputs used in determination of the fair value of contingent consideration are the probabilities assigned towards achievement of financial targets and discount rates ranging from 2% - 3%. The undiscounted value of contingent consideration as of March 31, 2026 was approximately $9 million.\n\n \n\nAdditionally, these acquisitions have retention bonus and management incentives payable to the employees of the acquiree over 2-3 years, subject to their continuous employment with the Group and achievement of financial targets for the respective years. Retention bonus and management incentives are recognized in employee benefit expenses in the Statement of Comprehensive Income over the period of service.\n\n \n\nFair value of trade receivables acquired is $23 million as of acquisition date and as of March 31, 2026, the amounts are substantially collected.\n\n \n\nTransaction costs that the Group incurs in connection with a business combination such as finder’s fees, legal fees, due diligence fees, and other professional and consulting fees are expensed as incurred. The transaction costs of $4 million related to the acquisition have been included under administrative expenses in the Consolidated Statement of Comprehensive Income for the year ended March 31, 2026.\n\n \n\n \n\nAcquisition during the year ended March 31, 2025\n\n \n\nInSemi\n\n \n\nOn May 10, 2024, Infosys Ltd acquired 100% voting interests in InSemi Technology Services Private Limited, a semiconductor design services company headquartered in India. This acquisition is expected to strengthen our expertise in semiconductor ecosystem and Engineering R&D services.\n\n \n\n \n\nThe purchase price is allocated to assets acquired and liabilities assumed based upon determination of fair values at the date of acquisition as follows:\n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\nComponent\n\n \n\nAcquiree's carrying amount\n\n \n\nFair value adjustments\n\n \n\nPurchase price allocated\n\nNet assets(1)\n\n \n\n5\n\n \n\n—\n\n \n\n5\n\nIntangible assets\n\n \n\n \n\n \n\n \n\n \n\n \n\nCustomer related\n\n \n\n—\n\n \n\n7\n\n \n\n7\n\n    Brand\n\n \n\n—\n\n \n\n2\n\n \n\n2\n\nDeferred tax liabilities on intangible assets\n\n \n\n—\n\n \n\n(2)\n\n \n\n(2)\n\nTotal\n\n \n\n5\n\n \n\n7\n\n \n\n12\n\nGoodwill\n\n \n\n \n\n \n\n \n\n \n\n12\n\nTotal purchase price\n\n \n\n \n\n \n\n \n\n \n\n24\n\n \n\n(1) Includes cash and cash equivalents acquired of $5 million.\n\n \n\nThe excess of the purchase consideration paid over the fair value of assets acquired has been attributed to goodwill. The primary items that generated this goodwill are the value of the acquired assembled workforce and estimated synergies, neither of which qualify as an intangible asset.\n\n \n\nGoodwill is not tax-deductible.\n\n \n\nThe purchase consideration of $24 million includes cash of $20 million and contingent consideration with an estimated fair value of $4 million as on the date of acquisition.\n\n \n\nAt the acquisition date, the key inputs used in determination of the fair value of contingent consideration are the probabilities assigned towards achievement of financial targets and discount rate of 5.9%. The undiscounted value of contingent consideration as of March 31, 2026 was $4 million.\n\n \n\nAdditionally, this acquisition has retention bonus and management incentive payable to the employees of the acquiree over three years, subject to their continuous employment with the Group and achievement of financial targets for the respective years. Bonus and incentives are recognized in employee benefit expenses in the Consolidated Statement of Comprehensive Income over the period of service.\n\n \n\nFair value of trade receivables acquired is $4 million as of acquisition date and as of March 31, 2026 the amounts are fully collected.\n\n \n\nTransaction costs that the Group incurs in connection with a business combination such as finder’s fees, legal fees, due diligence fees, and other professional and consulting fees are expensed as incurred. The transaction costs of less than a million related to the acquisition have been included under administrative expenses in the Consolidated Statement of Comprehensive Income for the year ended March 31, 2025.\n\n \n\nin-tech Holding GmbH\n\n \n\nOn July 17, 2024, Infosys Germany GmbH wholly owned step-down subsidiary of Infosys Limited acquired 100% voting interests in in-tech Holding GmbH, a leading provider of engineering R&D services headquartered in Germany. This acquisition is expected to strengthen Infosys’ engineering R&D capabilities and reaffirms its continued commitment to global clients to navigate their digital engineering journey.\n\n \n\n \n\nThe purchase price is allocated to assets acquired and liabilities assumed based upon determination of fair values at the date of acquisition as follows:\n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\nComponent\n\n \n\nAcquiree's\ncarrying\namount\n\n \n\nFair value\nadjustments\n\n \n\nPurchase price\nallocated\n\nAssets(*)\n\n \n\n87\n\n \n\n—\n\n \n\n87\n\nLiabilities\n\n \n\n(43)\n\n \n\n—\n\n \n\n(43)\n\nIntangible Assets\n\n \n\n \n\n \n\n \n\n \n\n \n\n Customer related\n\n \n\n—\n\n \n\n205\n\n \n\n205\n\n Brand\n\n \n\n—\n\n \n\n18\n\n \n\n18\n\nDeferred tax liabilities on intangible assets\n\n \n\n \n\n \n\n(61)\n\n \n\n(61)\n\nGoodwill\n\n \n\n \n\n \n\n \n\n \n\n297\n\nLoan\n\n \n\n(118)\n\n \n\n—\n\n \n\n(118)\n\nTotal purchase price\n\n \n\n(74)\n\n \n\n162\n\n \n\n385\n\nLoan repayment\n\n \n\n \n\n \n\n \n\n \n\n118\n\nTotal cash outflow\n\n \n\n \n\n \n\n \n\n \n\n503\n\n \n\n(*) Includes cash and cash equivalents acquired of $23 million.\n\nThe excess of the purchase consideration paid over the fair value of assets acquired has been attributed to goodwill. The primary items that generated this goodwill are the value of the acquired assembled workforce and estimated synergies, neither of which qualify as an intangible asset.\n\n \n\nGoodwill is not tax-deductible.\n\n \n\nThe total purchase consideration of $385 million comprises the cash consideration paid to selling shareholders at the acquisition date.\n\n \n\nAdditionally, this acquisition has retention bonus and management incentive payable to the employees of the acquiree over two to five years, subject to their continuous employment with the Group and achievement of financial targets for the respective years. Bonus and incentives are recognized in employee benefit expenses in the Consolidated Statement of Comprehensive Income over the period of service.\n\n \n\nFair value of trade receivables acquired is $17 million as of acquisition date and as of March 31, 2026 the amounts are fully collected.\n\n \n\nTransaction costs that the Group incurs in connection with a business combination such as finder’s fees, legal fees, due diligence fees, and other professional and consulting fees are expensed as incurred. The transaction costs of $1 million related to the acquisition have been included under administrative expenses in the Consolidated Statement of Comprehensive Income for the year ended March 31, 2025.\n\n \n\n \n\nProposed acquisitions\n\n \n\nOn August 13, 2025, Infosys Singapore Pte. Ltd., a wholly owned subsidiary of Infosys Limited, entered into a definitive agreement to acquire 75% of the equity share capital in Telstra Purple Pty Ltd, including some of its subsidiaries (together known as Versent Group), Australia’s leading Digital Transformation Solutions Provider for a consideration including earn-outs and deferred consideration amounting up to AUD 233 million (approximately $152 million), excluding retention bonus and management incentives, subject to regulatory approvals and customary closing adjustments.\n\n \n\n \n\nUpdate on acquisition completed after the end of the reporting period\n\n \n\nOn March 25, 2026, Infosys Nova Holdings LLC a wholly-owned subsidiary of Infosys Limited, entered into a definitive agreement to acquire 100% of the partnership interests of Stratus Global LLC, a leading insurance technology partner serving P&C insurers and managing general agents (MGAs), headquartered in USA, for a consideration including earn-outs amounting up to $95 million, excluding management incentives, and retention bonus, subject to customary closing adjustments. Subsequently in April 2026, as on the date these financial statements were authorized for issuance, Infosys Nova Holdings LLC has completed its acquisition of Stratus Global LLC.\n\n \n\nOn March 25, 2026, Infosys Nova Holdings LLC , a wholly-owned subsidiary of Infosys Limited, entered into a definitive agreement to acquire 100% of the equity share capital of Optimum Achieve Holdings Inc., a leading healthcare digital transformation and consulting firm headquartered in USA, along with its other subsidiaries including Optimum Healthcare IT, LLC, for a consideration including earn-outs amounting up to $465 million, excluding management incentives and retention bonus, subject to customary closing adjustments. Subsequently in May 2026, as on the date these financial statements were authorized for issuance, Infosys Nova Holdings LLC has completed its acquisition of Optimum Achieve Holdings Inc.\n\n \n\nGiven the recent timing of these acquisitions and pending completion of the valuations for identifiable net assets acquired and liabilities assumed, at the time these financial statements were authorized for issuance, the initial accounting for these business combinations is incomplete. Accordingly, all the required disclosures for these business combinations have not been made.\n\n \n\n \n\n2.11 Revenue from operations\n\n \n\nAccounting policy\n\nThe Group derives revenues primarily from IT services comprising software development and related services, cloud and infrastructure services, maintenance, consulting and package implementation, licensing of software products and platforms across the Group’s core and digital offerings (together called as “software related services”) and business process management services. Contracts with customers are either on a time-and-material, unit of work, fixed-price or on a fixed-timeframe basis.\n\n \n\nRevenues from customer contracts are considered for recognition and measurement when the contract has been approved in writing, by the parties, to the contract, the parties to the contract are committed to perform their respective obligations under the contract, and the contract is legally enforceable. Revenue is recognized upon transfer of control of promised products or services (“performance obligations”) to customers in an amount that reflects the consideration the Group has received or expects to receive in exchange for these products or services (“transaction price”). When there is uncertainty as to collectability, revenue recognition is postponed until such uncertainty is resolved.\n\n \n\nThe Group assesses the services promised in a contract and identifies distinct performance obligations in the contract. The Group allocates the transaction price to each distinct performance obligation based on the relative standalone selling price. The price that is regularly charged for an item when sold separately is the best evidence of its standalone selling price. In the absence of such evidence, the primary method used to estimate standalone selling price is the expected cost plus a margin, under which the Group estimates the cost of satisfying the performance obligation and then adds an appropriate margin based on similar services.\n\n \n\nThe Group’s contracts may include variable consideration including rebates, volume discounts and penalties. The Group includes variable consideration as part of transaction price when there is a basis to reasonably estimate the amount of the variable consideration and when it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved.\n\n \n\n \n\nRevenue on time-and-material and unit of work-based contracts, are recognized as the related services are performed. Fixed price maintenance revenue is recognized ratably either on a straight-line basis when services are performed through an indefinite number of repetitive acts over a specified period or ratably using a percentage of completion method when the pattern of benefits from the services rendered to the customer and Group’s costs to fulfil the contract is not even through the period of contract because the services are generally discrete in nature and not repetitive. Revenue from other fixed-price, fixed-timeframe contracts, where the performance obligations are satisfied over time is recognized using the percentage-of-completion method. Efforts or costs expended are used to determine progress towards completion as there is a direct relationship between input and productivity. Progress towards completion is measured as the ratio of costs or efforts incurred to date (representing work performed) to the estimated total costs or efforts. Estimates of transaction price and total costs or efforts are continuously monitored over the term of the contracts and are recognized in net profit in the period when these estimates change or when the estimates are revised. Revenues and the estimated total costs or efforts are subject to revision as the contract progresses. Provisions for estimated losses, if any, on incomplete contracts are recorded in the period in which such losses become probable based on the estimated efforts or costs to complete the contract.\n\n \n\nThe billing schedules agreed with customers include periodic performance-based billing and / or milestone-based progress billings. Revenues in excess of billing are classified as unbilled revenue while billing in excess of revenues are classified as contract liabilities (which we refer to as unearned revenues).\n\n \n\nIn arrangements for software development and related services and maintenance services, by applying the revenue recognition criteria for each distinct performance obligation, the arrangements with customers generally meet the criteria for considering software development and related services as distinct performance obligations. For allocating the transaction price, the Group measures the revenue in respect of each performance obligation of a contract at its relative standalone selling price. The price that is regularly charged for an item when sold separately is the best evidence of its standalone selling price. In cases where the Group is unable to determine the standalone selling price, the Group uses the expected cost-plus margin approach in estimating the standalone selling price. For software development and related services, the performance obligations are satisfied as and when the services are rendered since the customer generally obtains control of the work as it progresses.\n\n \n\nCertain cloud and infrastructure services contracts include multiple elements which may be subject to other specific accounting guidance, such as leasing guidance. These contracts are accounted in accordance with such specific accounting guidance. In such arrangements where the Group is able to determine that hardware and services are distinct performance obligations, it allocates the consideration to these performance obligations on a relative standalone selling price basis. In the absence of standalone selling price, the Group uses the expected cost-plus margin approach in estimating the standalone selling price. When such arrangements are considered as a single performance obligation, revenue is recognized over the period and measure of progress is determined based on promise in the contract.\n\n \n\nRevenue from licenses where the customer obtains a “right to use” the licenses is recognized at the time the license is made available to the customer. Revenue from licenses where the customer obtains a “right to access” is recognized over the access period.\n\n \n\nArrangements to deliver software products generally have three elements: license, implementation and Annual Technical Services (ATS). When implementation services are provided in conjunction with the licensing arrangement and the license and implementation have been identified as two distinct separate performance obligations, the transaction price for such contracts are allocated to each performance obligation of the contract based on their relative standalone selling prices. In the absence of standalone selling price for implementation, the Group uses the expected cost-plus margin approach in estimating the standalone selling price. Where the license is required to be substantially customized as part of the implementation service the entire arrangement fee for license and implementation is considered to be a single performance obligation and the revenue is recognized using the percentage-of-completion method as the implementation is performed. Revenue from client training, support and other services arising due to the sale of software products is recognized as the performance obligations are satisfied. ATS revenue is recognized ratably on a straight-line basis over the period in which the services are rendered.\n\n \n\nContracts with customers includes subcontractor services or third-party vendor equipment or software in certain integrated services arrangements. In these types of arrangements, revenue from sales of third-party vendor products or services is recorded net of costs when the Group is acting as an agent between the customer and the vendor, and gross when the Group is the principal for the transaction. In doing so, the Group first evaluates whether it obtains control of the specified goods or services before they are transferred to the customer. The Group considers whether it is primarily responsible for fulfilling the promise to provide the specified goods or services, inventory risk, pricing discretion and other factors to determine whether it controls the specified goods or services and therefore, is acting as a principal or an agent.\n\n \n\n \n\nA contract modification is a change in the scope or price or both of a contract that is approved by the parties to the contract. A contract modification that results in the addition of distinct performance obligations are accounted for either as a separate contract if the additional services are priced at the standalone selling price or as a termination of the existing contract and creation of a new contract if they are not priced at the standalone selling price. If the modification does not result in a distinct performance obligation, it is accounted for as part of the existing contract on a cumulative catch-up basis.\n\n \n\nThe incremental costs of obtaining a contract (i.e., costs that would not have been incurred if the contract had not been obtained) are recognized as an asset if the Group expects to recover them.\n\n \n\nCertain eligible, nonrecurring costs (e.g., set-up or transition or transformation costs) that do not represent a separate performance obligation are recognized as an asset when such costs (a) relate directly to the contract; (b) generate or enhance resources of the Group that will be used in satisfying the performance obligation in the future; and (c) are expected to be recovered.