The consolidated financial statements of the Company included in this Annual Report on Form 20-F have been prepared in accordance with IFRS as issued by IASB. The discussion, analysis and information presented in this section should be read in conjunction with our consolidated financial statements included herein and the notes thereto. OPERATING RESULTS This information is set forth under the caption entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” below and is incorporated herein by reference. LIQUIDITY AND CAPITAL RESOURCES This information is set forth under the caption entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” below and is incorporated herein by reference. RESEARCH AND DEVELOPMENT, PATENTS AND LICENSES, ETC. We have committed, and expect to continue to commit in the future, a portion of our resources to research and development. Efforts towards research and development are focused on refinement of methodologies, tools and techniques, implementation of metrics, improvement in estimation process and the adoption of new technologies. TREND INFORMATION This information is set forth under the caption entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” below and is incorporated herein by reference. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following discussion and analysis should be read in conjunction with our financial statements and related notes included elsewhere in this Annual Report on Form 20-F. This discussion and other parts of this Annual Report on Form 20-F contain forward-looking statements based upon current expectations that involve risks and uncertainties. Our actual results and the timing of selected events could differ materially from those anticipated in these forward-looking statements as a result of several factors, including those set forth under “Risk Factors” and elsewhere in this Annual Report on Form 20-F. Please also see “Special Note Regarding Forward-Looking Statements.” For a comparison of our results of operations for the fiscal years ended March 31, 2025, and 2024, see the section “Results for Fiscal 2025 compared to Fiscal 2024” under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of Item 5 in our Annual Report on Form 20-F for fiscal 2025, filed with the SEC on July 01, 2025, and incorporated herein by reference. Overview Infosys Limited 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. Our strategy is to be the navigator for our clients as they ideate, plan and execute on their journey to an AI-first future. Our vision is to build a globally respected organization delivering best-of-breed business solutions, leveraging technology, delivered by best-in-class people. We are guided by our value system which motivates our attitudes and actions. Our core values are Client Value, Leadership by Example, Integrity and Transparency, Fairness and Excellence (“C-LIFE”). Our strategic objective is to build a sustainable and resilient organization that remains relevant to the agenda of our clients, while creating growth opportunities for our employees, generating profitable returns for our investors and contributing to the communities that we operate in. Our clients and prospective clients are faced with transformative business opportunities powered by advances in software and computing technology, especially in AI. These organizations are dealing with the challenge of having to reinvent their core offerings, processes and systems rapidly and position themselves as “AI enabled”. Our strategy is to be a navigator for our clients as they ideate, plan and execute on their journey to an AI future by building strong data foundations with robust cloud capabilities. We are progressing well on our journey to leverage AI to deliver business value to our clients. At the same time, we are also cognizant of the need to build adequate safeguards around privacy, ethics, and controls through responsible AI practices, which we are trying to evangelize not only within the Group, but across the industry. Beginning in 2018, we embraced a four-pronged strategy to strengthen our relevance with clients and drive accelerated value creation: 1.Scale Agile Digital 2.Energize the core 3.Reskill our people 4.Expand localization The technology services industry has experienced several major shifts. The current AI transition, however, is different – not merely incremental, but transformational. Unlike prior waves centered on deterministic software and application-led modernization, AI compels a foundational redesign of enterprise systems, architectures, and operating models. AI‑native systems are built on probabilistic inference, continuous learning, and agent‑based execution. We aspire to be the leading partner to “unlock AI value” and deliver business outcomes on revenue growth, cost optimization and innovation. We have a two-pronged strategy for AI: AI first services – To capture new demand to drive growth and AI augmented services – To reinvent existing services to win higher wallet share. These are built on a strong foundation of platforms and intellectual property, ecosystem partnerships, talent base, and a strong brand. Our AI first services are inherently designed with AI as the core execution layer, enabling new business models, products, and revenue streams for our clients by embedding intelligence directly into enterprise operations and decision making. Our AI augmented services enhance our existing offerings by integrating AI into established systems and workflows, improving efficiency, personalization, and outcomes for our clients while preserving and extending the value of current investments. We unveiled our AI first value framework to help global enterprises unlock AI value at scale, harnessing the power of our industry-leading generative and agentic AI suite, Infosys Topaz. This move opens a new frontier