Revenue: $3.79bn | +4.2% QoQ / +4.8% YoY (CC). Services growth steady; no broad-based discretionary recovery.
• Margins: EBIT 18.6% (hit by restructuring + labor code). Underlying margin ~19.4%, structurally stable; restructuring to end by Q4.
• AI momentum: Advanced AI revenue +19.9%. Strong traction in AI-led app modernization, data lifecycle mgmt, ER&D, Physical AI & AI Factory.
• Deal flow: $3.0bn net new bookings; large AI-led transformation deals across retail, insurance, food majors. Discipline on deal profitability intact.
• Software: $425m revenue; QoQ spike due to seasonality + data intelligence demand. Actian, data governance, analytics gaining share.
• Cash & returns: Net cash $3.55bn; strong FCF conversion. ₹12 interim dividend; ~89% payout signals capital return focus.
• Outlook: AI “Day-1” enablement strong; enterprise-wide AI deployments slower but structural. Private data center refresh still early-stage.
View: Stable compounder with AI + engineering edge; growth visibility improving, margins protected, upside linked to scale-up of AI transformation spends.
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