Infosys lowered its annual revenue growth outlook after Q1 results, triggering a 5% premarket decline in its shares.
Infosys reduced its fiscal year revenue growth forecast following weaker-than-expected first-quarter results. The company now expects growth of 1-3%, down from its earlier projection of 1-3.5%. Shares fell about 5% in premarket trading on Thursday.
The revision follows a quarter where revenue growth slowed to 1.3% year-over-year in constant currency terms. Analysts had anticipated a stronger performance, with consensus estimates closer to 2%. The company cited macroeconomic uncertainties and delayed client spending as key factors.
Infosys also announced Ashiss Kumar Dash as CEO designate, with current CEO Salil Parekh’s term ending in March 2025. Dash will assume the role after Parekh’s departure.