in IT services and will enable the company to tap into an incremental AI first services opportunity of USD 300-400 billion by 2030 as per market estimates. Our AI‑first value framework is designed to support this journey, helping clients move beyond experimentation and responsibly scale AI as an integral component of their enterprise systems. The framework defines six value pools through which AI can deliver meaningful, sustainable business impact. These value pools are deeply interconnected, reflecting the complexity of real‑world enterprises and legacy environments. Together, they provide a structured and disciplined path to orchestrate data, technology, and operations at scale. Our primary geographic markets are North America, Europe, Rest of the World and India. We serve clients in financial services and insurance; retail, consumer packaged goods and logistics; communication, telecom OEM and media; energy, utilities, resource and services; manufacturing; hi-tech; life sciences and healthcare. There are numerous risks and challenges affecting the business. These risks and challenges are discussed in detail in the section entitled ‘Risk Factors’ and elsewhere in this Annual Report on Form 20-F. We were founded in 1981 and are headquartered in Bengaluru, India. We completed our initial public offering of equity shares in India in 1993 and our initial public offering of ADSs in the United States in 1999. We completed three sponsored secondary ADS offerings in the United States in August 2003, June 2005 and November 2006. We did not receive any of the proceeds from any of our sponsored secondary offerings. ESG Vision and Ambitions In October 2020, we launched our ESG Vision 2030 to ‘shape and share solutions that serve the development of businesses and communities.’ Our vision continues to reflect our commitment to responsible business. In fiscal 2025, at the mid-point of our journey towards our 2030 goals, we had an opportunity to refresh our ESG ambitions and launch our ESG Vision 2030 Refresh, to address the changing priorities of our stakeholders. We continue to be carbon neutral across our global operations, for the seventh consecutive year. Our ESG Vision 2030 Refresh articulates our ambition to become climate positive in 2030 by implementing initiatives across Scope 1, 2 and 3 to reduce our carbon footprint and sequester more carbon from the atmosphere than our emissions, thereby going beyond net zero, engaging clients on climate action through our solutions, maintaining 100% recycling of waste water, implementing initiatives to sequester more water than we consume year-on-year and ensuring zero waste to landfill. Further, our digital skilling programs aim to empower more than 18 million people and enable employment opportunities for more than 500,000 people. Our commitment to transform and create sustainable communities through new Tech for Good initiatives, CSR efforts, including employee volunteering, healthcare and women’s empowerment is designed to amplify communities. We remain focused on facilitating best-in-class employee experience and be recognized among the best employers in our key operating regions. We will continue to bring the interests of all stakeholders to the fore through an empowered, diverse and inclusive board while we shape and embrace leading data privacy standards and be recognized as an industry leader in our information security practices. Industry structure and developments Fiscal 2026 saw lower interest rates and stable economic sentiment but policy changes and geopolitical uncertainties weighed on the tech services industry. This was a year of subdued growth with pockets of economic green shoots that have kept technology-led growth active. Radical transformation in technology led by AI is shifting the dynamics of discretionary spending and mounting pressure on traditional IT services. Global GDP growth remained flat at 3.3% in CY 2025(1). During the same period, the IT services contracted by 10 bps, growing at 4.6% (2). We expect client spending and investments to continue to move towards AI in the near term. These investments are expected to be crucial during this period of economic uncertainty. We saw AI reshaping the industry in fiscal 2026. We continued to witness businesses attempting to reimagine their cost structures, increase business resilience and agility, personalize experiences for customers and employees, and launch new and disruptive products and services, aided by enterprise AI. With our early lead in AI, we believe we are well-positioned to take advantage of these market opportunities. (1) NASSCOM Annual Strategic review, 2026 (2) IDC - Technology Spend Forecast Results of Operations The following table illustrates our compounded annual growth rate in revenues, net profit, earnings per equity share and number of employees from fiscal 2022 to fiscal 2026: (Dollars in millions except per share and employee data) Fiscal 2026 Fiscal 2022 Compounded annual growth rate Revenues 20,158 16,311 5.4 % Operating profit 4,085 3,755 2.1 % Net profit 3,316 2,968 2.8 % Net profit attributable to Owners of the company 3,313 2,963 2.8 % Earnings per equity share (Basic) 0.81 0.70 3.6 % Earnings per equity share (Diluted) 0.80 0.70 3.5 % Number of employees at the end of the fiscal year 328,594 314,015 1.1 % Non IFRS - Other Financial Information(1) Adjusted Operating Profit 4,228 3,755 3.0 % (1) The adjusted non-IFRS measures exclude the effect of, the provisions of The Labour Codes notified by The Government of India on November 21, 2025 which resulted in an increase in gratuity liability, a defined benefit plan (arising out of past service cost relating to plan amendments) and compensated absences by $143 million, which is recognized in the Consolidated Statement of Comprehensive Income in fiscal 2026. (Refer to section Adjusted