Infosys , one of India's leading IT services companies, has reported significant developments in its workforce compensation and financial performance for the fiscal year 2025 (FY25).

Rise in High-Earning Employees

The company witnessed a 9% increase in the number of employees earning over ₹1 crore annually, with the count reaching 112 in FY25. This rise in high-earning employees suggests Infosys' commitment to rewarding top talent and maintaining its competitive edge in the IT industry.

Improved Operating Margin

Infosys reported an improvement in its operating margin, which increased by 50 basis points to 21.10%. This enhancement in profitability demonstrates the company's ability to manage costs effectively while delivering value to its clients.

Employee Benefits and Headcount

The total employee benefits spending saw a 4% increase, rising to ₹85,950 crore. As of March 2025, Infosys maintained a substantial workforce with a headcount of 3.24 lakh employees.

Financial Performance

According to the latest income statement data:

The company's revenue for FY25 stood at ₹166,590.00 crore, marking a 5.18% increase from the previous year. Net profit also saw a modest growth of 1.91%, reaching ₹26,750.00 crore. The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) improved by 4.13% to ₹42,836.00 crore, indicating strong operational performance.

Earnings per share (EPS) for FY25 was reported at ₹64.50, showing a 1.75% increase year-over-year.

Operational Efficiency

Infosys demonstrated improved operational efficiency with its operating profit margin (OPM) for FY25 at 24.07%, a slight increase from 23.70% in the previous year. This improvement aligns with the reported 50 basis points increase in operating margin mentioned earlier.

The company's ability to enhance its margins while increasing employee benefits spending showcases its effective management of resources and operational costs.

In conclusion, Infosys' FY25 performance reflects a balanced approach to talent retention, operational efficiency, and financial growth, positioning the company well in the competitive IT services landscape.

Infosys , one of India's leading IT services companies, saw its shares climb 1.13% following a significant development in its tax proceedings. The company announced the closure of a substantial tax matter involving Rs 32,403 crore for the fiscal years 2018-19 to 2021-22.

Tax Proceedings Conclusion

The Director General of GST Intelligence (DGGI) has concluded the pre-show cause notice proceedings related to the tax matter. This development marks a crucial milestone for Infosys in resolving a major regulatory issue.

Company's Response

Infosys confirmed the closure of this tax matter through an official communication received from the DGGI. The resolution of such a significant tax issue is likely to be viewed positively by investors and market analysts.

Market Reaction

The market responded favorably to this news, with Infosys shares rising by 1.13%. This uptick reflects investor confidence in the company's ability to navigate and resolve complex regulatory challenges.

Implications

The conclusion of these tax proceedings, which involved a substantial amount of Rs 32,403.00 crore, is expected to provide more clarity on Infosys' financial position. It may also help in reducing regulatory uncertainty surrounding the company.

The closure of this matter demonstrates Infosys' commitment to addressing and resolving regulatory issues promptly, which is crucial for maintaining investor trust and ensuring smooth business operations in the highly regulated IT services sector.

As Infosys moves forward from this resolution, investors and industry observers will likely keep a close watch on how this development might impact the company's financial strategies and market performance in the coming quarters.