\n\n \n\nCapitalized contract costs relating to upfront payments to customers are amortized to revenue and other capitalized costs are amortized to cost of sales over the respective contract life on a systematic basis consistent with the transfer of goods or services to customer to which the asset relates. Capitalized costs are monitored regularly for impairment. Impairment losses are recorded when present value of projected remaining operating cash flows is not sufficient to recover the carrying amount of the capitalized costs.\n\n \n\nThe Group presents revenues net of indirect taxes in its statement of comprehensive income.\n\n \n\nRevenues for fiscal 2026, 2025, and 2024 are as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nRevenue from software services\n\n \n\n \n\n19,196\n\n \n\n \n\n \n\n18,379\n\n \n\n \n\n \n\n17,549\n\n \n\nRevenue from products and platforms\n\n \n\n \n\n962\n\n \n\n \n\n \n\n898\n\n \n\n \n\n \n\n1,013\n\n \n\nTotal Revenue from Operations\n\n \n\n \n\n20,158\n\n \n\n \n\n \n\n19,277\n\n \n\n \n\n \n\n18,562\n\n \n\n \n\nProducts & platforms\n\n \n\nThe Group also derives revenues from the sale of products and platforms like Finacle – core banking solution, Edge Suite of products, Panaya platform, Stater digital platform and Infosys McCamish – insurance platform.\n\n \n\nDisaggregated revenue information\n\n \n\nRevenue disaggregation by business segments has been included in segment information (Refer to note 2.21). The table below presents disaggregated revenues from contracts with customers by geography and contract type. The Group believes this disaggregation best depicts how the nature, amount, timing and uncertainty of revenues and cash flows are affected by industry, market and other economic factors.\n\n \n\nYear ended March 31, 2026, March 31, 2025 and March 31, 2024\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\nParticulars\n\nYear ended March 31\n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nRevenues by Geography*\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nNorth America\n\n \n\n11,304\n\n \n\n \n\n \n\n11,166\n\n \n\n \n\n \n\n11,163\n\n \n\nEurope\n\n \n\n6,480\n\n \n\n \n\n \n\n5,745\n\n \n\n \n\n \n\n5,105\n\n \n\nIndia\n\n \n\n576\n\n \n\n \n\n \n\n593\n\n \n\n \n\n \n\n469\n\n \n\nRest of the world\n\n \n\n1,798\n\n \n\n \n\n \n\n1,773\n\n \n\n \n\n \n\n1,825\n\n \n\nTotal\n\n \n\n20,158\n\n \n\n \n\n \n\n19,277\n\n \n\n \n\n \n\n18,562\n\n \n\n \n\n \n\n*Geographical revenues are based on the domicile of customer\n\n \n\n \n\nThe percentage of revenue from fixed price contracts for each of fiscal 2026, 2025 and 2024 is 54%, 54% and 53%, respectively.\n\n \n\n \n\nTrade Receivables and Contract Balances\n\n \n\nThe timing of revenue recognition, billings and cash collections results in Receivables, Unbilled Revenue, and Unearned Revenue on the Group’s Consolidated Balance Sheet. Amounts are billed as work progresses in accordance with agreed-upon contractual terms, either at periodic intervals (e.g., monthly or quarterly) or upon achievement of contractual milestones.\n\n \n\nThe Group’s Receivables are rights to consideration that are unconditional. Unbilled revenues comprising revenues in excess of billings from time & material contracts and fixed price maintenance contracts are classified as a financial asset when the right to consideration is unconditional and is due only after a passage of time.\n\n \n\nInvoicing to the clients for other fixed price contracts is based on milestones as defined in the contract and therefore, the timing of revenue recognition is different from the timing of invoicing to the customers. Therefore, Unbilled Revenues for other fixed price contracts (contract asset) are classified as non-financial asset because the right to consideration is dependent on completion of contractual milestones.\n\n \n\nInvoicing in excess of earnings are classified as unearned revenue.\n\n \n\nTrade receivable and unbilled revenues are presented net of impairment in the consolidated statements of financial position.\n\n \n\nDuring fiscal 2026, 2025 and 2024, the Group recognized revenue of $747 million, $671 million and $656 million, respectively, arising from opening unearned revenue as of April 1, 2025, April 1, 2024, and April 1, 2023.\n\nDuring fiscal 2026, 2025 and 2024, $547 million, $579 million and $850 million of unbilled revenue pertaining to other fixed price, fixed time frame contracts as of April 1, 2025, April 1, 2024, and April 1, 2023, respectively, has been reclassified to trade receivables upon billing to customers on completion of milestones.\n\n \n\n \n\nRemaining performance obligations\n\n \n\nThe remaining performance obligation disclosure provides the aggregate amount of the transaction price yet to be recognized as of the end of the reporting period and an explanation as to when the Group expects to recognize these amounts in revenue. Applying the practical expedient as given in IFRS 15, the Group has not disclosed the remaining performance obligation related disclosures for contracts where the revenue recognized corresponds directly with the value to the customer of the entity's performance completed to date, typically those contracts where invoicing is on time & material basis and unit of work based contracts. Remaining performance obligation estimates are subject to change and are affected by several factors, including terminations, changes in the scope of contracts, periodic revalidation, adjustment for revenue that has not materialized and adjustments for currency fluctuations.\n\n \n\n \n\nThe aggregate value of performance obligations that are completely or partially unsatisfied as at March 31, 2026, other than those meeting the exclusion criteria mentioned above, is $13,709 million. Out of this, the Group expects to recognize revenue of around 49.7% within the next one year and the remaining thereafter. The aggregate value of performance obligations that are completely or partially unsatisfied as at March 31, 2025 was $12,258 million. The contracts can generally be terminated by the customers and typically includes an enforceable termination penalty payable by them. Generally, customers have not terminated contracts without cause.\n\n2.12 Unbilled revenue\n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nUnbilled financial asset (1)\n\n \n\n \n\n1,211\n\n \n\n \n\n \n\n1,195\n\n \n\nUnbilled non-financial asset (2)\n\n \n\n \n\n605\n\n \n\n \n\n \n\n569\n\n \n\n \n\n \n\n1,816\n\n \n\n \n\n \n\n1,764\n\n \n\n \n\n(1)\nRight to consideration is unconditional and is due only after a passage of time.\n\n(2)\nRight to consideration is dependent on completion of contractual milestones.\n\n \n\n \n\n2.13 Expenses by nature\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nEmployee benefit costs\n\n \n\n \n\n10,882\n\n \n\n \n\n \n\n10,165\n\n \n\n \n\n \n\n9,981\n\n \n\nDepreciation and amortization charges (Refer to Notes 2.7, 2.8 and 2.9)\n\n \n\n \n\n552\n\n \n\n \n\n569\n\n \n\n \n\n \n\n565\n\n \n\nTravelling costs\n\n \n\n \n\n237\n\n \n\n \n\n224\n\n \n\n \n\n \n\n213\n\n \n\nCost of technical sub-contractors\n\n \n\n \n\n1,740\n\n \n\n \n\n \n\n1,530\n\n \n\n \n\n \n\n1,477\n\n \n\nCost of software packages for own use\n\n \n\n \n\n321\n\n \n\n \n\n292\n\n \n\n \n\n \n\n259\n\n \n\nThird party items bought for service delivery to clients\n\n \n\n \n\n1,453\n\n \n\n \n\n \n\n1,589\n\n \n\n \n\n \n\n1,372\n\n \n\nConsultancy and professional charges\n\n \n\n \n\n235\n\n \n\n \n\n197\n\n \n\n \n\n \n\n210\n\n \n\nCommunication costs\n\n \n\n \n\n68\n\n \n\n \n\n73\n\n \n\n \n\n \n\n81\n\n \n\nRepairs and maintenance\n\n \n\n \n\n200\n\n \n\n \n\n183\n\n \n\n \n\n \n\n175\n\n \n\nRates and Taxes\n\n \n\n \n\n35\n\n \n\n \n\n41\n\n \n\n \n\n \n\n39\n\n \n\nProvision for post-sales client support\n\n \n\n \n\n(19\n\n)\n\n \n\n \n\n(13\n\n)\n\n \n\n \n\n9\n\n \n\nPower and fuel\n\n \n\n \n\n25\n\n \n\n \n\n27\n\n \n\n \n\n \n\n24\n\n \n\nCommission to non-whole time directors\n\n \n\n \n\n2\n\n \n\n \n\n2\n\n \n\n \n\n \n\n2\n\n \n\nBranding and marketing expenses\n\n \n\n \n\n153\n\n \n\n \n\n144\n\n \n\n \n\n \n\n122\n\n \n\nImpairment loss recognized / (reversed) under expected credit loss model\n\n \n\n \n\n4\n\n \n\n \n\n6\n\n \n\n \n\n \n\n15\n\n \n\nInsurance charges\n\n \n\n \n\n38\n\n \n\n \n\n36\n\n \n\n \n\n \n\n25\n\n \n\nContribution towards Corporate Social Responsibility\n\n \n\n \n\n70\n\n \n\n \n\n69\n\n \n\n \n\n \n\n64\n\n \n\nOthers\n\n \n\n \n\n77\n\n \n\n \n\n72\n\n \n\n \n\n \n\n95\n\n \n\nTotal cost of sales, selling and marketing expenses and administrative expenses\n\n \n\n \n\n16,073\n\n \n\n \n\n \n\n15,206\n\n \n\n \n\n \n\n14,728\n\n \n\n \n\nOperating profit\n\n \n\nOperating profit for the Group is computed considering the revenues, net of cost of sales, selling and marketing expenses and administrative expenses.\n\n \n\nImpact of Labour Codes\n\n \n\nOn November 21, 2025, the Government of India notified provisions of the Code on Wages, 2019, the Industrial Relations Code, 2020, the Code on Social Security, 2020, and the Occupational Safety, Health and Working Conditions Code, 2020 (collectively referred to as the “Labour Codes”), which consolidate twenty‑nine existing labour laws into a unified framework governing employee benefits during employment and post‑employment. The Labour Codes, amongst other things, introduce changes including a uniform definition of wages and enhanced benefits relating to leave. The Group has assessed the financial implications of these changes, which has resulted in an increase in gratuity liability, a defined benefit plan arising out of past service cost relating to plan amendments and an increase in compensated absences by $143 million, which is recognized under employee benefit costs in the Consolidated Statement of Comprehensive Income for the year ended March 31, 2026. The Group continues to monitor developments pertaining to the Labour Codes and will evaluate the impact, if any, on the measurement of employee benefits liability.\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n2.14 Employee benefits\n\n \n\nAccounting policy\n\nGratuity and Pensions\n\nThe Group provides for gratuity, a defined benefit retirement plan ('the Gratuity Plan') covering eligible employees, primarily of Infosys and its Indian subsidiaries. The Gratuity Plan provides a lump-sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee's salary and the tenure of employment with the Group. The Company contributes gratuity liabilities to the Infosys Limited Employees' Gratuity Fund Trust (the Trust). In case of Infosys BPM and EdgeVerve, contributions are made to the Infosys BPM Employees’ Gratuity Fund Trust and EdgeVerve Systems Limited Employees' Gratuity Fund Trust, respectively. Trustees administer contributions made to the Trusts and contributions are invested in a scheme with Life Insurance Corporation of India as permitted by Indian Law.\n\n \n\nThe Group operates defined benefit pension plan in certain overseas jurisdictions, in accordance with the local laws. These plans are managed by third party fund managers. The plans provide for periodic payouts after retirement and/or a lumpsum payment as set out in rules of each fund and includes death and disability benefits. The defined benefit plans require contributions which are based on a percentage of salary that varies depending on the age of the respective employees.\n\n \n\nLiabilities with regard to these defined benefit plans are determined by actuarial valuation, performed by an external actuary, at each Balance Sheet date using the projected unit credit method. These defined benefit plans expose the Group to actuarial risks, such as longevity risk, interest rate risk and market risk.\n\nThe Group recognizes the net obligation of a defined benefit plan in its Balance sheet as an asset or liability. Gains and losses through re-measurements of the net defined benefit liability/(asset) are recognized in other comprehensive income and not reclassified to profit or loss in subsequent periods. The actual return of the portfolio of plan assets, in excess of the yields computed by applying the discount rate used to measure the defined benefit obligation is recognized in other comprehensive income. The effect of any plan amendments are recognized in net profits in the consolidated statement of comprehensive income.\n\n \n\nProvident fund\n\nEligible employees of Infosys receive benefits from a provident fund, which is a defined benefit plan. Both the eligible employee and the Company make monthly contributions to the provident fund plan equal to a specified percentage of the covered employee's salary. The Company contributes a portion to the Infosys Limited Employees' Provident Fund Trust. The trust invests in specific designated instruments as permitted by Indian law. The remaining portion is contributed to the government administered pension fund. The rate at which the annual interest is payable to the beneficiaries by the trust is being administered by the Government of India. The Company has an obligation to make good the shortfall, if any, between the return from the investments of the trust and the notified interest rate.\n\nIn respect of Indian subsidiaries, eligible employees receive benefits from a provident fund, which is a defined contribution plan. Both the eligible employee and the respective companies make monthly contributions to this provident fund plan equal to a specified percentage of the covered employee's salary. Amounts collected under the provident fund plan are deposited in a government administered provident fund. The Companies have no further obligation to the plan beyond its monthly contributions.\n\n \n\n \n\nSuperannuation\n\n \n\nCertain employees of Infosys, Infosys BPM and EdgeVerve are participants in a defined contribution plan. The Group has no further obligations to the plan beyond its monthly contributions which are periodically contributed to a trust fund, the corpus of which is invested with the Life Insurance Corporation of India.\n\n \n\nCompensated absences\n\n \n\nThe Group has a policy on compensated absences which are both accumulating and non-accumulating in nature. The expected cost of accumulating compensated absences is determined by actuarial valuation performed by an external actuary at each Balance Sheet date using projected unit credit method on the additional amount expected to be paid/availed as a result of the unused entitlement that has accumulated at the Balance Sheet date. Expense on non-accumulating compensated absences is recognized in the period in which the absences occur.\n\n \n\n \n\n2.14.1 Gratuity and Pensions\n\n \n\nThe following table sets out the details of the defined benefit retirement plans and the amounts recognized in the Group's financial statements as of March 31, 2026, and March 31, 2025:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\nGratuity\n\n \n\n \n\nPension\n\n \n\n \n\nAs of\n\n \n\n \n\nAs of\n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nChange in benefit obligations\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nBenefit obligations at the beginning\n\n294\n\n \n\n \n\n253\n\n \n\n \n\n138\n\n \n\n \n\n122\n\n \n\nTransfer\n\n \n\n—\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nService cost\n\n \n\n49\n\n \n\n \n\n40\n\n \n\n \n\n \n\n6\n\n \n\n \n\n6\n\n \n\nInterest expense\n\n \n\n20\n\n \n\n \n\n17\n\n \n\n \n\n \n\n2\n\n \n\n \n\n2\n\n \n\nRemeasurements - Actuarial losses / (gains)\n\n \n\n(3\n\n)\n\n \n\n \n\n12\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n8\n\n \n\nPast service cost - plan amendments (Refer to note 2.13)\n\n \n\n136\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nEmployee contribution\n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n5\n\n \n\n \n\n \n\n4\n\n \n\nBenefits paid\n\n \n\n(24\n\n)\n\n \n\n \n\n(22\n\n)\n\n \n\n \n\n10\n\n \n\n \n\n \n\n(7\n\n)\n\nTranslation differences\n\n \n\n(39\n\n)\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n14\n\n \n\n \n\n \n\n3\n\n \n\nBenefit obligations at the end\n\n433\n\n \n\n \n\n294\n\n \n\n \n\n184\n\n \n\n \n\n138\n\n \n\nChange in plan assets\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFair value of plan assets at the beginning\n\n319\n\n \n\n \n\n249\n\n \n\n \n\n133\n\n \n\n \n\n119\n\n \n\nInterest Income\n\n21\n\n \n\n \n\n18\n\n \n\n \n\n2\n\n \n\n \n\n2\n\n \n\nRemeasurements – Returns on plan assets excluding amounts included in interest income\n\n6\n\n \n\n \n\n2\n\n \n\n \n\n8\n\n \n\n \n\n \n\n7\n\n \n\nEmployer contribution\n\n163\n\n \n\n \n\n77\n\n \n\n \n\n7\n\n \n\n \n\n5\n\n \n\nEmployee contribution\n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n5\n\n \n\n \n\n4\n\n \n\nBenefits paid\n\n \n\n(23\n\n)\n\n \n\n \n\n(21\n\n)\n\n \n\n10\n\n \n\n \n\n \n\n(7\n\n)\n\nTranslation differences\n\n \n\n(42\n\n)\n\n \n\n \n\n(6\n\n)\n\n \n\n12\n\n \n\n \n\n \n\n3\n\n \n\nFair value of plan assets at the end\n\n444\n\n \n\n \n\n319\n\n \n\n \n\n177\n\n \n\n \n\n133\n\n \n\nFunded status\n\n \n\n11\n\n \n\n \n\n \n\n25\n\n \n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n(5\n\n)\n\nDefined benefit plan asset\n\n \n\n20\n\n \n\n \n\n \n\n33\n\n \n\n \n\n1\n\n \n\n \n\n2\n\n \n\nDefined benefit plan liability\n\n \n\n(9\n\n)\n\n \n\n \n\n(8\n\n)\n\n \n\n \n\n(8\n\n)\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\nAmount for fiscal 2026, 2025 and 2024 recognized in the consolidated statement of comprehensive income under employee benefit expense:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\n \n\n \n\n \n\nGratuity\n\n \n\n \n\nPension\n\n \n\n \n\n \n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nService cost\n\n \n\n \n\n49\n\n \n\n \n\n \n\n40\n\n \n\n \n\n \n\n37\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n6\n\n \n\nNet interest on the net defined benefit liability / (asset)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nPast service cost - plan amendments (Refer to note 2.13)\n\n \n\n \n\n136\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(4\n\n)\n\nNet cost\n\n \n\n \n\n184\n\n \n\n \n\n \n\n39\n\n \n\n \n\n \n\n37\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n2\n\n \n\n \n\nAmount for fiscal 2026, 2025 and 2024 recognized in consolidated statement of other comprehensive income:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nGratuity\n\n \n\n \n\nPension\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nRe-measurements of the net defined benefit liability / (asset)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nActuarial (gains) / losses\n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n12\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n8\n\n \n\n \n\n \n\n3\n\n \n\n(Return) / loss on plan assets excluding amounts included