Operating profit and Reconciliation of reported operating profit to adjusted operating profit (Non-IFRS financial measures) for further details). The following table sets forth certain financial information as a percentage of revenues: (in %) Fiscal 2026 Fiscal 2025 Fiscal 2024 Revenues 100.0 100.0 100.0 Cost of sales 69.8 69.5 69.9 Gross margin 30.2 30.5 30.1 Operating expenses: Selling and marketing expenses 5.1 4.7 4.5 Administrative expenses 4.8 4.7 4.9 Total operating expenses 9.9 9.4 9.4 Reported Operating margin 20.3 21.1 20.7 Other income, net 2.3 2.2 3.0 Finance cost (0.2 ) (0.2 ) (0.3 ) Profit before income taxes 22.4 23.1 23.4 Income tax expense 5.9 6.7 6.3 Net margin 16.5 16.4 17.1 Non-controlling interests — — — Net margin attributable to owners of the company 16.5 16.4 17.1 Non IFRS - Other Financial Information (1) Adjusted Operating Margin 21.0 21.1 20.7 (1) Excludes the effect of Labour Codes (Refer to section Adjusted Operating profit and Reconciliation of reported operating profit to adjusted operating profit (Non-IFRS financial measures) for further details) Results for Fiscal 2026 compared to Fiscal 2025 During fiscal 2026, the Company continued running Project Maximus, a comprehensive margin expansion program structured across 5 pillars: •Value Based Selling - A focused strategy to identify opportunities to align pricing to the value clients received for the services we provide to them. •Efficient Pyramid - Bringing in efficiencies to reduce effort costs by improving utilization, reducing sub-contractors, improving role mix, location mix, etc. •Lean, Automation & Gen AI - Strategic initiative to combine productivity and process improvement using automation technologies including Generative AI to enhance efficiency. •Improving key portfolios - A targeted approach to improve margins on large client engagements and service lines. •Optimization of indirect costs - Investing in strategic areas like talent, AI and sales & marketing using the saving from Project Maximus. Non-IFRS measure •We use IFRS and non-IFRS financial measures for financial and operational decision-making, including evaluating period-to-period performance and for making comparisons of our operating results to those of our competitors. In particular we use revenue growth in constant currency and adjusted operating margin as non-IFRS financial performance measures to supplement our IFRS reported financial information. These non-IFRS financial measures should not be considered in isolation or as a substitute for the most directly comparable IFRS measures and should be read alongside information presented on a reported IFRS basis. We believe that these adjustments better reflect the Company's core performance across periods and provide useful supplemental information to management and investors regarding financial and business trends affecting our financial condition and results of operations. •We report revenue growth both in reported currency terms and in constant currency terms. Revenue growth in reported currency includes the impact of currency fluctuations. We, therefore, additionally report the revenue growth in constant currency terms which represents the growth in revenue excluding the impact of currency fluctuations. We calculate constant currency growth by comparing current period revenues in respective local currencies converted to US-$ using prior period exchange rates and comparing the same to our prior period reported revenues. Refer to the section on Revenue for further details. •We calculate adjusted (non-IFRS) operating margin which excludes the effect of the provisions of The Labour Codes notified by The Government of India on November 21, 2025, in gratuity liability, a defined benefit plan (arising out of past service costs relating to plan amendments) and compensated absences. Refer to the section on Operating profit for reconciliation of reported IFRS financial measures to adjusted non-IFRS financial measures. Revenues Our revenues are generated principally from services provided either on a time-and-material, unit of work, fixed-price, or fixed-timeframe basis. Many of our client contracts, including those that are on a fixed-price, fixed-timeframe basis can be terminated by clients with or without cause and with short notice periods of 0 to 90 days. Generally, we collect revenues as milestones in the contracts are completed, therefore terminated contracts are only subject to collection for portions of the contract completed through the time of termination. In order to manage and anticipate the risk of early or abrupt contract terminations, we monitor the progress of contracts and change orders according to their characteristics and the circumstances in which they occur. This includes a review of our ability and our client’s ability to perform on the contract, a review of extraordinary conditions that may lead to a contract termination and a review of the historical client performance considerations. Since we also bear the risk of cost overruns and inflation with respect to fixed-price, fixed-timeframe projects, our operating results could be adversely affected by inaccurate estimates of contract completion costs and dates, including wage inflation rates and currency exchange rates that may affect cost projections. Although we revise our project completion estimates from time to time, such revisions have not, to date, had a material adverse effect on our operating results or financial condition. We experience from time to time, pricing pressure from our clients. For example, clients often expect that as we do more business with them, they will receive volume discounts. Additionally, clients may ask for fixed-price, fixed-timeframe arrangements, or reduced rates. We attempt to use fixed-price arrangements for engagements where the specifications are complete. The following table sets forth the growth in our revenues in fiscal 2026 from fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Percentage Change Revenues 20,158 19,277 881 4.6 % Revenue growth in fiscal 2026 was primarily attributable to an increase in realization due to role mix, improved pricing and productivity, incremental revenue from acquired companies and favorable foreign currency translation. Refer to the “Our Strategy” section under Item 4 of this Annual Report on Form 20-F for further details. The following table sets forth our revenues by business segments for fiscal 2026 and fiscal 2025: Business Segments Percentage of Revenues Fiscal 2026 Fiscal 2025 Financial Services 27.9 % 27.7 % Manufacturing 16.3 % 15.5 % Energy, Utilities, Resources and Services 13.3 % 13.3 % Retail 12.9 % 13.5 % Communication 12.2 % 11.7 % Hi-Tech 7.8 % 8.0 % Life Sciences 6.9 % 7.3 % All other segments 2.7 % 3.0 % There were significant currency movements during fiscal 2026 as compared to fiscal 2025. The U.S. dollar depreciated by 4.7% against the United Kingdom Pound Sterling, 8.4% against the Euro and 1.5% against the Australian Dollar. Constant Currency (Non-IFRS measure): Revenue growth in reported currency includes the impact of currency fluctuations. We, therefore, additionally report the revenue growth in constant currency terms which represents the growth in revenue excluding the impact of currency fluctuations. Our revenues in reported currency terms for fiscal 2026 was $20,158 million, a growth of 4.6% in comparison to fiscal 2025. As against this, our revenues in constant currency terms for fiscal 2026 grew by 3.1% in comparison to fiscal 2025. The following table sets forth our business segment profit (revenues less identifiable operating expenses and allocated expenses) as a percentage of business segment revenues for fiscal 2026 and fiscal 2025 (see Note 2.21.1, under Item 18 of this Annual Report on Form 20-F for additional information): Business Segments Business segment profit % Fiscal 2026 Fiscal 2025 Financial Services 25.3 % 24.6 % Manufacturing 22.1 % 19.3 % Energy, Utilities, Resources and Services 25.1 % 28.1 % Retail 30.7 % 32.3 % Communication 17.7 % 17.5 % Hi-Tech 23.1 % 24.6 % Life Sciences 20.0 % 22.5 % All other segments 14.8 % 17.2 % Overall segment profitability has decreased primarily on account of lower utilization, investment in talent, AI, sales and marketing which was partially offset by benefits arising from increased realization through pricing and productivity, improved onsite mix and foreign currency translation. Manufacturing service profitability was higher in fiscal 2026 mainly on account of improved margins in large deals and higher realization. Energy, Utilities, Resources and Services profitability was lower in fiscal 2026 mainly on account of acquisition related impact and higher subcontractor cost. Life sciences profitability was lower in fiscal 2026 mainly due to ramp up and transition costs of large deals and revenues decline. Large deals typically have lower margins in the initial deal period on account of transition and higher onsite mix. We typically assume full project management responsibility for each project that we undertake. We divide projects into components that we execute simultaneously at client sites and our Development Centers located outside India (‘onsite’) and at our Global Development Centers in India (‘offshore’). The proportion of work performed at our facilities and at client sites varies from period-to-period. We charge higher rates and incur higher compensation and other expenses for work performed onsite. The services performed onsite typically generate higher revenues per-capita, but at lower gross margins in percentage as compared to the services performed at our own facilities in India. As a result, our total revenues, cost of sales and gross profit in absolute terms and as a percentage of revenues fluctuate from period-to-period. The table below sets forth details of efforts expended for onsite and offshore on our IT services professionals for fiscal 2026 and fiscal 2025: Fiscal 2026 Fiscal 2025 Onsite effort 23.2 % 23.9 % Offshore effort 76.8 % 76.1 % Revenues from software services including BPM services represented 95.2% and 95.3% of total revenues for fiscal 2026 and fiscal 2025, respectively. We also generate revenues from products and platforms, which represented 4.8% and 4.7% of our total revenues for fiscal 2026 and fiscal 2025, respectively. The percentage of revenues from fixed price contracts for each of fiscal 2026 and fiscal 2025 was 54% (in both the fiscal periods) respectively. Revenues and gross profits are also affected by employee utilization rates. We define employee utilization for IT services as the proportion of total billed person months to total available person months, excluding sales, administrative and support personnel. We manage utilization by monitoring project requirements and timetables. The number of technology professionals that we assign to a project varies according to the size, complexity, duration, and demands of the project. An unanticipated termination of a significant project could also cause lower utilization. In addition, we do not utilize our technology professionals when they are enrolled in training programs, particularly during our training course for new employees. The following table sets forth the utilization rates of billable IT services professionals: Fiscal 2026 Fiscal 2025 Including trainees 81.1 % 83.4 % Excluding trainees 84.4 % 85.5 % The following table sets forth our revenues by geography for fiscal 2026 and fiscal 2025: Geography Percentage of revenues Fiscal 2026 Fiscal 2025 North America 56.1 % 57.9 % Europe 32.1 % 29.8 % Rest of the World 8.9 % 9.2 % India 2.9 % 3.1 % Cost of sales The following table sets forth our cost of sales