in the net interest on the net defined benefit liability / (asset)\n\n \n\n \n\n(6\n\n)\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n(8\n\n)\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n(2\n\n)\n\nTotal\n\n \n\n \n\n(9\n\n)\n\n \n\n \n\n10\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1\n\n \n\n \n\nBreakup of actuarial (gains) / losses for fiscal 2026, 2025 and 2024 is as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nGratuity\n\n \n\n \n\nPension\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\n(Gain) / loss from change in demographic assumptions\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n(Gain) / loss from change in financial assumptions\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n5\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n5\n\n \n\n \n\n \n\n3\n\n \n\n(Gain) / loss from experience adjustments\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n7\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n10\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n12\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n8\n\n \n\n \n\n \n\n3\n\n \n\n \n\nThe gratuity and pension cost recognized in the statement of comprehensive income apportioned between cost of sales, selling and marketing expenses and administrative expenses on the basis of direct employee cost is as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nGratuity\n\n \n\n \n\nPension\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nCost of sales\n\n \n\n \n\n165\n\n \n\n \n\n \n\n35\n\n \n\n \n\n \n\n34\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n2\n\n \n\nSelling and marketing expenses\n\n \n\n \n\n13\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nAdministrative expenses\n\n \n\n \n\n6\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n184\n\n \n\n \n\n \n\n39\n\n \n\n \n\n \n\n37\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\nThe weighted-average assumptions used to determine benefit obligations as of March 31, 2026, and March 31, 2025 are set out below:\n\n \n\n \n\n \n\nGratuity\n\nPension\n\n \n\n \n\nAs of\n\nAs of\n\n \n\n \n\nMarch 31, 2026\n\n \n\nMarch 31, 2025\n\n \n\nMarch 31, 2026\n\n \n\nMarch 31, 2025\n\nDiscount rate\n\n \n\n6.5%\n\n \n\n6.5%\n\n \n\n1.1%-4.2%\n\n \n\n0.9%-3.7%\n\nWeighted average rate of increase in compensation levels\n\n \n\n6.0%\n\n \n\n6.0%\n\n \n\n1%-3.3%\n\n \n\n1%-3%\n\nWeighted average duration of defined benefit obligation\n\n \n\n5.7 years\n\n \n\n5.7 years\n\n \n\n12 years\n\n \n\n13 years\n\n \n\nThe weighted-average assumptions used to determine net periodic benefit cost for fiscal 2026, 2025 and 2024 are set out below:\n\n \n\n \n\n \n\nGratuity\n\n \n\nPension\n\n \n\n \n\nYear ended March 31,\n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\nDiscount rate for the year\n\n \n\n6.5%\n\n \n\n7.0%\n\n \n\n7.1%\n\n \n\n0.9%-3.7%\n\n \n\n1.5%-3.4%\n\n \n\n1.8%-3.8%\n\nWeighted average rate of increase in compensation levels\n\n \n\n6.0%\n\n \n\n6.0%\n\n \n\n6.0%\n\n \n\n1%-3.3%\n\n \n\n1.0%-3.0%\n\n \n\n1.0%-3.0%\n\n \n\n \n\nDiscount rate\n\n \n\nFor domestic defined benefit plan in India, the market for high quality corporate bonds being not developed, the yield of government bonds is considered as the discount rate. For most of our overseas defined benefit plan, given that the market for high quality corporate bonds is not developed, the Government bond rate adjusted for corporate spreads is used.\n\nWeighted average rate of increase in compensation levels\n\n \n\nThe average rate of increase in compensation levels is determined by the Company, considering factors such as, the Company’s past compensation revision trends, inflation in respective markets and management’s estimate of future salary increases.\n\nAttrition rate\n\n \n\nAttrition rate considered is the management’s estimate based on the past long-term trend of employee turnover in the Company. The tenure has been considered taking into account the past long-term trend of employees' average remaining service life which reflects the average estimated term of post-employment benefit obligation.\n\n \n\n \n\n \n\n \n\nFor domestic defined benefit plan in India, assumptions regarding future mortality experience are set in accordance with the published statistics by the Life Insurance Corporation of India. For overseas defined benefit plan, the assumptions regarding future mortality experience are set with regard to the latest statistics in life expectancy, plan experience and other relevant data.\n\n \n\nThe Group assesses these assumptions with its projected long-term plans of growth and prevalent industry standards.\n\n \n\nActual return on assets (including remeasurements) of the gratuity plan for fiscal 2026, 2025 and 2024 were $27 million, $20 million, and $17 million, respectively, and for the pension plan were $10 million, $9 million and $4 million, respectively.\n\n \n\nThe Company contributes all ascertained liabilities towards gratuity to the Infosys Limited Employees' Gratuity Fund Trust. In case of Infosys BPM and EdgeVerve, contributions are made to the Infosys BPM Employees' Gratuity Fund Trust and EdgeVerve Systems Limited Employees Gratuity Fund Trust, respectively. Trustees administer contributions made to the trust as of March 31, 2026, and March 31, 2025, and contributions for gratuity are invested in a scheme with the Life Insurance Corporation of India as permitted by Indian law. The plan assets of the overseas defined benefit plan have been primarily invested in insurer managed funds and the asset allocation for plan assets is determined based on the investment criteria prescribed under the relevant regulations applicable to pension funds and the insurer managers. The insurers' investments are diversified and provide for guaranteed interest rates arrangements.\n\n \n\n \n\nThe contributions for gratuity are invested in a scheme with the Life Insurance Corporation of India as permitted by Indian law. The table below sets out the details of major plan assets into various categories as of March 31, 2026 and March 31, 2025:\n\n \n\nParticulars\n\n \n\nPension\n\n \n\n \n\nAs of\n\n \n\n \n\nMarch 31, 2026\n\n \n\nMarch 31, 2025\n\nEquity\n\n \n\n37%\n\n \n\n34%\n\nBonds\n\n \n\n21%\n\n \n\n30%\n\nReal Estate/Property\n\n \n\n23%\n\n \n\n26%\n\nCash and Cash Equivalents\n\n \n\n1%\n\n \n\n1%\n\nOther\n\n \n\n18%\n\n \n\n9%\n\n \n\nThese defined benefit plans expose the Group to actuarial risk which are set out below:\n\nInterest rate risk:\n\nThe present value of the defined benefit plan liability is generally calculated using a discount rate determined by reference to government bond yields and in certain overseas jurisdictions, it is calculated in reference to government bond yield adjusted for a corporate spread. If bond yields fall, the defined benefit obligation will tend to increase.\n\nLife expectancy and investment risk:\n\nThe pension fund offers the choice between a lifelong pension and a cash lump sum upon retirement. The pension fund has defined rates for converting the lump sum to a pension and there is the risk that the members live longer than implied by these conversion rates and that the pension assets don’t achieve the investment return implied by these conversion rates.\n\nAsset volatility:\n\nA proportion of the pension fund is held in equities, which is expected to outperform corporate bonds in the long term but give exposure to volatility and risk in the short term. The pension fund board of insurer is responsible for the investment strategy and equity allocation is justified given the long-term investment horizon of the pension fund and the objective to provide a reasonable long term return on members’ account balances.\n\n \n\nSensitivity of significant assumptions used for valuation of defined benefit obligation:\n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\nImpact from\n\n \n\nAs of March 31,\n2026\n\n \n\n \n\nGratuity\n\n \n\nPension\n\n \n\n \n\n1% point increase / decrease\n\n \n\n0.5% point increase / decrease\n\nDiscount rate\n\n \n\n22\n\n \n\n7\n\nWeighted average rate of increase in compensation levels\n\n \n\n23\n\n \n\n1\n\n \n\nSensitivity to significant actuarial assumptions is computed by varying one actuarial assumption used for the valuation of the defined benefit obligation and keeping all other actuarial assumptions constant. In practice, this is not probable, and changes in some of the assumptions may be correlated.\n\nThe Group expects to contribute $57 million to the gratuity and $7 million to pension during fiscal 2027.\n\n \n\nMaturity profile of defined benefit obligation:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nGratuity\n\n \n\nPension\n\n \n\nWithin 1 year\n\n \n\n76\n\n \n\n \n\n12\n\n \n\n1 - 2 year\n\n \n\n62\n\n \n\n \n\n13\n\n \n\n2 - 3 year\n\n \n\n57\n\n \n\n \n\n12\n\n \n\n3 - 4 year\n\n \n\n52\n\n \n\n \n\n12\n\n \n\n4 - 5 year\n\n \n\n48\n\n \n\n \n\n13\n\n \n\n5 - 10 years\n\n \n\n175\n\n \n\n59\n\n \n\n \n\n2.14.2 Superannuation\n\nThe Group contributed $65 million, $61 million and $62 million to the superannuation plan during fiscal 2026, 2025 and 2024, respectively, and the same has been recognized in the consolidated statement of comprehensive income under the head employee benefit expense.\n\n \n\nSuperannuation contributions have been apportioned between cost of sales, selling and marketing expenses and administrative expenses on the basis of direct employee cost as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nCost of sales\n\n \n\n \n\n58\n\n \n\n \n\n \n\n55\n\n \n\n \n\n \n\n56\n\n \n\nSelling and marketing expenses\n\n \n\n \n\n5\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n4\n\n \n\nAdministrative expenses\n\n \n\n \n\n2\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n \n\n65\n\n \n\n \n\n \n\n61\n\n \n\n \n\n \n\n62\n\n \n\n \n\n \n\n2.14.3 Provident fund\n\nInfosys has an obligation to fund any shortfall on the yield of the trust’s investments over the administered interest rates on an annual basis. These administered rates are determined annually predominantly considering the social and economic factors. The actuary has provided a valuation for provident fund liabilities on the basis of guidance issued by Actuarial Society of India.\n\n \n\nThe following tables set out the funded status of the defined benefit provident fund plan of Infosys Limited and the amounts recognized in the Group's financial statements as of March 31, 2026, and March 31, 2025:\n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nChange in benefit obligations\n\n \n\n \n\n \n\n \n\n \n\n \n\nBenefit obligations at the beginning\n\n \n\n \n\n1,622\n\n \n\n \n\n \n\n1,424\n\n \n\nService cost\n\n \n\n \n\n123\n\n \n\n \n\n \n\n113\n\n \n\nEmployee contribution\n\n \n\n \n\n230\n\n \n\n \n\n \n\n199\n\n \n\nInterest expense\n\n \n\n \n\n106\n\n \n\n \n\n \n\n102\n\n \n\nActuarial (gains) / loss\n\n \n\n \n\n11\n\n \n\n \n\n \n\n26\n\n \n\nBenefits paid\n\n \n\n \n\n(218\n\n)\n\n \n\n \n\n(204\n\n)\n\nTranslation differences\n\n \n\n \n\n(177\n\n)\n\n \n\n \n\n(38\n\n)\n\nBenefit obligations at the end\n\n \n\n \n\n1,697\n\n \n\n \n\n \n\n1,622\n\n \n\nChange in plan assets\n\n \n\n \n\n \n\n \n\n \n\n \n\nFair value of plan assets at the beginning\n\n \n\n \n\n1,629\n\n \n\n \n\n \n\n1,416\n\n \n\nInterest income\n\n \n\n \n\n107\n\n \n\n \n\n \n\n101\n\n \n\nRemeasurements- Return on plan assets excluding amounts included in interest income\n\n \n\n \n\n(47\n\n)\n\n \n\n \n\n29\n\n \n\nEmployee contribution\n\n \n\n \n\n230\n\n \n\n \n\n \n\n199\n\n \n\nEmployer contribution\n\n \n\n \n\n132\n\n \n\n \n\n \n\n125\n\n \n\nBenefits paid\n\n \n\n \n\n(218\n\n)\n\n \n\n \n\n(204\n\n)\n\nTranslation differences\n\n \n\n \n\n(174\n\n)\n\n \n\n \n\n(37\n\n)\n\nFair value of plan assets at the end\n\n \n\n \n\n1,659\n\n \n\n \n\n \n\n1,629\n\n \n\nFunded status surplus/(deficit)\n\n \n\n \n\n(38\n\n)\n\n \n\n \n\n7\n\n \n\nIrrecoverable surplus - effect of asset ceiling\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(7\n\n)\n\nNet defined benefit asset/ (liability)(Refer note 2.5)\n\n \n\n \n\n(38\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\nAmount for fiscal 2026, 2025 and 2024 recognized in net profit in the statement of comprehensive income comprises the following components:\n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nService cost\n\n \n\n \n\n123\n\n \n\n \n\n \n\n113\n\n \n\n \n\n \n\n106\n\n \n\nNet interest on the net defined benefit liability\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n3\n\n \n\nNet provident fund cost\n\n \n\n \n\n123\n\n \n\n \n\n \n\n113\n\n \n\n \n\n \n\n109\n\n \n\n \n\n \n\nAmount for fiscal 2026, 2025 and 2024 recognized in the consolidated statement of other comprehensive income:\n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n \n\n2024\n\n \n\nRemeasurements of the net defined benefit liability/ (asset)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nActuarial (gains) / losses\n\n \n\n \n\n11\n\n \n\n \n\n \n\n26\n\n \n\n \n\n \n\n12\n\n \n\n(Return) / loss on plan assets excluding amounts included in the net interest on the net defined benefit liability/(asset)\n\n \n\n \n\n47\n\n \n\n \n\n \n\n(29\n\n)\n\n \n\n \n\n(28\n\n)\n\nIrrecoverable surplus - effect of asset ceiling\n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n7\n\n \n\n \n\n \n\n—\n\n \n\nNet interest on the net defined benefit asset\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n50\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n(16\n\n)\n\n \n\nAssumptions used in determining the present value obligation of the defined benefit plan under the Deterministic Approach:\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nGovernment of India (GOI) bond yield (1)\n\n \n\n \n\n6.50\n\n%\n\n \n\n \n\n6.50\n\n%\n\nExpected rate of return on plan assets\n\n \n\n \n\n8.25\n\n%\n\n \n\n \n\n8.00\n\n%\n\nRemaining term to maturity of portfolio\n\n \n\n6 years\n\n \n\n \n\n6 years\n\n \n\nExpected guaranteed interest rate\n\n \n\n \n\n8.25\n\n%\n\n \n\n \n\n8.25\n\n%\n\n \n\n(1)\nIn India, the market for high quality corporate bonds being not developed, the yield of government bonds is considered as the discount rate. The tenure has been considered taking into account the past long-term trend of employees’ average remaining service life which reflects the average estimated term of the post-employment benefit obligations.\n\n \n\nThe breakup of the plan assets into various categories as of March 31, 2026, and March 31, 2025 are as follows:\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nCentral and State Government bonds\n\n \n\n \n\n63\n\n%\n\n \n\n \n\n60\n\n%\n\nPublic sector undertakings and Private sector bonds\n\n \n\n \n\n26\n\n%\n\n \n\n \n\n28\n\n%\n\nCash and cash equivalents\n\n \n\n \n\n3\n\n%\n\n \n\n \n\n4\n\n%\n\nOthers\n\n \n\n \n\n8\n\n%\n\n \n\n \n\n8\n\n%\n\n \n\n \n\nThe asset allocation for plan assets is determined based on investment criteria prescribed under the relevant regulations.\n\n \n\nThe actuarial valuation of provident fund liability exposes the Group to interest rate risk. The defined benefit obligation calculated uses a discount rate based on government bonds. If bond yields fall, the defined benefit obligation will tend to increase.\n\n \n\nAs at March 31, 2026 the defined benefit obligation would be affected by approximately $8 million and $16 million on account of a 0.25% increase / decrease in the expected rate of return on plan assets.\n\nThe Group contributed $171 million, $156 million and $152 million to the provident fund during fiscal 2026, 2025 and 2024, respectively. The same has been recognized in the net profit in the consolidated statement of comprehensive income under the head employee benefit expense.\n\nProvident fund contributions have been apportioned between cost of sales, selling and marketing expenses and administrative expenses on the basis of direct employee cost as follows:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nCost of sales\n\n \n\n153\n\n \n\n \n\n141\n\n \n\n \n\n137\n\n \n\nSelling and marketing expenses\n\n \n\n12\n\n \n\n \n\n10\n\n \n\n \n\n10\n\n \n\nAdministrative expenses\n\n \n\n6\n\n \n\n \n\n5\n\n \n\n \n\n5\n\n \n\n \n\n \n\n \n\n171\n\n \n\n \n\n \n\n156\n\n \n\n \n\n \n\n152\n\n \n\nThe provident plans are applicable only to employees drawing a salary in Indian rupees.\n\n \n\n2.14.4 Employee benefit costs include:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nSalaries and bonus (1)\n\n \n\n \n\n10,444\n\n \n\n \n\n \n\n9,903\n\n \n\n \n\n \n\n9,729\n\n \n\nDefined contribution plans\n\n \n\n \n\n97\n\n \n\n \n\n \n\n80\n\n \n\n \n\n \n\n81\n\n \n\nDefined benefit plans\n\n \n\n \n\n341\n\n \n\n \n\n \n\n182\n\n \n\n \n\n \n\n171\n\n \n\n \n\n \n\n \n\n10,882\n\n \n\n \n\n \n\n10,165\n\n \n\n \n\n \n\n9,981\n\n \n\n \n\n(1)\nIncludes stock compensation expense of $108 million, $95 million and $79 million for fiscal 2026, 2025 and 2024, respectively. (Refer to Note 2.17)\n\n \n\nThe employee benefit cost is recognized in the following line items in the consolidated statement of comprehensive income:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nCost of sales\n\n \n\n \n\n9,739\n\n \n\n \n\n \n\n9,151\n\n \n\n \n\n \n\n8,998\n\n \n\nSelling and marketing expenses\n\n \n\n \n\n766\n\n \n\n \n\n \n\n677\n\n \n\n \n\n \n\n656\n\n \n\nAdministrative expenses\n\n \n\n \n\n377\n\n \n\n \n\n \n\n337\n\n \n\n \n\n \n\n327\n\n \n\n \n\n \n\n \n\n10,882\n\n \n\n \n\n \n\n10,165\n\n \n\n \n\n \n\n9,981\n\n \n\n \n\n \n\n \n\n2.15 Equity\n\nAccounting policy\n\n \n\nOrdinary Shares\n\nOrdinary shares are classified as equity. Incremental costs directly attributable to the issuance of new ordinary shares, share options and buyback are recognized as a deduction from equity, net of any tax effects.\n\n \n\nTreasury Shares\n\nWhen any entity within the Group purchases the company's ordinary shares, the consideration paid including any directly attributable incremental cost is presented as a deduction from total equity, until they are cancelled, sold or reissued. When treasury shares are sold or reissued subsequently, the amount received is recognized as an increase in equity, and the resulting surplus or deficit on the transaction is transferred to/ from share premium.\n\n \n\nShare premium\n\nThe amount received in excess of the par value has been classified as share premium. Additionally, share-based compensation recognized in the consolidated statement of comprehensive income is credited to share premium. Amounts have been utilized for bonus issue and share buyback from share premium account.\n\nRetained earnings\n\nRetained earnings represent the amount of accumulated earnings of the Group.\n\nOther Reserves\n\nThe Special Economic Zone Re-investment reserve has been created out of the profit of the eligible SEZ unit in terms of the provisions of Sec 10AA (1)(ii) of Income Tax Act, 1961. The reserve should be utilized by the Company for acquiring new plant and machinery for the purpose of its business in terms of the provisions of the Sec 10AA (2) of the Income Tax Act, 1961.