for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Percentage Change Cost of sales 14,079 13,405 674 5.0 % As a percentage of revenues 69.8 % 69.5 % (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Employee benefit costs 9,739 9,151 588 Depreciation and amortization 552 569 (17 ) Travelling costs 150 149 1 Cost of technical sub-contractors 1,740 1,530 210 Cost of Software packages for own use 301 278 23 Third party items bought for service delivery to clients 1,452 1,589 (137 ) Consultancy and professional charges 4 11 (7 ) Communication costs 35 34 1 Provision for post-sales client support (19 ) (13 ) (6 ) Repairs and maintenance 70 59 11 Other expenses 55 48 7 Total cost of sales 14,079 13,405 674 The cost of sales has increased as a percentage of revenues by 0.3% during fiscal 2026 from fiscal 2025, mainly on account of an increase in cost of efforts (comprising of employee and technical subcontractors cost) as a percentage of revenues partially offset by an decrease in third party items bought for service delivery to clients. The cost of efforts as a percentage of revenues has increased mainly on account of a compensation increase, impact of Labour Codes, reduction in utilization, and higher use of sub-contractors partially offset by an improvement in offshore mix. On November 21, 2025, the Government of India notified Labour Codes. This has resulted in increase in gratuity liability, a defined benefit plan arising out of past service cost relating to plan amendments and increase in compensated absences by $134 million (i.e 0.6% of revenues and 1% of total Cost of Sales) which is recognized in fiscal 2026. Third party items bought for service delivery to clients include software and hardware which are integral to our overall service delivery to clients. Gross profit The following table sets forth our gross profit for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Gross profit 6,079 5,872 207 As a percentage of revenues 30.2 % 30.5 % The gross margins for fiscal 2026 declined due to increase in cost of sales as a percentage of revenues (as explained above). Selling and marketing expenses The following table sets forth our selling and marketing expenses for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Percentage Change Selling and marketing expenses 1,025 898 127 14.1 % As a percentage of revenues 5.1 % 4.7 % (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Employee benefit costs 766 677 89 Travelling costs 56 48 8 Branding and marketing 152 144 8 Consultancy and professional charges 32 19 13 Communication costs 2 1 1 Other expenses 17 9 8 Total selling and marketing expenses 1,025 898 127 The selling and marketing expenses have increased as a percentage of revenues by 0.4% during fiscal 2026 from fiscal 2025, primarily due to compensation increases and increase in headcount. On November 21, 2025, the Government of India notified Labour Codes. This has resulted in increase in gratuity liability, a defined benefit plan arising out of past service cost relating to plan amendments and increase in compensated absences by $1 million (i.e 0.1% of total Selling and marketing expenses) which is recognized in employee benefit cost in fiscal 2026. Administrative expenses The following table sets forth our administrative expenses for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Percentage Change Administrative expenses 969 903 66 7.3 % As a percentage of revenues 4.8 % 4.7 % (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Employee benefit costs 377 337 40 Consultancy and professional charges 200 167 33 Repairs and maintenance 129 123 6 Power and fuel 25 26 (1 ) Communication costs 32 38 (6 ) Travelling costs 31 27 4 Rates and taxes 35 41 (6 ) Insurance charges 37 35 2 Impairment loss recognized/(reversed) on financial assets 4 6 (2 ) Commission to non-whole-time directors 2 2 — Contribution towards Corporate Social Responsibility (CSR) 70 69 1 Other expenses 27 32 (5 ) Total administrative expenses 969 903 66 There are no material movements in administrative expenses as percentage of revenues in fiscal 2026 as compared to fiscal 2025. On November 21, 2025, the Government of India notified Labour Codes. This has resulted in increase in gratuity liability, a defined benefit plan arising out of past service cost relating to plan amendments and increase in compensated absences by $8 million (i.e 0.8% of total Administrative expenses) which is recognized in employee benefit cost in fiscal 2026. In accordance with the requirements of the Indian Companies Act, 2013, $70 million and $69 million, were contributed towards Corporate Social Responsibility during fiscal 2026 and fiscal 2025, respectively. Operating profit The following table sets forth our operating profit for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Reported Operating profit 4,085 4,071 14 As a percentage of revenues 20.3 % 21.1 % The decrease in reported operating profit as a percentage of revenues for fiscal 2026 from fiscal 2025 was primarily attributable to an increase in cost of sales by 0.3%, selling and marketing expense by 0.4% and administrative expense by 0.1% as a percentage of revenues. The impact of Labour Codes on reported operating profit is $143 million (i.e 0.7% of revenues). Adjusted Operating Profit (Non -IFRS measures): Additionally, we calculate adjusted (non-IFRS) operating profit which excludes the effect of the provisions of The Labour Codes as notified by The Government of India on November 21, 2025. (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Adjusted Operating profit 4,228 4,071 157 As a percentage of revenues 21.0% 21.1% Reconciliation of reported operating profit to adjusted operating profit (Non-IFRS financial measures) : (Dollars in millions) Fiscal 2026 Operating Profit Fiscal 2026 Operating Margin (%) Fiscal 2025 Operating Profit Fiscal 2025 Operating Margin (%) Reported IFRS 4,085 20.3 4,071 21.1 Adjustments for Impact of Labour Codes (1) 143 0.7 — - Adjusted Non-IFRS 4,228 21.0 4,071 21.1 (1) On 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, (“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 introduces 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 increase in gratuity liability, a defined benefit plan arising out of past service cost relating to plan amendments and increase in compensated absences by $143 million which is recognized in the Consolidated Statement of Comprehensive Income for the year ended March 31, 2026. We are using non-IFRS financial performance measures to supplement the financial information reported on an IFRS basis. These non-IFRS financial measures should not be considered in isolation or as a substitute for the relevant IFRS measures and should be read in conjunction with information presented on a reported IFRS basis. We believe these adjustments are necessary to reflect the Company's core performance across periods and provide useful supplemental information to management and investors regarding financial and business trends affecting our financial condition and results of operations. Other income and Finance cost The following table sets forth our other income and finance cost for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Percentage Change Other income, net 468 425 43 10.1 % Finance cost 47 49 (2 ) (4.1 )% Other income for fiscal 2026 primarily includes interest income from investments of $305 million, interest on income tax refund of $46 million, gain on investment of $44 million, foreign exchange gain of $330 million on translation of foreign currency assets and liabilities and foreign exchange loss of $274 million on forward and option contracts. Income tax refund for fiscal 2026, includes interest (pre-tax) on income tax refund of $41 million recognized by the Company based on orders received under section 250 of the Income Tax Act, 1961, from the Income Tax Authorities in India for the assessment years, 2013-14 and 2017-18 to 2021-22. Other income for fiscal 2025 primarily includes interest income from investments of $304 million, interest on income tax refund of $41 million, gain on investment of $34 million, foreign exchange gain of $55 million on translation of foreign currency assets and liabilities and foreign exchange loss of $24 million on forward and option contracts. Income tax refund for fiscal 2025, includes interest (pre-tax) on income tax refund of $38 million recognized by the Company based on orders received 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. Finance cost is primarily on account of leases. 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. Functional currency, presentation currency and foreign exchange The functional currency of Infosys, its Indian subsidiaries and controlled trusts is the Indian rupee. The functional currencies for all the other subsidiaries are the respective local currencies. The consolidated financial statements included in this Annual Report on Form 20-F 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. The translation of functional currencies of foreign subsidiaries to U.S. dollars is performed for assets and liabilities using the exchange rate at the Balance Sheet date, and for revenues, expenses and cash flow items using a average exchange rate for the respective periods. The gains or losses resulting from such translation are included in other comprehensive income and presented as currency translation reserves under other components of equity. Generally, Indian law requires residents of India to repatriate any foreign currency earnings to India to control the exchange of foreign currency. More specifically, Section 8 of the Foreign Exchange Management Act, or FEMA, requires an Indian company to take all reasonable steps to realize and repatriate into India all foreign currency earned by the company outside India, within such time periods and in the manner specified by the RBI. The RBI has promulgated guidelines that require the company to repatriate any realized foreign currency back to a foreign currency account such as an Exchange Earners Foreign Currency, or EEFC account with an authorized dealer in India, subject to the condition that the sum total of the accruals in the account during a calendar month should be converted into rupees on or before the last day of the succeeding calendar month, after adjusting for utilization of the balances for approved purposes or forward commitments. We generally collect our earnings denominated in foreign currencies using a dedicated foreign currency account located in the local country of operation. In order to do this, we are required to obtain, and have obtained, approval from an authorized dealer, on behalf of the RBI, to maintain a foreign currency account in overseas countries. Our failure to comply with RBI regulations could result in RBI enforcement actions against us. We generate substantially all our revenues in foreign currencies, particularly the U.S. dollar, the Euro, the United Kingdom Pound Sterling, and the Australian dollar, whereas we incur a significant portion of our expenses in U.S. dollar and Indian rupees. The exchange rate between the Indian rupee and the U.S. dollar has changed substantially in recent years and may fluctuate substantially in the future. Consequently, the results of our operations may be adversely affected as the Indian rupee appreciates against the U.S. dollar. Foreign exchange gains and losses arise from the depreciation and appreciation of the Indian rupee against other currencies in which we transact business and from foreign exchange forward and option contracts. The following table sets forth the currencies in which our revenues for fiscal 2026 and fiscal 2025 were