\n\nCapital Redemption Reserve\n\nIn accordance with section 69 of the Indian Companies Act, 2013, the Company creates capital redemption reserve equal to the nominal value of the shares bought back as an appropriation from general reserve/retained earnings.\n\nCash flow hedge reserve\n\nWhen a derivative is designated as a cash flow hedging instrument, the effective portion of changes in the fair value of the derivative is recognized in other comprehensive income and accumulated in the cash flow hedge reserve. The cumulative gain or loss previously recognized in the cash flow hedge reserve is transferred to the net profit in the consolidated statement of comprehensive income upon the occurrence of the related forecasted transaction.\n\nOther components of equity\n\nOther components of equity include currency translation, re-measurement of net defined benefit liability/asset, fair value changes of equity instruments fair valued through other comprehensive income and changes on fair valuation of investments, net of taxes.\n\n \n\n2.15.1 Voting\n\n \n\nEach holder of equity shares is entitled to one vote per share. The equity shares represented by American Depositary Shares (ADS) carry similar rights to voting and dividends as the other equity shares. Each ADS represents one underlying equity share.\n\n \n\n \n\n2.15.2 Liquidation\n\n \n\nIn the event of liquidation of the company, the holders of shares shall be entitled to receive any of the remaining assets of the company, after distribution of all preferential amounts. However, no such preferential amounts exist currently, other than the amounts held by irrevocable controlled trusts. The amount distributed will be in proportion to the number of equity shares held by the shareholders. For irrevocable controlled trusts, the corpus would be settled in favor of the beneficiaries.\n\n \n\n2.15.3 Share options\n\n \n\nThere are no voting, dividend or liquidation rights to the holders of options issued under the company's share option plans.\n\n \n\n2.15.4 Share capital and share premium\n\n \n\nThe Company has only one class of shares referred to as equity shares having a par value of ₹5/- each. 8,650,911 shares and 9,655,927 shares were held by controlled trust, as at March 31, 2026 and March 31, 2025, respectively.\n\nCapital Allocation Policy\n\n \n\nEffective fiscal 2025, the Company expects to continue its policy of returning approximately 85% of the free cash flow cumulatively over a 5-year period through a combination of semi-annual dividends and/or share buyback/ special dividends subject to applicable laws and requisite approvals, if any.\n\n \n\nUnder this policy, the Company expects to progressively increase its annual dividend per share (excluding special dividend if any).\n\n \n\nFree cash flow is defined as net cash provided by operating activities less capital expenditure as per the consolidated statement of cash flows prepared under IFRS. Dividend and buyback include applicable taxes.\n\n \n\nBuyback completed in December 2025\n\n \n\nIn line with the capital allocation policy, the Board, at its meeting held on September 11, 2025, approved a proposal for the Company to buyback its fully paid-up equity shares of face value of ₹5/- each from the eligible equity shareholders of the Company for an amount of ₹18,000 crore subject to shareholders' approval by way of Postal Ballot. The shareholders approved the said proposal of buyback of Equity Shares recommended by its Board of Directors by way of e-voting through postal ballot, the results of which were declared on November 6, 2025. The Buyback offer comprised a purchase of 100,000,000 Equity Shares comprising approximately 2.41% of the total paid-up equity share capital of the Company as of June 30, 2025 (on standalone basis) at a price of ₹1,800 per Equity share. The buyback was offered to all eligible equity shareholders (including those who became equity shareholders as on the Record date by canceling American Depositary Shares and withdrawing underlying Equity shares) of the Company as on the Record Date (i.e. November 14, 2025) on a proportionate basis through the \"Tender offer\" route. The tender period for buyback commenced on November 20, 2025 and was open until November 26, 2025. The Company concluded the buyback procedures on December 4, 2025 and 100,000,000 equity shares were bought back and extinguished. The buyback resulted in cash outflow of ₹18,000 crore (excluding transaction costs) (approximately $2,000 million). The Company funded the buyback from its free reserves including securities premium as explained in Section 68 of the Companies Act, 2013. In accordance with Section 69 of the Companies Act, 2013, as at March 31, 2026, the Company has created a Capital Redemption Reserve of ₹50 crore (approximately $6 million) equal to the nominal value of the shares bought back as an appropriation from the general reserve.\n\n \n\n \n\nBuyback completed in February 2023\n\nIn line with the capital allocation policy, the Board, at its meeting held on October 13, 2022, approved the buyback of equity shares, from the open market route through the Indian stock exchanges, amounting to ₹9,300 crore (Maximum Buyback Size, excluding buyback tax) at a price not exceeding ₹1,850 per share (Maximum Buyback Price), subject to shareholders' approval by way of Postal Ballot.\n\n \n\nThe shareholders approved the proposal of buyback of Equity Shares recommended by its Board of Directors by way of e-voting on the postal ballot, the results of which were declared on December 3, 2022. The buyback was offered to all equity shareholders of the Company (other than the Promoters, the Promoter Group and Persons in Control of the Company) under the open market route through the stock exchange. The buyback of equity shares through the stock exchange commenced on December 7, 2022, and was completed on February 13, 2023. During this buyback period the Company had purchased and extinguished a total of 60,426,348 equity shares from the stock exchange at a volume weighted average buyback price of ₹1,539.06/- per equity share comprising 1.44% of the pre buyback paid-up equity share capital of the Company. The buyback resulted in a cash outflow of ₹9,300 crore (excluding transaction costs and tax on buyback) ($1,130 million). The Company funded the buyback from its free reserves including Securities Premium as explained in Section 68 of the Companies Act, 2013.\n\nIn accordance with section 69 of the Companies Act, 2013, as of March 31, 2023, the Company has created ‘Capital Redemption Reserve’ of $3 million equal to the nominal value of the shares bought back as an appropriation from general reserve and retained earnings.\n\n \n\nThe Company’s objective when managing capital is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximize shareholder value. In order to maintain or achieve an optimal capital structure, the Company may adjust the amount of dividend payment, return capital to shareholders, issue new shares or buy back issued shares. As of March 31, 2026, the Company has only one class of equity shares and has no debt. Consequent to the above capital structure there are no externally imposed capital requirements.\n\n \n\n \n\nDividends\n\n \n\nThe final dividend on shares is recorded as a liability on the date of approval by the shareholders and interim dividends are recorded as a liability on the date of declaration by the company's Board of Directors. Income tax consequences of dividends on financial instruments classified as equity will be recognized according to where the entity originally recognized those past transactions or events that generated distributable profits.\n\nThe Company declares and pays dividends in Indian rupees. Companies are required to pay/distribute dividend after deducting applicable taxes. The remittance of dividends outside India is governed by Indian law on foreign exchange and is also subject to withholding tax at applicable rates.\n\nThe following table provides details of per share dividend recognized during fiscal 2026, 2025 and 2024:\n\n \n\n \n\n \n\nFiscal 2026\n\n \n\n \n\nFiscal 2025\n\n \n\n \n\nFiscal 2024\n\n \n\nDividend per Equity Share (₹)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nInterim dividend(2)\n\n \n\n \n\n23.00\n\n \n\n \n\n \n\n21.00\n\n \n\n \n\n \n\n18.00\n\n \n\nFinal dividend(3)\n\n \n\n \n\n22.00\n\n \n\n \n\n \n\n20.00\n\n \n\n \n\n \n\n17.50\n\n \n\nSpecial dividend(3)\n\n \n\n \n\n-\n\n \n\n \n\n \n\n8.00\n\n \n\n \n\n \n\n-\n\n \n\nDividend per Equity Share/ADS ($)(1)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nInterim dividend(2)\n\n \n\n \n\n0.26\n\n \n\n \n\n \n\n0.25\n\n \n\n \n\n \n\n0.22\n\n \n\nFinal dividend(3)\n\n \n\n \n\n0.26\n\n \n\n \n\n \n\n0.24\n\n \n\n \n\n \n\n0.21\n\n \n\nSpecial dividend(3)\n\n \n\n \n\n-\n\n \n\n \n\n \n\n0.10\n\n \n\n \n\n \n\n-\n\n \n\n \n\n(1)\nConverted at the monthly exchange rate in the month of declaration of dividend\n\n(2)\nRepresents interim dividend for the respective fiscal year\n\n(3)\nRepresents final dividend and special dividend for the preceding fiscal year\n\n \n\nDuring the year ended March 31, 2026, on account of the final dividend for fiscal 2025 and interim dividend for fiscal 2026, the Company has incurred a net cash outflow of approximately $2,133 million (excluding dividend paid on treasury shares). The payouts for dividend during fiscal 2025 and fiscal 2024 were $2,416 million and $1,777 million (excluding dividend paid on treasury shares), respectively.\n\n \n\n \n\nThe Board of Directors in their meeting held on April 23, 2026 recommended a final dividend of ₹25/- per equity share (approximately $0.26 per equity share) for the financial year ended March 31, 2026. The payment is subject to the approval of shareholders in the AGM of the Company to be held on June 23, 2026 and if approved would result in a net cash outflow of approximately $1,067 million (excluding dividend on treasury shares).\n\n# 2.16 Other income, net\n\n \n\nAccounting policy\n\n \n\nOther income is comprised primarily of interest income, dividend income, gain/loss on investments and exchange gain/loss on forward and options contracts and on translation of foreign currency assets and liabilities. Interest income is recognized using the effective interest method. Dividend income is recognized when the right to receive payment is established.\n\n \n\n \n\nFunctional currency and presentation currency\n\n \n\nThe functional currency of Infosys and its Indian subsidiaries and controlled trusts is the Indian rupee. The functional currencies for foreign subsidiaries are their respective local currencies. These financial statements are presented in U.S. dollars (rounded off to the nearest million) to facilitate the investors’ ability to evaluate Infosys’ performance and financial position in comparison to similar companies domiciled in other geographic locations.\n\n \n\nTransactions and translations\n\n \n\nForeign currency denominated monetary assets and liabilities are translated into the relevant functional currency at exchange rates in effect at the balance sheet date. The gains or losses resulting from such translations are recognized in the consolidated statement of comprehensive income and reported within exchange gains/ (losses) on translation of assets and liabilities, net, except when deferred in Other Comprehensive Income as qualifying cash flow hedges. Non-monetary assets and non-monetary liabilities denominated in a foreign currency and measured at fair value are translated at the exchange rate prevalent at the date when the fair value was determined. Non-monetary assets and non-monetary liabilities denominated in a foreign currency and measured at historical cost are translated at the exchange rate prevalent at the date of transaction. The related revenue and expense are recognized using the same exchange rate.\n\nTransaction gains or losses realized upon settlement of foreign currency transactions are included in determining net profit for the period in which the transaction is settled. Revenue, expense and cash-flow items denominated in foreign currencies are translated into the relevant functional currencies using the exchange rate in effect on the date of the transaction.\n\nThe translation of financial statements of the foreign subsidiaries to the presentation currency is performed for assets and liabilities using the exchange rate in effect at the balance sheet date and for revenue, expense and cash-flow items using the average exchange rate for the respective periods. The gains or losses resulting from such translation are included in currency translation reserves under other components of equity. When a subsidiary is disposed of, in full, the relevant amount is transferred to the net profit in the statement of comprehensive income. However, when a change in the parent's ownership does not result in loss of control of a subsidiary, such changes are recorded through equity.\n\n \n\nOther Comprehensive Income, net of taxes includes translation differences on non-monetary financial assets measured at fair value at the reporting date, such as equities classified as financial instruments and measured at fair value through other comprehensive income (FVOCI).\n\n \n\nGoodwill and fair value adjustments arising on the acquisition of a foreign entity are treated as assets and liabilities of the foreign entity and translated at the exchange rate in effect at the balance sheet date.\n\n \n\n \n\nGovernment grants\n\n \n\nThe Group recognizes government grants only when there is reasonable assurance that the conditions attached to them will be complied with, and the grants will be received. Government grants related to assets are treated as deferred income and are recognized in the net profit in the statement of comprehensive income on a systematic and rational basis over the useful life of the asset. Government grants related to revenue are recognized on a systematic basis in the statement of comprehensive income over the periods necessary to match them with the related costs which they are intended to compensate.\n\n \n\n \n\nOther income consists of the following:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nInterest income on financial assets carried at amortized cost\n\n \n\n \n\n184\n\n \n\n \n\n \n\n180\n\n \n\n \n\n128\n\n \n\nInterest income on financial assets fair valued through other comprehensive income\n\n \n\n \n\n121\n\n \n\n \n\n \n\n124\n\n \n\n \n\n122\n\n \n\nGain/(loss) on investments carried at fair value through other comprehensive income\n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nGain / (loss) on investments carried at fair value through profit or loss\n\n \n\n \n\n33\n\n \n\n \n\n \n\n34\n\n \n\n \n\n34\n\n \n\nGain/(loss) on investments carried at amortized cost\n\n \n\n \n\n9\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nInterest income on income tax refund (1)\n\n \n\n \n\n46\n\n \n\n \n\n \n\n41\n\n \n\n \n\n \n\n237\n\n \n\nExchange gains / (losses) on forward and options contracts\n\n \n\n \n\n(274\n\n)\n\n \n\n \n\n(24\n\n)\n\n \n\n \n\n12\n\n \n\nExchange gains / (losses) on translation of other assets and liabilities\n\n \n\n \n\n330\n\n \n\n \n\n \n\n55\n\n \n\n \n\n \n\n11\n\n \n\nOthers\n\n \n\n \n\n17\n\n \n\n \n\n \n\n15\n\n \n\n \n\n24\n\n \n\n \n\n \n\n \n\n468\n\n \n\n \n\n \n\n425\n\n \n\n \n\n \n\n568\n\n \n\n \n\n \n\n(1) During the quarter and year ended March 31, 2026, the Company received orders under section 250 and Section 254 of the Income Tax Act, 1961, from the Income Tax Authorities in India for the assessment years, 2013-14 and assessment years 2017-18 to 2021-22. These orders confirmed the Company's position with respect to tax treatment of certain matters. As a result, interest income (pre-tax) $41 million was recognized.\n\n \n\n(1) During the year ending March 31, 2025, the Company received orders under section 250 of the Income Tax Act, 1961, from the Income Tax Authorities in India for the assessment years, 2016-17 and 2019-20. These orders confirmed the Company's position with respect to tax treatment of certain contentious matters. As a result, interest income (pre-tax) of $38 million along with corresponding tax impact was recognized.\n\n \n\n(1) During the year ending March 31, 2024, the Company received orders under section 250 and 254 of the Income Tax Act, 1961, from the Income Tax Authorities in India for the assessment years, 2007-08 to 2015-16, 2017-18 and 2018-19. These orders confirmed the Company's position with respect to tax treatment of certain contentious matters. As a result, interest income (pre-tax) of $232 million along with the corresponding tax impact was recognized.\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n2.17 Employees' Stock Option Plans (ESOP)\n\n \n\nAccounting policy\n\n \n\nThe Group recognizes compensation expense relating to share-based payments in net profit based on estimated fair- value of the awards on the grant date. The estimated fair value of awards is recognized as an expense in net profit in the consolidated statement of comprehensive income on a straight-line basis over the requisite service period for each separately vesting portion of the award as if the award was in-substance, multiple awards with a corresponding increase to share premium.\n\n \n\nInfosys Expanded Stock Ownership Program 2019 (the 2019 Plan):\n\n \n\nOn June 22, 2019 pursuant to the approval by the shareholders in the Annual General Meeting, the Board has been authorized to introduce, offer, issue and provide share-based incentives to eligible employees of the Company and its subsidiaries under the 2019 Plan. The maximum number of shares under the 2019 plan shall not exceed 50,000,000 equity shares. To implement the 2019 Plan, up to 45,000,000 equity shares may be issued by way of secondary acquisition of shares by the Infosys Expanded Stock Ownership Trust. The Restricted Stock Units (RSUs) granted under the 2019 plan shall vest based on the achievement of defined annual performance parameters as determined by the administrator (Nomination and Remuneration Committee). The performance parameters will be based on a combination of relative Total Shareholder Return (TSR) against selected industry peers and certain broader market domestic and global indices and operating performance metrics of the company as decided by administrator. Each of the above performance parameters will be distinct for the purposes of calculation of quantity of shares to vest based on performance. These instruments will generally vest between a minimum of 1 to maximum of 3 years from the grant date.