denominated: Currency Percentage of Revenues Fiscal 2026 Fiscal 2025 U.S. dollar 62.9 % 64.2 % Euro 17.4 % 16.8 % Australian dollar 4.6 % 4.6 % United Kingdom Pound Sterling 4.5 % 3.8 % Others 10.6 % 10.6 % The following table sets forth information on the foreign exchange rates in rupees per U.S. dollar, United Kingdom Pound Sterling, Euro and Australian dollar for fiscal 2026 and fiscal 2025: Fiscal 2026 (₹) Fiscal 2025 (₹) Appreciation / (Depreciation) of Indian Rupee in percentage Average exchange rate during the period: U.S. dollar 88.57 84.56 (4.7 )% Euro 102.89 90.75 (13.4 )% Australian dollar 58.85 55.07 (6.9 )% United Kingdom Pound Sterling 118.85 108.06 (10.0 )% Fiscal 2026 (₹) Fiscal 2025 (₹) Exchange rate at the beginning of the period: (a) U.S. dollar 85.48 83.41 Euro 92.09 89.88 Australian dollar 53.81 54.11 United Kingdom Pound Sterling 110.70 105.03 Exchange rate at the end of the period: (b) U.S. dollar 94.84 85.48 Euro 109.00 92.09 Australian dollar 65.02 53.81 United Kingdom Pound Sterling 125.51 110.70 Appreciation / (Depreciation) of the Indian rupee against the relevant currency: ((b) / (a) - as a percentage) U.S. dollar (10.9 )% (2.5 )% Euro (18.4 )% (2.5 )% Australian dollar (20.8 )% 0.6 % United Kingdom Pound Sterling (13.4 )% (5.4 )% The following table sets forth information on the foreign exchange rates in U.S. dollar per United Kingdom Pound Sterling, Euro and Australian dollar for fiscal 2026 and fiscal 2025: Fiscal 2026 ($) Fiscal 2025 ($) Appreciation / (Depreciation) of US dollar in percentage Average exchange rate during the period: Euro 1.16 1.07 (8.4 )% Australian dollar 0.66 0.65 (1.5 )% United Kingdom Pound Sterling 1.34 1.28 (4.7 )% Fiscal 2026 ($) Fiscal 2025 ($) Exchange rate at the beginning of the period: (a) Euro 1.08 1.08 Australian dollars 0.63 0.65 United Kingdom Pound Sterling 1.30 1.26 Exchange rate at the end of the period: (b) Euro 1.15 1.08 Australian dollar 0.69 0.63 United Kingdom Pound Sterling 1.32 1.30 Appreciation / (Depreciation) of U.S. dollar against the relevant currency: ((b) / (a) - as a percentage) Euro (6.5 )% 0.0 % Australian dollar (9.5 )% 3.1 % United Kingdom Pound Sterling (1.5 )% (3.2 )% Depreciation of the Indian rupee against U.S. dollar or other currencies affects our margins positively, whereas appreciation in the Indian rupee against U.S. dollar or other currencies affects our margins negatively. The exchange rate between the Indian rupee, other currencies and the U.S. dollar has fluctuated substantially in recent years and may continue to do so in the future. We are unable to predict the impact that future fluctuations may have on our operating margins. For more discussion on our foreign exchange exposure, see Item 3 in the section titled “Risk Factors – Risks Related to Our Cost Structure – Currency fluctuations and changes in interest rates may affect the results of our operations and yield on cash balances” in this Annual Report on Form 20-F. We recorded a foreign exchange loss of $274 million and $24 million for fiscal 2026 and fiscal 2025, respectively, on account of foreign exchange forward and option contracts and a foreign exchange gain of $330 million and $55 million on translation of foreign currency assets and liabilities for fiscal 2026 and fiscal 2025, respectively. Income tax expense Our profits earned from providing software development and other services outside India are subject to tax in the country where we perform the work. Most of our taxes paid in countries other than India can be claimed as a credit against our tax liability in India. We, being a resident company in India as per the provisions of the Income Tax Act, 1961, are required to pay taxes in India on the global income in accordance with the provisions of Section 5 of the Indian Income Tax Act, 1961, which is reflected as domestic taxes. The geographical disclosures on revenues in Note 2.11 of Item 18 of this Annual Report on Form 20-F are based on the domicile of customers and do not reflect the geographies where the actual delivery or revenues-related efforts occur. The income on which domestic taxes are imposed are not restricted to the income generated from the “India” geography. As such, amounts applicable to domestic income taxes and foreign income taxes will not necessarily correlate to the proportion of revenues generated from India and other geographical segments. The applicable Indian Corporate statutory tax rate for fiscal 2026 and fiscal 2025 was 25.17% respectively. Taxation Laws (Amendment) Act, 2019 has introduced section 115BAA wherein a domestic company can exercise option for a reduced rate of corporate tax without claim of certain deductions mentioned therein including deduction for SEZ units under section 10AA of the Income Tax Act. From fiscal 2025, the income tax expense of the Company 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. In India, we had benefited from certain tax incentives that the Government of India had provided for the export of services from the SEZ units registered under the Special Economics Zones (“SEZs”) Act, 2005 in the prior years. SEZ units who began to provide services on or after April 1, 2005, were 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 the five years thereafter. Up to 50% of such profits or gains were also available for a further five years subject to creation of a Special Economic Zone Re-Investment Reserve out of the 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. In the event, the Company is not able to utilize the SEZ reserve for investment in plant and machinery within the timeline specified under the Income Tax Act, Company will have to pay tax on the unutilized reserve following the expiry of year specified. This would result in an increase in effective tax cost. For fiscal 2026 and 2025, the income tax expense of the