\n\n \n\n2015 Stock Incentive Compensation Plan (the 2015 Plan):\n\n \n\nOn March 31, 2016, pursuant to the approval by the shareholders through postal ballot, the Board was authorized to introduce, offer, issue and allot share-based incentives to eligible employees of the Company and its subsidiaries under the 2015 Plan. The maximum number of shares under the 2015 plan shall not exceed 24,038,883 equity shares (this includes 11,223,576 equity shares which are held by the trust towards the 2011 Plan as at March 31, 2016). These instruments will generally vest over a period of 4 years. The plan numbers mentioned above are further adjusted with the September 2018 bonus issue.\n\n \n\nThe equity settled and cash settled RSUs and stock options would vest generally over a period of 4 years and shall be exercisable within the period as approved by the Nomination and Remuneration Committee (NARC). The exercise price of the RSUs will be equal to the par value of the shares and the exercise price of the stock options (ESOPs) would be the market price as on the date of grant.\n\n \n\nControlled trust holds 8,650,911 and 9,655,927 shares as of March 31, 2026, and March 31, 2025, respectively, under the 2015 Plan out of which 200,000 equity shares each have been earmarked for welfare activities of the employees as of March 31, 2026, and March 31, 2025.\n\n \n\nThe following is the summary of grants made during fiscal 2026, 2025 and 2024 under the 2015 Plan and 2019 Plan:\n\n \n\n \n\n \n\nFiscal 2026\n\n \n\n \n\nFiscal 2025\n\n \n\n \n\nFiscal 2024\n\n \n\n2015 Plan\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nRSU - Equity settled\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nKMPs\n\n \n\n \n\n377,609\n\n \n\n \n\n \n\n380,842\n\n \n\n \n\n \n\n494,650\n\n \n\nEmployees other than KMPs\n\n \n\n \n\n2,254,341\n\n \n\n \n\n \n\n1,874,690\n\n \n\n \n\n \n\n4,644,720\n\n \n\n \n\n \n\n \n\n2,631,950\n\n \n\n \n\n \n\n2,255,532\n\n \n\n \n\n \n\n5,139,370\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nRSU - Incentive units (cash settled)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nKMPs\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nEmployees other than KMPs\n\n \n\n \n\n119,800\n\n \n\n \n\n \n\n94,050\n\n \n\n \n\n \n\n176,990\n\n \n\n \n\n \n\n \n\n119,800\n\n \n\n \n\n \n\n94,050\n\n \n\n \n\n \n\n176,990\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n2015 Plan: Employee Stock Options (ESOPs)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nEquity settled RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nKMPs\n\n \n\n \n\n231,270\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nEmployees other than KMPs\n\n \n\n \n\n5,418,890\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n5,650,160\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nCash settled RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nKMPs\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nEmployees other than KMPs\n\n \n\n \n\n108,180\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n108,180\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nTotal Grants under 2015 Plan\n\n \n\n \n\n8,510,090\n\n \n\n \n\n \n\n2,349,582\n\n \n\n \n\n \n\n5,316,360\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n2019 Plan\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nEquity settled Performance based RSU\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nKMPs\n\n \n\n \n\n124,516\n\n \n\n \n\n \n\n117,699\n\n \n\n \n\n \n\n139,271\n\n \n\nEmployees other than KMPs\n\n \n\n \n\n4,424,840\n\n \n\n \n\n \n\n3,626,646\n\n \n\n \n\n \n\n4,048,631\n\n \n\n \n\n \n\n \n\n4,549,356\n\n \n\n \n\n \n\n3,744,345\n\n \n\n \n\n \n\n4,187,902\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nTotal grants under 2019 Plan\n\n \n\n \n\n4,549,356\n\n \n\n \n\n \n\n3,744,345\n\n \n\n \n\n \n\n4,187,902\n\n \n\n \n\nRefer to Note 2.20 for details on appointment and resignation of KMPs\n\n \n\nNotes on grants to KMP\n\n \n\nCEO & MD\n\n \n\nUnder the 2015 Plan:\n\n \n\nThe Board, on April 17, 2025, based on the recommendations of the Nomination and Remuneration Committee approved the following grants for fiscal 2026. In accordance with such approval the following grants were made effective May 2, 2025.\n\n \n\n- 230,621 performance-based RSUs (Annual performance equity grant) of fair value of ₹34.75 crore. (approximately\n\n$4.07 million). These RSUs will vest in line with the employment agreement based on achievement of certain performance targets\n\n \n\n- 13,273 performance-based grant of RSUs (Annual performance equity ESG grant) of fair value of ₹2 crore (approximately $0.23 million). These RSUs will vest in line with the employment agreement based on achievement of certain environment, social and governance milestones as determined by the Board\n\n \n\n \n\n- 33,183 performance-based grant of RSUs (Annual performance Equity TSR grant) of fair value of ₹5 crore (approximately $0.59 million). These RSUs will vest in line with the employment agreement based on Company’s performance on cumulative relative TSR over the years and as determined by the Board.\n\nFurther, in accordance with the employee agreement which has been approved by the shareholders, the CEO is eligible to receive an annual grant of RSUs of fair value ₹3 crore (approximately $0.33 million) which will vest overtime in three equal annual installments upon the completion of each year of service from the respective grant date. Accordingly, annual time-based grant of 18,132 RSUs was made effective February 1, 2026 for fiscal 2026.\n\n \n\nThough the annual time based grants and annual performance equity TSR grant for the remaining employment term ending on March 31, 2027 have not been granted as of March 31, 2026, since the service commencement date precedes the grant date, the company has recorded employment stock compensation expense in accordance with IFRS 2, Share based payments. The grant date for this purpose in accordance with IFRS 2, Share based payments is July 1, 2022.\n\n \n\nUnder the 2019 Plan:\n\n \n\nThe Board, on April 17, 2025, based on the recommendations of the Nomination and Remuneration Committee, approved performance-based grant of RSUs amounting to ₹10 crore (approximately $1.17 million) for fiscal 2026 under the 2019 Plan. These RSUs will vest based on achievement of certain performance targets. Accordingly, 66,366 performance based RSU’s were granted effective May 2, 2025.\n\n \n\nOther KMP\n\n \n\nUnder the 2015 Plan:\n\n \n\nDuring the year ended March 31, 2026, based on recommendations of Nomination and Remuneration Committee, the Board approved time based grants of 231,270 ESOPs to Other KMP under the 2015 Plan. These ESOPs will vest over a period of 4 years and shall be exercisable within the period as approved by the Committee. The exercise price of the ESOPs would be the market price as on the date of grant.\n\n \n\nFurther, during the year ended March 31, 2026, based on recommendations of Nomination and Remuneration Committee, the Board approved 82,400 time based RSUs to Other KMPs under the 2015 Plan. Time based RSUs will vest over four years.\n\n \n\nUnder the 2019 Plan:\n\n \n\nDuring the year ended March 31, 2026, based on  recommendations of Nomination and Remuneration Committee, the Board approved performance based grants of 58,150 RSUs to other KMPs under the 2019 plan. These RSUs will vest over three years based on achievement of certain performance targets.\n\n \n\nBreak-up of employee stock compensation expense:\n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nGranted to:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nKMP*\n\n \n\n \n\n8\n\n \n\n \n\n \n\n8\n\n \n\n \n\n8\n\n \n\nEmployees other than KMP\n\n \n\n \n\n100\n\n \n\n \n\n \n\n87\n\n \n\n \n\n71\n\n \n\nTotal (1)\n\n \n\n \n\n108\n\n \n\n \n\n \n\n95\n\n \n\n \n\n \n\n79\n\n \n\n(1) Cash settled stock compensation expense included in the above\n\n \n\n \n\n2\n\n \n\n \n\n \n\n2\n\n \n\n \n\n2\n\n \n\n \n\n* Includes reversal of employee stock compensation expense on account of resignation / retirement of key managerial personnel\n\n \n\nThe activity in the 2015 Plan and 2019 Plan for equity-settled share based payment transaction during fiscal 2026 is set out below:\n\n \n\n \n\n \n\nYear ended March 31, 2026\n\n \n\n \n\n \n\nShares arising\nout of options\n\n \n\n \n\nWeighted average\nexercise price($)\n\n \n\n2015 Plan: RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n7,259,464\n\n \n\n \n\n \n\n0.06\n\n \n\nGranted\n\n \n\n \n\n2,631,950\n\n \n\n \n\n \n\n0.10\n\n \n\nExercised\n\n \n\n \n\n1,865,144\n\n \n\n \n\n \n\n0.10\n\n \n\nForfeited and expired\n\n \n\n \n\n646,821\n\n \n\n \n\n \n\n0.10\n\n \n\nOutstanding at the end\n\n \n\n \n\n7,379,449\n\n \n\n \n\n \n\n0.10\n\n \n\nExercisable at the end\n\n \n\n \n\n1,043,401\n\n \n\n \n\n \n\n0.10\n\n \n\n2015 Plan: Stock Options\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n17,554\n\n \n\n \n\n \n\n5.83\n\n \n\nGranted\n\n \n\n \n\n5,650,160\n\n \n\n \n\n \n\n17.84\n\n \n\nExercised\n\n \n\n \n\n14,728\n\n \n\n \n\n \n\n5.63\n\n \n\nForfeited and expired\n\n \n\n \n\n291,820\n\n \n\n \n\n \n\n17.91\n\n \n\nOutstanding at the end\n\n \n\n \n\n5,361,166\n\n \n\n \n\n \n\n17.54\n\n \n\nExercisable at the end\n\n \n\n \n\n28,096\n\n \n\n \n\n \n\n15.27\n\n \n\n2019 Plan: RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n8,072,635\n\n \n\n \n\n \n\n0.06\n\n \n\nGranted\n\n \n\n \n\n4,549,356\n\n \n\n \n\n \n\n0.10\n\n \n\nExercised\n\n \n\n \n\n1,453,412\n\n \n\n \n\n \n\n0.10\n\n \n\nForfeited and expired\n\n \n\n \n\n745,697\n\n \n\n \n\n \n\n0.10\n\n \n\nOutstanding at the end\n\n \n\n \n\n10,422,882\n\n \n\n \n\n \n\n0.10\n\n \n\nExercisable at the end\n\n \n\n \n\n2,353,433\n\n \n\n \n\n \n\n0.10\n\n \n\n \n\n \n\nThe activity in the 2015 Plan and 2019 Plan for equity-settled share based payment transaction during fiscal 2025 is set out below:\n\n \n\n \n\n \n\nYear ended March 31, 2025\n\n \n\n \n\n \n\nShares arising\nout of options\n\n \n\n \n\nWeighted average\nexercise price($)\n\n \n\n2015 Plan: RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n8,076,058\n\n \n\n \n\n \n\n0.06\n\n \n\nGranted\n\n \n\n \n\n2,255,532\n\n \n\n \n\n \n\n0.06\n\n \n\nExercised\n\n \n\n \n\n2,080,865\n\n \n\n \n\n \n\n0.06\n\n \n\nForfeited and expired\n\n \n\n \n\n991,261\n\n \n\n \n\n \n\n0.06\n\n \n\nOutstanding at the end\n\n \n\n \n\n7,259,464\n\n \n\n \n\n \n\n0.06\n\n \n\nExercisable at the end\n\n \n\n \n\n629,138\n\n \n\n \n\n \n\n0.06\n\n \n\n2015 Plan: Stock Options\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n82,050\n\n \n\n \n\n \n\n6.61\n\n \n\nGranted\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nExercised\n\n \n\n \n\n61,672\n\n \n\n \n\n \n\n6.77\n\n \n\nForfeited and expired\n\n \n\n \n\n2,824\n\n \n\n \n\n \n\n5.90\n\n \n\nOutstanding at the end\n\n \n\n \n\n17,554\n\n \n\n \n\n \n\n5.83\n\n \n\nExercisable at the end\n\n \n\n \n\n17,554\n\n \n\n \n\n \n\n5.83\n\n \n\n2019 Plan: RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n8,023,855\n\n \n\n \n\n \n\n0.06\n\n \n\nGranted\n\n \n\n \n\n3,744,345\n\n \n\n \n\n \n\n0.06\n\n \n\nExercised\n\n \n\n \n\n1,514,356\n\n \n\n \n\n \n\n0.06\n\n \n\nForfeited and expired\n\n \n\n \n\n2,181,209\n\n \n\n \n\n \n\n0.06\n\n \n\nOutstanding at the end\n\n \n\n \n\n8,072,635\n\n \n\n \n\n \n\n0.06\n\n \n\nExercisable at the end\n\n \n\n \n\n770,321\n\n \n\n \n\n \n\n0.06\n\n \n\n \n\n \n\nThe activity in the 2015 Plan and 2019 Plan for equity-settled share based payment transaction during fiscal 2024 is set out below:\n\n \n\n \n\n \n\nYear ended March 31, 2024\n\n \n\n \n\n \n\nShares arising\nout of options\n\n \n\n \n\nWeighted average\nexercise price($)\n\n \n\n2015 Plan: RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n5,408,018\n\n \n\n \n\n \n\n0.06\n\n \n\nGranted\n\n \n\n \n\n5,139,370\n\n \n\n \n\n \n\n0.06\n\n \n\nExercised\n\n \n\n \n\n1,815,025\n\n \n\n \n\n \n\n0.06\n\n \n\nForfeited and expired\n\n \n\n \n\n656,305\n\n \n\n \n\n \n\n0.06\n\n \n\nOutstanding at the end\n\n \n\n \n\n8,076,058\n\n \n\n \n\n \n\n0.06\n\n \n\nExercisable at the end\n\n \n\n \n\n831,050\n\n \n\n \n\n \n\n0.06\n\n \n\n2015 Plan: Stock Options\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n134,030\n\n \n\n \n\n \n\n6.44\n\n \n\nGranted\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nExercised\n\n \n\n \n\n51,980\n\n \n\n \n\n \n\n6.03\n\n \n\nForfeited and expired\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nOutstanding at the end\n\n \n\n \n\n82,050\n\n \n\n \n\n \n\n6.61\n\n \n\nExercisable at the end\n\n \n\n \n\n82,050\n\n \n\n \n\n \n\n6.61\n\n \n\n2019 Plan: RSUs\n\n \n\n \n\n \n\n \n\n \n\n \n\nOutstanding at the beginning\n\n \n\n \n\n7,222,038\n\n \n\n \n\n \n\n0.06\n\n \n\nGranted\n\n \n\n \n\n4,187,902\n\n \n\n \n\n \n\n0.06\n\n \n\nExercised\n\n \n\n \n\n1,695,705\n\n \n\n \n\n \n\n0.06\n\n \n\nForfeited and expired\n\n \n\n \n\n1,690,380\n\n \n\n \n\n \n\n0.06\n\n \n\nOutstanding at the end\n\n \n\n \n\n8,023,855\n\n \n\n \n\n \n\n0.06\n\n \n\nExercisable at the end\n\n \n\n \n\n814,798\n\n \n\n \n\n \n\n0.06\n\n \n\n \n\nThe weighted average share price of option exercised is set out as follows:\n\n \n\n \n\n \n\n2019 Plan\n\n \n\n2015 Plan\n\n \n\n \n\nYear ended March 31,\n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\nWeighted average share price of options exercised\n\n \n\n16.62\n\n \n\n18.75\n\n \n\n16.39\n\n \n\n16.77\n\n \n\n18.89\n\n \n\n17.07\n\n \n\nThe following table summarizes information about equity settled RSUs and stock options outstanding as of March 31, 2026:\n\n \n\n \n\n \n\n2019 Plan - Options outstanding\n\n \n\n2015 Plan - Options outstanding\n\nRange of exercise prices per share ($)\n\n \n\nNo. of shares\narising out\nof options\n\n \n\nWeighted\naverage\nremaining\ncontractual life\n\n \n\nWeighted\naverage\nexercise\nprice ($)\n\n \n\nNo. of shares\narising out\nof options\n\n \n\nWeighted\naverage\nremaining\ncontractual life\n\n \n\nWeighted\naverage\nexercise\nprice ($)\n\nAmerican Depositary Share (ADS) and Indian Equity Shares (IES)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n0 - 0.1 (RSUs)\n\n \n\n10,422,882\n\n \n\n1.19\n\n \n\n0.10\n\n \n\n7,379,449\n\n \n\n1.37\n\n \n\n0.10\n\n5 - 19 (Stock Options)\n\n \n\n—\n\n \n\n—\n\n \n\n—\n\n \n\n5,361,166\n\n \n\n7.17\n\n \n\n17.54\n\n \n\nThe following table summarizes information about equity settled RSUs and stock options outstanding as of March 31, 2025:\n\n \n\n \n\n \n\n2019 Plan - Options outstanding\n\n \n\n \n\n2015 Plan - Options outstanding\n\n \n\nRange of exercise prices per share ($)\n\n \n\nNo. of shares\narising out\nof options\n\n \n\n \n\nWeighted\naverage\nremaining\ncontractual life\n\n \n\n \n\nWeighted\naverage\nexercise\nprice ($)\n\n \n\n \n\nNo. of shares\narising out\nof options\n\n \n\n \n\nWeighted\naverage\nremaining\ncontractual life\n\n \n\n \n\nWeighted\naverage\nexercise\nprice ($)\n\n \n\nAmerican Depositary Share (ADS) and Indian Equity Shares (IES)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n0 - 0.06 (RSUs)\n\n \n\n \n\n8,072,635\n\n \n\n \n\n \n\n1.23\n\n \n\n \n\n \n\n0.06\n\n \n\n \n\n \n\n7,259,464\n\n \n\n \n\n \n\n1.51\n\n \n\n \n\n \n\n0.06\n\n \n\n5 - 8 (Stock Options)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n17,554\n\n \n\n \n\n \n\n0.58\n\n \n\n \n\n \n\n5.83\n\n \n\n \n\nAs of March 31, 2026, and March 31, 2025, 387,949 and 288,384 cash settled options were outstanding, respectively. The carrying value of liability towards cash settled share-based payments was $2 million and $2 million as of March 31, 2026, and March 31, 2025, respectively.\n\n \n\nThe fair value of the awards is estimated using the Black-Scholes Model for time and non-market performance based options and Monte Carlo simulation model is used for TSR based options.\n\n \n\nThe inputs to the model include the share price at date of grant, exercise price, expected volatility, expected dividends, expected term and the risk free rate of interest. Expected volatility during the expected term of the options is based on historical volatility of the observed market prices of the Company's publicly traded equity shares during a period equivalent to the expected term of the options. Expected volatility of the comparative companies have been modelled based on historical movements in the market prices of their publicly traded equity shares during a period equivalent to the expected term of the options. Correlation coefficient is calculated between each peer entity and the indices as a whole or between each entity in the peer group.\n\n \n\n \n\nThe fair value of each equity settled award is estimated on the date of grant using the following assumptions:\n\n \n\n \n\n \n\n \n\nFor options granted in\n\n \n\n \n\n \n\nFiscal 2026-\n Equity\nShares-RSU\n\n \n\n \n\nFiscal 2026-\nADS- RSU\n\n \n\nFiscal 2026-\nEquity Shares-ESOP\n\n \n\n \n\nFiscal 2026-\nADS-ESOP\n\n \n\nWeighted average share price (₹) / ($- ADS)\n\n \n\n \n\n1,641\n\n \n\n \n\n \n\n17.55\n\n \n\n \n\n1,554\n\n \n\n \n\n \n\n17.93\n\n \n\nExercise price (₹)/ ($- ADS)\n\n \n\n \n\n5.00\n\n \n\n \n\n \n\n0.10\n\n \n\n \n\n1,554\n\n \n\n \n\n \n\n17.93\n\n \n\nExpected volatility (%)\n\n \n\n23-26\n\n \n\n \n\n25-29\n\n \n\n25-28\n\n \n\n \n\n26-30\n\n \n\nExpected life of the option (years)\n\n \n\n1-4\n\n \n\n \n\n1-4\n\n \n\n3-7\n\n \n\n \n\n3-7\n\n \n\nExpected dividends (%)\n\n \n\n2-3\n\n \n\n \n\n2-3\n\n \n\n2-3\n\n \n\n \n\n2-3\n\n \n\nRisk-free interest rate (%)\n\n \n\n6\n\n \n\n \n\n4\n\n \n\n6\n\n \n\n \n\n4\n\n \n\nWeighted average fair value as on grant date (₹) / ($- ADS)\n\n \n\n \n\n1,331\n\n \n\n \n\n \n\n14.16\n\n \n\n \n\n390\n\n \n\n \n\n \n\n4.09\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFor options granted in\n\n \n\n \n\n \n\nFiscal 2025-\n Equity\nShares-RSU\n\n \n\n \n\nFiscal 2025-\nADS- RSU\n\n \n\nWeighted average share price (₹) / ($- ADS)\n\n \n\n \n\n1,808\n\n \n\n \n\n \n\n21.44\n\n \n\nExercise price (₹)/ ($- ADS)\n\n \n\n \n\n5.00\n\n \n\n \n\n \n\n0.07\n\n \n\nExpected volatility (%)\n\n \n\n21-26\n\n \n\n \n\n23-28\n\n \n\nExpected life of the option (years)\n\n \n\n1-4\n\n \n\n \n\n1-4\n\n \n\nExpected dividends (%)\n\n \n\n2-3\n\n \n\n \n\n2-3\n\n \n\nRisk-free interest rate (%)\n\n \n\n7\n\n \n\n \n\n4-5\n\n \n\nWeighted average fair value as on grant date (₹) / ($- ADS)\n\n \n\n \n\n1,555\n\n \n\n \n\n \n\n18.20\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nFor options granted in\n\n \n\n \n\n \n\nFiscal 2024-\n Equity\nShares-RSU\n\n \n\n \n\nFiscal 2024-\nADS- RSU\n\n \n\nWeighted average share price (₹) / ($- ADS)\n\n \n\n \n\n1,588\n\n \n\n \n\n \n\n19.19\n\n \n\nExercise price (₹)/ ($- ADS)\n\n \n\n \n\n5.00\n\n \n\n \n\n \n\n0.07\n\n \n\nExpected volatility (%)\n\n \n\n23-31\n\n \n\n \n\n25-33\n\n \n\nExpected life of the option (years)\n\n \n\n1-4\n\n \n\n \n\n1-4\n\n \n\nExpected dividends (%)\n\n \n\n2-3\n\n \n\n \n\n2-3\n\n \n\nRisk-free interest rate (%)\n\n \n\n7\n\n \n\n \n\n4-5\n\n \n\nWeighted average fair value as on grant date (₹) / ($- ADS)\n\n \n\n \n\n1,317\n\n \n\n \n\n \n\n16.27\n\n \n\n \n\nThe expected life of the RSU/ESOP is estimated based on the vesting term and contractual term of the RSU/ESOP, as well as expected exercise behavior of the employee who receives the RSU/ ESOP.\n\n \n\n \n\n2.18 Income taxes\n\nAccounting policy\n\n \n\nIncome tax expense comprises current and deferred income tax. Income tax expense is recognized in the net profit in the consolidated statement of comprehensive income except to the extent that it relates to items recognized directly in equity, in which case it is recognized in equity or other comprehensive income. Current income tax for current and prior periods is recognized at the amount expected to be paid to or recovered from the tax authorities, using the tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date. Deferred income tax assets and liabilities are recognized for all temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements except when the deferred income tax arises from the initial recognition of goodwill or an asset or liability in a transaction that is not a business combination and affects neither accounting nor taxable profit or loss at the time of the transaction. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized.\n\n \n\nDeferred income tax assets and liabilities are measured using tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date and are expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of changes in tax rates on deferred income tax assets and liabilities is recognized as income or expense in the period that includes the enactment or the substantive enactment date. A deferred income tax asset is recognized to the extent that it is probable that future taxable profit will be available against which the deductible temporary differences and tax losses can be utilized. Deferred income taxes are not provided on the undistributed earnings of subsidiaries and branches where it is expected that the earnings of the subsidiary or branch will not be distributed in the foreseeable future.\n\n \n\nThe Group offsets current tax assets and current tax liabilities; deferred tax assets and deferred tax liabilities, where it has a legally enforceable right to set off the recognized amounts and where it intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously. Tax benefits of deductions earned on exercise of employee share options in excess of compensation charged to income are credited to equity.\n\n \n\nIncome tax expense in the consolidated statement of comprehensive income comprises:\n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nCurrent taxes\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nDomestic taxes\n\n \n\n \n\n977\n\n \n\n \n\n \n\n1,089\n\n \n\n \n\n \n\n768\n\n \n\nForeign taxes\n\n \n\n \n\n352\n\n \n\n \n\n \n\n346\n\n \n\n \n\n \n\n247\n\n \n\n \n\n \n\n \n\n1,329\n\n \n\n \n\n \n\n1,435\n\n \n\n \n\n \n\n1,015\n\n \n\nDeferred taxes\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nDomestic taxes\n\n \n\n \n\n(91\n\n)\n\n \n\n \n\n(110\n\n)\n\n \n\n \n\n180\n\n \n\nForeign taxes\n\n \n\n \n\n(48\n\n)\n\n \n\n \n\n(40\n\n)\n\n \n\n \n\n(18\n\n)\n\n \n\n \n\n \n\n(139\n\n)\n\n \n\n \n\n(150\n\n)\n\n \n\n \n\n162\n\n \n\nIncome tax expense\n\n \n\n \n\n1,190\n\n \n\n \n\n \n\n1,285\n\n \n\n \n\n \n\n1,177\n\n \n\n \n\n \n\nA reconciliation of the income tax provision to the amount computed by applying the statutory income tax rate to the income before income taxes is summarized below:\n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nProfit before income taxes\n\n \n\n \n\n4,506\n\n \n\n \n\n \n\n4,447\n\n \n\n \n\n \n\n4,346\n\n \n\nEnacted tax rates in India\n\n \n\n \n\n25.17\n\n%\n\n \n\n \n\n25.17\n\n%\n\n \n\n \n\n34.94\n\n%\n\nComputed expected tax expense\n\n \n\n \n\n1,137\n\n \n\n \n\n \n\n1,119\n\n \n\n \n\n \n\n1,519\n\n \n\nTax effect due to non-taxable income for Indian tax purposes\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(363\n\n)\n\nOverseas taxes\n\n \n\n \n\n126\n\n \n\n \n\n \n\n131\n\n \n\n \n\n \n\n136\n\n \n\nTax provision (reversals)\n\n \n\n \n\n(93\n\n)\n\n \n\n \n\n16\n\n \n\n \n\n \n\n(113\n\n)\n\nEffect of differential tax rates\n\n \n\n \n\n(8\n\n)\n\n \n\n \n\n(9\n\n)\n\n \n\n \n\n(69\n\n)\n\nEffect of exempt non-operating income\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n(6\n\n)\n\nEffect of unrecognized deferred tax assets\n\n \n\n \n\n11\n\n \n\n \n\n \n\n19\n\n \n\n \n\n \n\n25\n\n \n\nEffect of non-deductible expenses\n\n \n\n \n\n38\n\n \n\n \n\n \n\n33\n\n \n\n \n\n \n\n20\n\n \n\nOthers\n\n \n\n \n\n(20\n\n)\n\n \n\n \n\n(20\n\n)\n\n \n\n \n\n28\n\n \n\nIncome tax expense\n\n \n\n \n\n1,190\n\n \n\n \n\n \n\n1,285\n\n \n\n \n\n \n\n1,177\n\n \n\n \n\nThe applicable Indian corporate statutory tax rate for fiscal 2026 is 25.17%, fiscal 2025 is 25.17% and fiscal 2024 is 34.94% respectively.\n\n \n\nIncome tax expense for fiscal 2026, 2025 and 2024 includes reversals (net of provisions) of $93 million, provisions (net of reversals) of $16 million, and reversals (net of provisions) of $113 million respectively. These provisions and reversals pertaining to prior periods are primarily on account of adjudication of certain disputed matters, upon filing of tax return and completion of assessments, across various jurisdictions.\n\n \n\nDuring the year ended March 31, 2026, the Company received orders under section 250 and Section 254 of the Income Tax Act, 1961, from the Income Tax Authorities in India for the assessment years, 2013-14 and assessment years 2017-18 to 2021-22. These orders confirmed the Company's position with respect to tax treatment of certain matters. As a result, interest income (pre-tax) of $41 million was recognized and provision for income tax aggregating $93 million was reversed with a corresponding credit to the Statement of Profit and Loss. Also, upon resolution of the disputes, an amount aggregating to $9 million has been reduced from contingent liabilities.\n\n \n\nDuring the year ending March 31, 2025, the Company received orders under section 250 of the Income Tax Act, 1961, from the Income Tax Authorities in India for the assessment years, 2016-17 and 2019-20. These orders confirmed the Company's position with respect to tax treatment of certain matters. As a result, interest income (pre-tax) of $38 million was recognized and provision for income tax aggregating $21 million was reversed with a corresponding credit to the Statement of Profit and Loss. Also, upon resolution of the disputes, an amount aggregating to $125 million has been reduced from contingent liabilities.\n\n \n\nDuring the year ending March 31, 2024, the Company received orders under sections 250 and 254 of the Income Tax Act, 1961, from the Income Tax Authorities in India for the assessment years, 2007-08 to 2015-16, 2017-18 and 2018-19. These orders confirmed the Company's position with respect to tax treatment of certain matters. As a result, interest income (pre-tax) of $232 million along with the corresponding tax impact was recognized. Further a provision for income tax aggregating $63 million was reversed with a corresponding credit to the Statement of Profit and Loss. Also, an amount aggregating to $196 million has been reduced from contingent liabilities.\n\n \n\nThe foreign tax expense is due to income taxes payable overseas, principally in the United States. In India, the company had benefited from certain income tax incentives that the Government of India had provided for export of software and services from the units registered under the Special Economics Zones (SEZs) Act, 2005 in the prior years, SEZ units which began to provide services on or after April 1, 2005, are eligible for an income tax deduction of 100% of profits or gains derived from the export of services for the first five years beginning with the assessment year relevant to the previous year in which the SEZ unit begins to provide services and 50% of such profits or gains for a further five years. Up to 50% of such profits or gains is also available for a further five years subject to creation of a Special Economic Zone Re-investment Reserve out of\n\n \n\nthe profit of the eligible SEZ units and utilization of such reserve by the Company for acquiring new plant and machinery for the purpose of its business as per the provisions of the Income Tax Act, 1961 (Refer to Other Reserves under Note 2.15 Equity).\n\n \n\nAs a result of these tax incentives, a portion of the Company’s pre-tax income had not been subject to tax in the past. These tax incentives resulted in a decrease in our income tax expense of $363 million for fiscal 2024 compared to the tax amounts that we estimate we would have been required to pay if these incentives had not been available. The per share effect of these tax incentives computed based on both basic and diluted weighted average number of equity shares for fiscal 2024 was $0.09.\n\n \n\nThe Taxation Laws (Amendment) Act, 2019 introduced section 115BAA which provides that a domestic company can elect a reduced rate of corporate tax of 22% plus surcharge of 10% and cess of 4% but without the ability to claim certain deductions, including deduction for SEZ units under section 10AA of the Income Tax Act. From fiscal 2025, our income tax expense has been recognized by applying the provision of section 115BAA of the Income Tax Act without claim of deduction for SEZ units under section 10AA of the Income Tax Act.\n\nDeferred income tax for fiscal 2026, 2025 and 2024 substantially relates to origination and reversal of temporary differences.\n\n \n\nInfosys is subject to a 15% Branch Profit Tax (BPT) in the U.S. to the extent its U.S. branch's net profit during the year is greater than the increase in the net assets of the U.S. branch during the year, computed in accordance with the Internal Revenue Code. As of March 31, 2026, Infosys' U.S. branch net assets amounted to approximately $816 million. As of March 31, 2026, the Company has a deferred tax liability for branch profit tax of $22 million (net of credits), as the Company estimates that these branch profits are expected to be distributed in the foreseeable future.\n\n \n\nDeferred income tax liabilities have not been recognized on temporary differences amounting to $2,032 million and $1,941 million as of March 31, 2026, and March 31, 2025, respectively, associated with investments in subsidiaries and branches as the Company is able to control the timing of reversal of the temporary difference and it is probable that the temporary differences will not reverse in the foreseeable future. The Group primarily intends to repatriate earnings from subsidiaries and branches only to the extent these can be distributed in a tax-free manner.\n\n \n\nDeferred income tax assets have not been recognized on accumulated losses of $513 million and $538 million as of March 31, 2026, and March 31, 2025, respectively, as it is probable that future taxable profit will be not available against which the unused tax losses can be utilized in the foreseeable future.\n\nThe following table provides details of expiration of unused tax losses for fiscal 2026:\n\n \n\n(Dollars in millions)\n\n \n\nYear\n\n \n\n \n\n \n\n2027\n\n \n\n \n\n15\n\n \n\n2028\n\n \n\n \n\n39\n\n \n\n2029\n\n \n\n \n\n78\n\n \n\n2030\n\n \n\n \n\n51\n\n \n\n2031\n\n \n\n \n\n20\n\n \n\nThereafter\n\n \n\n \n\n310\n\n \n\nTotal\n\n \n\n \n\n513\n\n \n\n \n\nThe following table provides details of expiration of unused tax losses for fiscal 2025:\n\n(Dollars in millions)\n\n \n\nYear\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n25\n\n \n\n2027\n\n \n\n \n\n16\n\n \n\n2028\n\n \n\n \n\n60\n\n \n\n2029\n\n \n\n \n\n80\n\n \n\n2030\n\n \n\n \n\n52\n\n \n\nThereafter\n\n \n\n \n\n305\n\n \n\nTotal\n\n \n\n \n\n538\n\n \n\n \n\n \n\nThe following table provides the details of income tax assets and income tax liabilities as of March 31, 2026, and March 31, 2025:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nIncome tax assets\n\n \n\n \n\n263\n\n \n\n \n\n \n\n538\n\n \n\nCurrent income tax liabilities\n\n \n\n \n\n(594\n\n)\n\n \n\n \n\n(567\n\n)\n\nNet current income tax assets / (liabilities) at the end\n\n \n\n \n\n(331\n\n)\n\n \n\n \n\n(29\n\n)\n\n \n\nThe gross movement in the current income tax assets / (liabilities) for fiscal 2026, 2025 and 2024 is as follows:\n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nNet current income tax assets / (liabilities) at the beginning\n\n \n\n \n\n(29\n\n)\n\n \n\n \n\n702\n\n \n\n \n\n \n\n374\n\n \n\nIncome tax paid (net)\n\n \n\n \n\n973\n\n \n\n \n\n \n\n662\n\n \n\n \n\n \n\n1,114\n\n \n\nCurrent income tax expense\n\n \n\n \n\n(1,329\n\n)\n\n \n\n \n\n(1,435\n\n)\n\n \n\n \n\n(1,015\n\n)\n\nInterest income on income tax refund\n\n \n\n \n\n41\n\n \n\n \n\n \n\n39\n\n \n\n \n\n \n\n234\n\n \n\nIncome tax on other comprehensive income\n\n \n\n \n\n—\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\nIncome tax benefit arising on exercise of stock options\n\n \n\n \n\n5\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n—\n\n \n\nTax impact on buyback expenses\n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nTranslation differences\n\n \n\n \n\n6\n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n(5\n\n)\n\nNet current income tax assets / (liabilities) at the end\n\n \n\n \n\n(331\n\n)\n\n \n\n \n\n(29\n\n)\n\n \n\n \n\n702\n\n \n\n \n\nThe movement in gross deferred income tax assets / liabilities (before set off) for fiscal 2026 is as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nCarrying\nvalue as of\nApril 1, 2025\n\n \n\n \n\nChanges\nthrough\nprofit\nand loss\n\n \n\n \n\nAddition through business combination\n\n \n\n \n\nChanges\nthrough OCI\n\n \n\n \n\nTranslation\ndifference\n\n \n\n \n\nCarrying\nvalue as of\nMarch 31, 2026\n\n \n\nDeferred income tax assets / (liabilities)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nProperty, plant and equipment\n\n \n\n \n\n28\n\n \n\n \n\n \n\n(10\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n14\n\n \n\nLease liabilities\n\n \n\n \n\n18\n\n \n\n \n\n \n\n10\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n26\n\n \n\nAccrued compensation to employees\n\n \n\n \n\n9\n\n \n\n \n\n \n\n5\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n14\n\n \n\nTrade receivables\n\n \n\n \n\n26\n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n21\n\n \n\nCompensated absences\n\n \n\n \n\n83\n\n \n\n \n\n \n\n14\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(8\n\n)\n\n \n\n \n\n89\n\n \n\nPost sales client support\n\n \n\n \n\n8\n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n5\n\n \n\nCredits related to branch profits\n\n \n\n \n\n93\n\n \n\n \n\n \n\n(7\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n82\n\n \n\nDerivative financial instruments\n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n17\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n14\n\n \n\nIntangibles\n\n \n\n \n\n8\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n9\n\n \n\nIntangibles arising on business combinations\n\n \n\n \n\n(80\n\n)\n\n \n\n \n\n20\n\n \n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n(70\n\n)\n\nBranch profit tax\n\n \n\n \n\n(124\n\n)\n\n \n\n \n\n16\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n(104\n\n)\n\nSEZ reinvestment reserve\n\n \n\n \n\n(168\n\n)\n\n \n\n \n\n61\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n(94\n\n)\n\nInterest receivable on income tax refund\n\n \n\n \n\n(8\n\n)\n\n \n\n \n\n7\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\nOthers\n\n \n\n \n\n39\n\n \n\n \n\n \n\n11\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n57\n\n \n\nTotal Deferred income tax assets / (liabilities)\n\n \n\n \n\n(72\n\n)\n\n \n\n \n\n139\n\n \n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n4\n\n \n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n62\n\n \n\n \n\n \n\nThe movement in gross deferred income tax assets / liabilities (before set off) for fiscal 2025 is as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nCarrying\nvalue as of\nApril 1, 2024\n\n \n\n \n\nChanges\nthrough\nprofit\nand loss\n\n \n\n \n\nAddition through business combination\n\n \n\n \n\nChanges\nthrough OCI\n\n \n\n \n\nTranslation\ndifference\n\n \n\n \n\nCarrying\nvalue as of\nMarch 31, 2025\n\n \n\nDeferred income tax assets / (liabilities)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nProperty, plant and equipment\n\n \n\n \n\n29\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n28\n\n \n\nLease liabilities\n\n \n\n \n\n24\n\n \n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n18\n\n \n\nAccrued compensation to employees\n\n \n\n \n\n7\n\n \n\n \n\n \n\n2\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n9\n\n \n\nTrade receivables\n\n \n\n \n\n27\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n26\n\n \n\nCompensated absences\n\n \n\n \n\n75\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n83\n\n \n\nPost sales client support\n\n \n\n \n\n7\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n8\n\n \n\nCredits related to branch profits\n\n \n\n \n\n97\n\n \n\n \n\n \n\n(4\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n93\n\n \n\nDerivative financial instruments\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(4\n\n)\n\nIntangibles\n\n \n\n \n\n7\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n8\n\n \n\nIntangibles arising on business combinations\n\n \n\n \n\n(34\n\n)\n\n \n\n \n\n17\n\n \n\n \n\n \n\n(63\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(80\n\n)\n\nBranch profit tax\n\n \n\n \n\n(129\n\n)\n\n \n\n \n\n5\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(124\n\n)\n\nSEZ reinvestment reserve\n\n \n\n \n\n(239\n\n)\n\n \n\n \n\n67\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n4\n\n \n\n \n\n \n\n(168\n\n)\n\nInterest receivable on income tax refund\n\n \n\n \n\n(58\n\n)\n\n \n\n \n\n49\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n(8\n\n)\n\nOthers\n\n \n\n \n\n28\n\n \n\n \n\n \n\n13\n\n \n\n \n\n \n\n1\n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n39\n\n \n\nTotal Deferred income tax assets / (liabilities)\n\n \n\n \n\n(161\n\n)\n\n \n\n \n\n150\n\n \n\n \n\n \n\n(62\n\n)\n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n3\n\n \n\n \n\n \n\n(72\n\n)\n\n \n\n \n\nThe movement in gross deferred income tax assets / liabilities (before set off) for fiscal 2024 is as follows:\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nCarrying\nvalue as of\nApril 1, 2023\n\n \n\n \n\nChanges\nthrough\nprofit\nand loss\n\n \n\n \n\nAddition through business combination\n\n \n\n \n\nChanges\nthrough OCI\n\n \n\n \n\nTranslation\ndifference\n\n \n\n \n\nCarrying\nvalue as of\nMarch 31, 2024\n\n \n\nDeferred income tax assets / (liabilities)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nProperty, plant and equipment\n\n \n\n \n\n21\n\n \n\n \n\n \n\n9\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n29\n\n \n\nLease liabilities\n\n \n\n \n\n27\n\n \n\n \n\n \n\n(3\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n24\n\n \n\nAccrued compensation to employees\n\n \n\n \n\n8\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n7\n\n \n\nTrade receivables\n\n \n\n \n\n32\n\n \n\n \n\n \n\n(5\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n27\n\n \n\nCompensated absences\n\n \n\n \n\n70\n\n \n\n \n\n \n\n6\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n75\n\n \n\nPost sales client support\n\n \n\n \n\n30\n\n \n\n \n\n \n\n(23\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n7\n\n \n\nCredits related to branch profits\n\n \n\n \n\n87\n\n \n\n \n\n \n\n10\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n \n\n \n\n97\n\n \n\nDerivative financial instruments\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(2\n\n)\n\nIntangibles\n\n \n\n \n\n7\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n7\n\n \n\nIntangibles arising on business combinations\n\n \n\n \n\n(42\n\n)\n\n \n\n \n\n8\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(34\n\n)\n\nBranch profit tax\n\n \n\n \n\n(105\n\n)\n\n \n\n \n\n(24\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n \n\n \n\n \n\n(129\n\n)\n\nSEZ reinvestment reserve\n\n \n\n \n\n(164\n\n)\n\n \n\n \n\n(78\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n3\n\n \n\n \n\n \n\n(239\n\n)\n\nInterest receivable on income tax refund\n\n \n\n \n\n-\n\n \n\n \n\n \n\n(58\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\n \n\n \n\n(58\n\n)\n\nOthers\n\n \n\n \n\n32\n\n \n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n(1\n\n)\n\n \n\n \n\n28\n\n \n\nTotal Deferred income tax assets / (liabilities)\n\n \n\n \n\n3\n\n \n\n \n\n \n\n(162\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(2\n\n)\n\n \n\n \n\n—\n\n \n\n \n\n \n\n(161\n\n)\n\n \n\nThe deferred income tax assets and liabilities is as follows:\n\n \n\n \n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nAs of\n\n \n\n \n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nDeferred income tax assets after set off\n\n \n\n239\n\n \n\n \n\n130\n\n \n\nDeferred income tax liabilities after set off\n\n \n\n \n\n(177\n\n)\n\n \n\n \n\n(202\n\n)\n\nIn assessing the realizability of deferred income tax assets, the management considers whether some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which the temporary differences become deductible. The Management considers the scheduled reversals of deferred income tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on the level of historical taxable income and projections for future taxable income over the periods in which the deferred income tax assets are deductible, the management believes that the Group will realize the benefits of those deductible differences. The amount of the deferred income tax assets considered realizable, however, could be reduced in the near term if estimates of future taxable income during the carry forward period are reduced.\n\nThe Company’s Advanced Pricing Arrangement (APA) with the Internal Revenue Service (IRS) for U.S. branch income tax expired in March 2021. The Company has applied for renewal of APA and currently the U.S. taxable income is based on the Company’s best estimate determined based on the expected value method.\n\n \n\nAs of March 31, 2026, claims against the Group not acknowledged as debts from the Income tax authorities amounted to $207 million (₹1,964 crore).\n\nAs of March 31, 2025, claims against the Group not acknowledged as debts from the Income tax authorities amounted to $226 million (₹1,933 crore).\n\nThe amount paid to statutory authorities against the tax claims amounted to $273 million (₹2,594 crore) and $491 million (₹4,199 crore) as of March 31, 2026 and March 31, 2025, respectively.\n\nThe claims against the Group primarily represent demands arising on completion of assessment proceedings under the Income Tax Act, 1961. These claims are on account of issues of disallowance of expenditure towards software being held as capital in nature, payments made to Associated Enterprises held as liable for withholding of taxes, among others. These matters are pending before various Income Tax Authorities and the Management including its tax advisors expect that its position will likely be upheld on ultimate resolution and will not have a material adverse effect on the Group's financial position and results of operations.\n\n \n\n \n\n2.19 Earnings per equity share - reconciliation of basic and diluted shares used in computing earnings per equity share\n\nAccounting policy\n\n \n\nBasic earnings per equity share is computed by dividing the net profit attributable to the equity holders of the Group by the weighted average number of equity shares outstanding during the period. Diluted earnings per equity share is computed by dividing the net profit attributable to the equity holders of the Group by the weighted average number of equity shares considered for deriving basic earnings per equity share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares. The dilutive potential equity shares are adjusted for the proceeds receivable had the equity shares been actually issued at fair value (i.e., the average market value of the outstanding equity shares). Dilutive potential equity shares are deemed converted as at the beginning of the period, unless issued at a later date. Dilutive potential equity shares are determined independently for each period presented.\n\nThe number of equity shares and potentially dilutive equity shares are adjusted retrospectively for all periods presented for any share splits and bonus shares issues including for changes effected prior to the approval of the financial statements by the Board of Directors.\n\n \n\nThe following is the computation of basic earnings per equity share\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\nProfit attributable to equity holders of the Company (Dollars in millions)\n\n \n\n3,313\n\n \n\n3,158\n\n \n\n3,167\n\nWeighted average number of equity shares outstanding used in computing basic earnings per equity share (1)\n\n \n\n4,112,814,745\n\n \n\n4,141,611,738\n\n \n\n4,138,568,090\n\nBasic earnings per equity share ($)\n\n \n\n0.81\n\n \n\n0.76\n\n \n\n0.77\n\n \n\n \n\nThe following is a reconciliation of the equity shares used in the computation of basic and diluted earnings per equity share:\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n2026\n\n \n\n2025\n\n \n\n2024\n\nProfit attributable to equity holders of the Company (Dollars in millions)\n\n \n\n3,313\n\n \n\n3,158\n\n \n\n3,167\n\nWeighted average number of equity shares outstanding used in computing basic earnings per equity share (1)\n\n \n\n4,112,814,745\n\n \n\n4,141,611,738\n\n \n\n4,138,568,090\n\nEffect of dilutive common equivalent shares - share options outstanding\n\n \n\n7,293,423\n\n \n\n10,439,446\n\n \n\n6,112,335\n\nWeighted average number of equity shares and common equivalent shares outstanding used in computing diluted earnings per equity share -\n\n \n\n4,120,108,168\n\n \n\n4,152,051,184\n\n \n\n4,144,680,425\n\nDiluted earnings per equity share ($)\n\n \n\n0.80\n\n \n\n0.76\n\n \n\n0.76\n\n \n\n(1)\nexcludes treasury shares\n\nFor fiscal 2026, 2025 and 2024 there were 1,235,321, 13,931 and 119,711 respectively, options to purchase equity shares which had an anti-dilutive effect.\n\n \n\n \n\n2.20 Related party transactions\n\nList of subsidiaries:\n\n \n\n \n\n \n\n \n\n \n\nHolding as of\n\n \n\n \n\n \n\nCountry\n\n \n\nMarch 31, 2026\n\n \n\n \n\nMarch 31, 2025\n\n \n\nInfosys Technologies (China) Co. Limited (Infosys China)(1)\n\n \n\nChina\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Technologies S. de R. L. de C. V. (Infosys Mexico)(1)\n\n \n\nMexico\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Technologies (Sweden) AB (Infosys Sweden)(1)\n\n \n\nSweden\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Technologies (Shanghai) Company Limited (Infosys Shanghai)(1)\n\n \n\nChina\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nEdgeVerve Systems Limited (EdgeVerve)(1)\n\n \n\nIndia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Austria GmbH(1)\n\n \n\nAustria\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nSkava Systems Private Limited (Skava Systems)(1)(28)\n\n \n\nIndia\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nInfosys Chile SpA(1)\n\n \n\nChile\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Arabia Limited(2)\n\n \n\nSaudi Arabia\n\n \n\n \n\n70\n\n%\n\n \n\n \n\n70\n\n%\n\nInfosys Consulting Ltda.(1)\n\n \n\nBrazil\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Luxembourg S.a.r.l(1)\n\n \n\nLuxembourg\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Consulting S.R.L.(2)(45)\n\n \n\nArgentina\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Romania S.r.l. (formerly Infosys Consulting S.R.L. (Romania))(1)\n\n \n\nRomania\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Limited Bulgaria EOOD(1)\n\n \n\nBulgaria\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Turkey Bilgi Teknolojileri Limited Sirketi(1)\n\n \n\nTurkey\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Germany Holding Gmbh(1)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Automotive and Mobility GmbH & Co. KG(1)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Green Forum(1)\n\n \n\nIndia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Business Solutions LLC(1)\n\n \n\nQatar\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nWongDoody Inc. (1)(30)\n\n \n\nU.S.\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nIDUNN Information Technology Private Limited (1)\n\n \n\nIndia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Public Services, Inc. USA (Infosys Public Services)(1)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Public Services Canada Inc. (11)\n\n \n\nCanada\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys BPM Limited(1)\n\n \n\nIndia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys BPM UK Limited(3)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys (Czech Republic) Limited s.r.o.(3)\n\n \n\nCzech Republic\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Poland Sp z.o.o(3)\n\n \n\nPoland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys McCamish Systems LLC(3)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nPortland Group Pty Ltd(3)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys BPO Americas LLC.(3)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nPanaya Inc. (Panaya)(1)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nPanaya Ltd.(4)\n\n \n\nIsrael\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nPanaya Germany GmbH (4)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBrilliant Basics Holdings Limited (Brilliant Basics)(1)(20)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBrilliant Basics Limited (5)(20)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Consulting Holding AG (1)\n\n \n\nSwitzerland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Management Consulting Pty Limited(6)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Consulting AG(6)\n\n \n\nSwitzerland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\n \n\nInfosys Consulting GmbH(6)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Consulting SAS(6)\n\n \n\nFrance\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfy Consulting B.V.(6)\n\n \n\nThe Netherlands\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Consulting (Belgium) NV(6)\n\n \n\nBelgium\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfy Consulting Company Ltd(6)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nGuideVision s.r.o.(7)\n\n \n\nCzech Republic\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nGuideVision Deutschland GmbH(8)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nGuideVision Suomi Oy(8)\n\n \n\nFinland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nGuideVision Magyarország Kft(8)\n\n \n\nHungary\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nGuideVision Polska Sp. z.o.o(8)\n\n \n\nPoland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nGuideVision UK Ltd(8)(20)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Nova Holdings LLC. (Infosys Nova)(1)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nOutbox systems Inc. dba Simplus (US)(9)(31)\n\n \n\nU.S.\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nSimplus ANZ Pty Ltd.(9)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nSimplus Australia Pty Ltd(10)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nSimplus Philippines, Inc.(9)\n\n \n\nPhilippines\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nKaleidoscope Animations, Inc.(9)(31)\n\n \n\nU.S.\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nBlue Acorn iCi Inc(9)(31)\n\n \n\nU.S.\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nInfosys Singapore Pte. Ltd. (1)(41)\n\n \n\nSingapore\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Financial Services GmbH. (12)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys South Africa (Pty) Ltd(12)\n\n \n\nSouth Africa\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys (Malaysia) SDN. BHD. (12)\n\n \n\nMalaysia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Middle East FZ LLC (12)\n\n \n\nU.A.E\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Norway (12)\n\n \n\nNorway\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Compaz Pte. Ltd (13)\n\n \n\nSingapore\n\n \n\n \n\n60\n\n%\n\n \n\n \n\n60\n\n%\n\nHIPUS Co., Ltd(13)(41)\n\n \n\nJapan\n\n \n\n \n\n79\n\n%\n\n \n\n \n\n81\n\n%\n\nFluido Oy (12)\n\n \n\nFinland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nFluido Sweden AB (14)\n\n \n\nSweden\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nFluido Norway A/S(14)\n\n \n\nNorway\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nFluido Denmark A/S(14)\n\n \n\nDenmark\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nFluido Slovakia s.r.o(14)\n\n \n\nSlovakia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Fluido UK, Ltd.(14)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Fluido Ireland, Ltd.(15)\n\n \n\nIreland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nStater N.V.(13)\n\n \n\nThe Netherlands\n\n \n\n \n\n75\n\n%\n\n \n\n \n\n75\n\n%\n\nStater Nederland B.V.(16)\n\n \n\nThe Netherlands\n\n \n\n \n\n75\n\n%\n\n \n\n \n\n75\n\n%\n\nStater XXL B.V.(16)\n\n \n\nThe Netherlands\n\n \n\n \n\n75\n\n%\n\n \n\n \n\n75\n\n%\n\nHypoCasso B.V.(16)\n\n \n\nThe Netherlands\n\n \n\n \n\n75\n\n%\n\n \n\n \n\n75\n\n%\n\nStater Belgium N.V./S.A.(16)\n\n \n\nBelgium\n\n \n\n \n\n75\n\n%\n\n \n\n \n\n75\n\n%\n\nStater Gmbh(16)\n\n \n\nGermany\n\n \n\n \n\n75\n\n%\n\n \n\n \n\n75\n\n%\n\nInfosys Germany GmbH (12)(43)\n\n \n\nGermany\n\n \n\n \n\n—\n\n \n\n \n\n \n\n100\n\n%\n\nWongdoody Gmbh (18)(43)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nWongDoody (Shanghai) Co. Limited (19)\n\n \n\nChina\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nWongDoody limited (Taipei) (19)\n\n \n\nTaiwan\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nWongDoody d.o.o (19)\n\n \n\nSerbia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science A/S (12)\n\n \n\nDenmark\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science AG (21)\n\n \n\nSwitzerland\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science GmbH (21)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science S.A.S (21)\n\n \n\nFrance\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science Ltd. (21)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science S.r.l. (21)\n\n \n\nItaly\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInnovisor Inc.(21)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science Inc.(17)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nBASE life science S.L.(21)\n\n \n\nSpain\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInSemi Technology Services Private Limited (23)\n\n \n\nIndia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nElbrus Labs Private Limited (23)(22)\n\n \n\nIndia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Services (Thailand) Limited (1)(25)\n\n \n\nThailand\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfy tech SAS (12)(24)\n\n \n\nFrance\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Holding GmbH (26)(32)\n\n \n\nGermany\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nin-tech GmbH (26)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nFriedrich & Wagner Asia Pacific GmbH (26)(32)\n\n \n\nGermany\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\ndrivetech Fahrversuch GmbH (26)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Engineering S.R.L. (formerly known as ProIT) (26)(44)\n\n \n\nRomania\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Automotive Engineering de R.L. de C.V (26)(40)\n\n \n\nMexico\n\n \n\n \n\n—\n\n \n\n \n\n \n\n100\n\n%\n\nFriedrich Wagner Holding Inc.(26)(20)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Automotive Engineering SL (26)\n\n \n\nSpain\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Automotive Engineering LLC (26)(29)\n\n \n\nU.S.\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nin-tech Services LLC (26)(29)\n\n \n\nU.S.\n\n \n\n \n\n—\n\n \n\n \n\n \n\n—\n\n \n\nin-tech Engineering s.r.o (26)\n\n \n\nCzech Republic\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Engineering GmbH (26)\n\n \n\nAustria\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Engineering services S.R.L (26)(44)\n\n \n\nRomania\n\n \n\n \n\n—\n\n \n\n \n\n \n\n100\n\n%\n\nin-tech Group Ltd (26)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nIn-tech Automotive Engineering Shenyang Co. Ltd (26)\n\n \n\nChina\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nin-tech Group India Private Ltd (26)\n\n \n\nIndia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nIn-tech Automotive Engineering Beijing Co., Ltd (26)\n\n \n\nChina\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\n \n\nInfosys Germany SE (formerly known as Blitz 24-893 SE) (27)(43)\n\n \n\nGermany\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Limited SPC (1)(33)\n\n \n\nOman\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys BPM Netherlands B.V. (17)(34)\n\n \n\nThe Netherlands\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n100\n\n%\n\nInfosys Energy Consulting Services LLC (9)(35)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nInfosys Saudi Arabia LLC (1)(36)\n\n \n\nSaudi Arabia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nInfosys Australia Technology Service Pty Ltd (12)(37)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nMRE Consulting Ltd (38)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nMRE Technology Services, LLC (38)\n\n \n\nU.S.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nThe Missing Link Automation Pty Ltd (39)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nThe Missing Link Network Integration Pty Ltd (39)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nThe Missing Link Security Pty Ltd (39)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nThe Missing Link Security Ltd (39)\n\n \n\nU.K.\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nInfosys BPM Canada Inc (17)(42)\n\n \n\nCanada\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\nInfosys Enterprise Business Services Pty Ltd (12)(46)\n\n \n\nAustralia\n\n \n\n \n\n100\n\n%\n\n \n\n \n\n—\n\n \n\n \n\n(1) Wholly-owned subsidiary of Infosys Limited\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(2) Majority owned and controlled subsidiary of Infosys Limited\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(3) Wholly-owned subsidiary of Infosys BPM Limited\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(4) Wholly-owned subsidiary of Panaya Inc.\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(5) Wholly-owned subsidiary of Brilliant Basics Holding Limited.\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(6) Wholly-owned subsidiary of Infosys Consulting Holding AG\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(7) Wholly-owned subsidiary of Infy Consulting Company Limited\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(8) Wholly-owned subsidiary of GuideVision s.r.o.\n\n \n\n \n\n \n\n \n\n \n\n \n\n(9) Wholly-owned subsidiary of Infosys Nova Holdings LLC\n\n \n\n \n\n \n\n \n\n \n\n \n\n(10) Wholly-owned subsidiary of Simplus ANZ Pty Ltd\n\n \n\n \n\n \n\n \n\n \n\n \n\n(11) Wholly-owned subsidiary of Infosys Public Services, Inc.\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(12) Wholly-owned subsidiary of Infosys Singapore Pte. Ltd.\n\n \n\n(13) Majority owned and controlled subsidiary of Infosys Singapore Pte. Ltd.\n\n \n\n(14) Wholly-owned subsidiary of Fluido Oy\n\n \n\n(15) Wholly-owned subsidiary of Infosys Fluido UK, Ltd.\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(16) Wholly-owned subsidiary of Stater N.V\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(17) Wholly-owned subsidiary of IBPM UK Ltd\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n(18) Wholly-owned subsidiary of Infosys Germany GmbH\n\n \n\n(19)Wholly-owned subsidiary of Wongdoody Gmbh\n\n(20) Under liquidation\n\n \n\n(21) Wholly-owned subsidiary of BASE life science A/S\n\n \n\n(22) Wholly-owned subsidiary of InSemi Technology Services Private Limited\n\n(23) On May 10, 2024 Infosys Ltd. acquired 100% of voting interests in InSemi Technology Services Private Limited along with its subsidiary Elbrus Labs Private Limited\n\n \n\n(24) Incorporated on July 03, 2024\n\n \n\n(25) Incorporated on July 26, 2024\n\n \n\n(26) On July 17, 2024, Infosys Germany GmbH, a wholly owned subsidiary of Infosys Singapore Pte. Limited, acquired 100% of voting interests in in-tech Holding GmbH along with its subsidiary in-tech GmbH along with its six subsidiaries in-tech Automotive Engineering SL, in-tech Engineering S.R.L. (formerly known as ProIT), in-tech Automotive Engineering de R.L. de C.V, drivetech Fahrversuch GmbH, Friedrich Wagner Holding Inc along with its two subsidiaries (in-tech Automotive Engineering LLC and in-tech Services LLC) and Friedrich & Wagner Asia Pacific GmbH along with its five subsidiaries in-tech engineering s.r.o, in-tech engineering GmbH, in-tech engineering services S.R.L, in-tech Group Ltd along with its subsidiary (in-tech Group India Private Limited) and In-tech Automotive Engineering Shenyang Co., Ltd along with its subsidiary (In-tech Automotive Engineering Beijing Co., Ltd). Subsequently on September 01, 2024 in-tech Group India Private Limited became a wholly-owned subsidiary of Infosys limited.\n\n \n\n(27) On October 17, 2024, Infosys Singapore Pte Ltd. acquired 100% of voting interests in Infosys Germany SE (formerly known as Blitz 24-893 SE)\n\n \n\n \n\n(28) Liquidated effective November 14, 2024\n\n \n\n(29) Liquidated effective November 30, 2024\n\n \n\n(30) WongDoody Inc, a wholly-owned subsidiary of Infosys limited merged into Infosys Nova Holdings LLC effective January 1, 2025\n\n \n\n(31) Kaleidoscope Animations, Blue Acorn iCi Inc and Outbox systems Inc. dba Simplus (US) merged into Infosys Nova Holdings LLC effective January 1, 2025\n\n \n\n(32) in-tech Holding GmbH and Friedrich & Wagner Asia Pacific GmbH merged into in-tech GmbH effective January 1,2025\n\n \n\n(33) Incorporated on December 12, 2024\n\n(34) Incorporated on March 20, 2025\n\n \n\n \n\n(35) Incorporated on April 16, 2025\n\n \n\n \n\n(36) Incorporated on April 21, 2025\n\n \n\n \n\n(37) Incorporated on April 23, 2025\n\n \n\n \n\n(38) On April 30, 2025, Infosys Nova Holdings LLC, a wholly-owned subsidiary of Infosys Limited, acquired 98.21% of partnership interests in MRE Consulting Ltd along with its subsidiary MRE Technology Services, LLC. The remaining 1.79% was acquired by Infosys Energy Consulting Services LLC, a Wholly-owned subsidiary of Infosys Nova Holdings LLC\n\n \n\n \n\n(39) On April 30, 2025, Infosys Australia Technology Service Pty Ltd, a wholly owned subsidiary of Infosys Singapore Pte. Limited, acquired 100% of voting interests in The Missing Link Automation Pty Ltd, The Missing Link Network Integration Pty Ltd and The Missing Link Security Pty Ltd along with its subsidiary The Missing Link Security Ltd\n\n \n\n \n\n(40) Liquidated effective May 07, 2025\n\n \n\n \n\n(41) On May 13, 2025, Infosys Singapore Pte Ltd diluted 2% stake of HIPUS Co., Ltd to Mitsubishi Heavy Industries, Ltd.\n\n \n\n(42) Incorporated on July 28, 2025\n\n \n\n \n\n(43) Infosys Germany Gmbh, a Wholly-owned subsidiary of Infosys Singapore Pte Ltd merged into Infosys Germany SE (formerly known as Blitz 24-893 SE) effective September 24, 2025\n\n \n\n \n\n(44) in-tech Engineering services S.R.L, (Wholly-owned subsidiary of in-tech GmbH) merged into in-tech Engineering S.R.L. (formerly known as ProIT and wholly-owned subsidiary of in-tech GmbH) effective November 30, 2025\n\n \n\n \n\n(45) Infosys Consulting S.R.L. (Argentina) (formerly a majority owned and controlled subsidiary of Infosys Limited) became the majority owned and controlled subsidiary of Infosys Nova Holdings LLC with effect from January 28, 2026\n\n \n\n \n\n(46) Incorporated on March 19, 2026\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\nList of other related parties:\n\n \n\nParticulars\n\nCountry\n\nNature of relationship\n\nInfosys Limited Employees’ Gratuity Fund Trust\n\nIndia\n\nPost-employment benefit plan of Infosys\n\nInfosys Limited Employees’ Provident Fund Trust\n\nIndia\n\nPost-employment benefit plan of Infosys\n\nInfosys Limited Employees’ Superannuation Fund Trust\n\nIndia\n\nPost-employment benefit plan of Infosys\n\nInfosys BPM Limited Employees’ Superannuation Fund Trust\n\nIndia\n\nPost-employment benefit plan of Infosys BPM\n\nInfosys BPM Limited Employees’ Gratuity Fund Trust\n\nIndia\n\nPost-employment benefit plan of Infosys BPM\n\nEdgeVerve Systems Limited Employees’ Gratuity Fund Trust\n\nIndia\n\nPost-employment benefit plan of EdgeVerve\n\nEdgeVerve Systems Limited Employees’ Superannuation Fund Trust\n\nIndia\n\nPost-employment benefit plan of EdgeVerve\n\nInfosys Employees’ Welfare Trust\n\nIndia\n\nControlled Trust\n\nInfosys Employee Benefits Trust\n\nIndia\n\nControlled Trust\n\nInfosys Science Foundation\n\nIndia\n\nControlled Trust\n\nInfosys Expanded Stock Ownership Trust\n\nIndia\n\nControlled Trust\n\nInfosys Foundation(1)\n\nIndia\n\nTrust jointly controlled by KMPs\n\n \n\n(1)\nDuring fiscal 2026 and fiscal 2025, the Group contributed $45 million and $51 million respectively towards CSR.\n\n \n\nRefer to Note 2.14 for information on transactions relating to the post-employment benefit plans mentioned above.\n\n \n\n \n\nList of Key Managerial Personnel (KMP)\n\n \n\nWhole-time directors\n\n \n\nSalil Parekh, Chief Executive Officer and Managing Director\n\n \n\nNon-whole-time directors\n\n \n\nNandan M. Nilekani\n\n \n\nD. Sundaram\n\n \n\nMichael Gibbs\n\n \n\nGovind Iyer\n\n \n\nUri Levine (retired effective April 19, 2023)\n\n \n\nBobby Parikh\n\n \n\nChitra Nayak\n\n \n\nHelene Auriol Potier (appointed as an independent director effective May 26, 2023)\n\n \n\nDiane Enberg Jurgens (appointed as Additional and Independent director effective April 22, 2026)\n\n \n\nNitin Paranjpe (appointed as an additional and independent director effective January 1, 2024 and as vice chairman effective April 30, 2026)\n\n \n\nExecutive Officers\n\n \n\nJayesh Sanghrajka (appointed as Chief Financial Officer effective April 1, 2024)\n\n \n\nNilanjan Roy (resigned as Chief Financial Officer of the Company effective March 31, 2024)\n\n \n\nInderpreet Sawhney, Chief Legal Officer and Chief Compliance Officer\n\n \n\nShaji Mathew, Chief Human Resources Officer\n\n \n\n \n\nTransactions with Key Managerial Personnel (KMP)\n\nThe table below describes the related party transactions with key management personnel which comprises directors and executive officers under IAS 24:\n\n \n\n(Dollars in millions)\n\n \n\n \n\n \n\nYear ended March 31,\n\n \n\n \n\n \n\n2026\n\n \n\n \n\n2025\n\n \n\n \n\n2024\n\n \n\nSalaries and other short term employee benefits to whole-time directors and executive officers(1)(2)\n\n \n\n \n\n14\n\n \n\n \n\n \n\n14\n\n \n\n \n\n14\n\n \n\nCommission and other benefits to non-executive / independent directors\n\n \n\n \n\n2\n\n \n\n \n\n \n\n2\n\n \n\n \n\n2\n\n \n\nTotal\n\n \n\n \n\n16\n\n \n\n \n\n \n\n16\n\n \n\n \n\n \n\n16\n\n \n\n \n\n(1)\nIncludes employee stock compensation expense of $8 million, $8 million and $8 million for fiscal 2026, 2025 and 2024, respectively, towards key managerial personnel (Refer to Note 2.17).\n\n \n\n(2)\nDoes not include post-employment benefit and other long term benefits based on actuarial valuation as this is done for the Company as a whole.\n\n2.21 Segment reporting\n\n \n\nIFRS 8 Operating segments establishes standards for the way that public business enterprises report information about operating segments and related disclosures about products and services, geographic areas, and major customers. The Group's operations predominantly relate to providing end-to-end business solutions to enable clients to enhance business performance.\n\n \n\nThe chief operating decision maker (CODM) evaluates the Group's performance and allocates resources based on an analysis of various performance indicators by business segments. Accordingly, information has been presented along business segments. The accounting principles used in the preparation of the financial statements are consistently applied to record revenue and expenditure in individual segments and are as set out in the accounting policies.\n\n \n\nBusiness segments of the Group are primarily enterprises in Financial Services and Insurance, enterprises in Manufacturing, enterprises in Retail, Consumer Packaged Goods and Logistics, enterprises in the Energy, Utilities, Resources and Services, enterprises in Communication, Telecom OEM and Media, enterprises in Hi-Tech, enterprises in Life Sciences and Healthcare and all other segments. The Financial Services reportable segments has been aggregated to include the Financial Services operating segment and Finacle operating segment because of the similarity of the economic characteristics. All other segments represent the operating segments of businesses in India, Japan, China, Infosys Public Services & identified enterprises in Public Services.\n\n \n\nRevenue and identifiable operating expenses in relation to segments are categorized based on items that are individually identifiable to that segment. Revenue for 'all other segments' represents revenue generated by Infosys Public Services and revenue generated from customers located in India, Japan and China and other enterprises in Public Services. Allocated expenses of segments include expenses incurred for rendering services from the Group's offshore software development centers and on-site expenses, which are categorized in relation to the associated efforts of the segment. Certain expenses such as depreciation and amortization, which form a significant component of total expenses, are not specifically allocable to specific segments as the underlying assets are used interchangeably. The management believes that it is not practical to provide segment disclosures relating to those costs and expenses, and accordingly these expenses are separately disclosed as \"unallocated\" and adjusted against the total income of the Group.\n\n \n\nAssets and liabilities used in the Group's business are not identified to any of the reportable segments, as these are used interchangeably between segments. Management believes that it is currently not practicable to provide segment disclosures relating to total assets and liabilities since a meaningful segregation of the available data is onerous.\n\nBusiness segment revenue information is collated based on individual customers invoiced or in relation to which the revenue is otherwise recognized.\n\nDisclosure of revenue by geographic locations is given in Note 2.11 Revenue from operations.\n\n \n\n2.21.1 Business segments\n\n \n\n(Dollars in millions)\n\nYear ended March 31, 2026\n\n \n\nFinancial Services(1)\n\n \n\nManufacturing\n\n \n\nEnergy, Utilities, Resources and Services\n\n \n\nRetail(2)\n\n \n\nCommunication(3)\n\n \n\nHi-Tech\n\n \n\nLife\nSciences(4)\n\n \n\nAll Other Segments(5)\n\n \n\nTotal\n\nRevenues\n\n \n\n5,631\n\n \n\n3,282\n\n \n\n2,688\n\n \n\n2,605\n\n \n\n2,455\n\n \n\n1,572\n\n \n\n1,383\n\n \n\n542\n\n \n\n20,158\n\nIdentifiable operating expenses\n\n \n\n3,149\n\n \n\n2,010\n\n \n\n1,505\n\n \n\n1,302\n\n \n\n1,570\n\n \n\n936\n\n \n\n864\n\n \n\n334\n\n \n\n11,670\n\nAllocated expenses\n\n \n\n1,055\n\n \n\n546\n\n \n\n508\n\n \n\n504\n\n \n\n451\n\n \n\n273\n\n \n\n243\n\n \n\n128\n\n \n\n3,708\n\nSegment profit\n\n \n\n1,427\n\n \n\n726\n\n \n\n675\n\n \n\n799\n\n \n\n434\n\n \n\n363\n\n \n\n276\n\n \n\n80\n\n \n\n4,780\n\nUnallocable expenses#\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n695\n\nOperating profit\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n4,085\n\nOther income, net (Refer to Note 2.16)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n468\n\nFinance cost (Refer to Note 2.8)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n47\n\nProfit before Income taxes\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n4,506\n\nIncome tax expense\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n1,190\n\nNet profit\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n3,316\n\nDepreciation and amortization\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n552\n\nNon-cash expenses other than depreciation and amortization\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n—\n\n \n\n(Dollars in millions)\n\nYear ended March 31, 2025\n\n \n\nFinancial Services(1)*\n\n \n\nManufacturing\n\n \n\nEnergy, Utilities, Resources and Services\n\n \n\nRetail(2)\n\n \n\nCommunication(3)\n\n \n\nHi-Tech\n\n \n\nLife\nSciences(4)\n\n \n\nAll Other Segments(5)\n\n \n\nTotal\n\nRevenues\n\n \n\n5,342\n\n \n\n2,980\n\n \n\n2,568\n\n \n\n2,609\n\n \n\n2,260\n\n \n\n1,548\n\n \n\n1,400\n\n \n\n570\n\n \n\n19,277\n\nIdentifiable operating expenses\n\n \n\n3,059\n\n \n\n1,911\n\n \n\n1,406\n\n \n\n1,293\n\n \n\n1,469\n\n \n\n897\n\n \n\n848\n\n \n\n354\n\n \n\n11,237\n\nAllocated expenses\n\n \n\n971\n\n \n\n495\n\n \n\n441\n\n \n\n472\n\n \n\n396\n\n \n\n270\n\n \n\n237\n\n \n\n118\n\n \n\n3,400\n\nSegment profit\n\n \n\n1,312\n\n \n\n574\n\n \n\n721\n\n \n\n844\n\n \n\n395\n\n \n\n381\n\n \n\n315\n\n \n\n98\n\n \n\n4,640\n\nUnallocable expenses\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n569\n\nOperating profit\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n4,071\n\nOther income, net (Refer to Note 2.16)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n425\n\nFinance cost (Refer to Note 2.8)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n49\n\nProfit before Income taxes\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n4,447\n\nIncome tax expense\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n1,285\n\nNet profit\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n3,162\n\nDepreciation and amortization\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n569\n\nNon-cash expenses other than depreciation and amortization\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n—\n\n \n\n \n\n(Dollars in millions)\n\nYear ended March 31, 2024\n\n \n\nFinancial Services(1)\n\n \n\nManufacturing\n\n \n\nEnergy, Utilities, Resources and Services\n\n \n\nRetail(2)\n\n \n\nCommunication(3)\n\n \n\nHi-Tech\n\n \n\nLife\nSciences(4)\n\n \n\nAll Other Segments(5)\n\n \n\nTotal\n\nRevenues\n\n \n\n5,093\n\n \n\n2,696\n\n \n\n2,417\n\n \n\n2,719\n\n \n\n2,173\n\n \n\n1,498\n\n \n\n1,391\n\n \n\n575\n\n \n\n18,562\n\nIdentifiable operating expenses\n\n \n\n2,993\n\n \n\n1,763\n\n \n\n1,309\n\n \n\n1,414\n\n \n\n1,337\n\n \n\n874\n\n \n\n811\n\n \n\n355\n\n \n\n10,856\n\nAllocated expenses\n\n \n\n973\n\n \n\n423\n\n \n\n444\n\n \n\n473\n\n \n\n391\n\n \n\n245\n\n \n\n230\n\n \n\n128\n\n \n\n3,307\n\nSegment profit\n\n \n\n1,127\n\n \n\n510\n\n \n\n664\n\n \n\n832\n\n \n\n445\n\n \n\n379\n\n \n\n350\n\n \n\n92\n\n \n\n4,399\n\nUnallocable expenses\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n565\n\nOperating profit\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n3,834\n\nOther income, net (Refer to Note 2.16)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n568\n\nFinance cost (Refer to Note 2.8)\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n56\n\nProfit before Income taxes\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n4,346\n\nIncome tax expense\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n1,177\n\nNet profit\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n3,169\n\nDepreciation and amortization\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n565\n\nNon-cash expenses other than depreciation and amortization\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n—\n\n \n\n \n\n(1)\nFinancial Services include enterprises in Financial Services and Insurance\n\n(2)\nRetail includes enterprises in Retail, Consumer Packaged Goods and Logistics\n\n(3)\nCommunication includes enterprises in Communication, Telecom OEM and Media\n\n(4)\nLife Sciences includes enterprises in Life sciences and Health care\n\n(5)\nOthers include operating segments of businesses in India, Japan, China, Infosys Public Services & identified enterprises in Public Services.\n\n \n\n# Unallocable expense includes impact of $ 143 million towards impact of Labour Codes for the year ended March 31, 2026 (Refer to note 2.13)\n\n* Includes impact on account of McCamish cybersecurity incident for the year ended March 31, 2025 (Refer to note 2.6.2).\n\n \n\n2.21.2 Significant clients\n\nNo client individually accounted for more than 10% of the revenues for fiscal 2026, 2025 and 2024."}