Company 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. See Note 2.18, Income Taxes, under Item 18 of this Annual Report on Form 20-F for reconciliation of the income tax provision to the amount computed by applying the statutory income tax rate to the income before income taxes. The following table sets forth our income tax expense and effective tax rate for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Percentage Change Income tax expense 1,190 1,285 (95 ) (7.4 )% Effective tax rate 26.4 % 28.9 % Effective tax rate is generally influenced by various factors including differential tax rates, non-deductible expenses, exempt non-operating income, overseas taxes, tax reversals and provisions pertaining to prior periods, changes to tax regulations and other tax deductions. Our effective tax rate in fiscal 2026 was lower primarily on account of reversal of tax provision due to receipt of order giving effects received in fiscal 2026 for prior assessment years resulting in reduction in effective tax rate. Income tax expense for fiscal 2026 includes reversals (net of provisions) of $93 million. For fiscal 2026, the tax provisions comprised of reversal of provisions of $152 million made in earlier periods offset by additional tax provision of $59 million pertaining to prior periods. During fiscal 2026, 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, 2013-14 and 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 along with the corresponding tax impact was recognized. Further a provision for income tax aggregating $93 million was reversed with a corresponding credit to the Statement of Comprehensive Income. An amount aggregating to $9 million has been reduced from contingent liabilities towards these matters Income tax expense for fiscal 2025 includes provision (net of reversal) $16 million. For fiscal 2025, the tax provisions comprise of additional provision of $86 million pertaining to prior periods offset by reversal of tax provision of $70 million made in earlier periods. During fiscal 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 the corresponding tax impact was recognized. Further a provision for income tax aggregating $21 million was reversed with a corresponding credit to the Statement of Comprehensive Income. Also, an amount aggregating to $125 million has been reduced from contingent liabilities. These reversals and provisions 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. As of March 31, 2026, claims against the Group not acknowledged as debts from the Income tax authorities amounted to $207 million (₹1,964 crore). As of March 31, 2025, claims against the Group not acknowledged as debts from the Income tax authorities amounted to $226 million (₹1,933 crore). The 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. The amount paid against the tax claims has reduced in fiscal 2026 compared to fiscal 2025 primarily on account of income tax refund received. The 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 and payments made to Associated Enterprises held as liable for withholding of taxes, among other issues. These matters are pending before various Income Tax Authorities. The Group’s 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. The 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. Net profit The following table sets forth our net profit for fiscal 2026 and fiscal 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Change Net profit 3,316 3,162 154 As a percentage of revenues 16.5 % 16.4 % The increase in net profit as a percentage of revenues for fiscal 2026 as compared to fiscal 2025 was primarily attributable to a decrease in tax expense as a percentage of revenues by 0.8%, which was partially offset by an increase in selling and marketing expense as a percentage of revenues by 0.4% and an increase in cost of sales as a percentage of revenues by 0.3%. Sensitivity analysis for defined benefit plans for Fiscal 2026 over Fiscal 2025 We provide for gratuity, a defined benefit retirement plan (Gratuity Plan) covering eligible employees. 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. The following table sets forth the defined benefit obligation and fair value of plan assets as of March 31, 2026, and March 31, 2025 pertaining to our defined benefit gratuity plan: (Dollars in millions) As of March 31, 2026 March 31, 2025 Benefit obligation at the end 433 294 Fair Value of plan assets at the end 444 319 Funded Status – Net defined benefit plan asset /(liability) 11 25 We also operate defined benefit pension plans in certain overseas jurisdictions, in accordance with local laws. 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. The following table sets forth the defined benefit obligation and fair value of plan assets as of March 31, 2026, and March 31, 2025, pertaining to our overseas pension plan: (Dollars in millions) As of March 31, 2026 March 31, 2025 Benefit obligation at the end 197 138 Fair Value of plan assets at the end 190 133 Funded Status – (Net accrued defined benefit plan liability) (7 ) (5 ) Further, we also provide for provident fund to eligible employees of Infosys, which is a defined benefit plan as 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. The following table sets forth the defined benefit obligation and fair value of plan assets as of March 31, 2026, and March 31, 2025, pertaining to our defined benefit provident fund plan: (Dollars in millions) As of March 31, 2026 March 31, 2025 Benefit obligation at the end 1,697 1,622 Fair Value of plan assets at the end 1,659 1,629 Funded Status – surplus /(deficit) (38 ) 7 Irrecoverable surplus - effect of asset ceiling - (7 ) Net defined benefit asset/ (liability) (38 ) - See Note 2.14.1, Gratuity and pensions, and 2.14.3 Provident Fund under Item 18 of this Annual Report on Form 20-F for disclosures on assumptions used, basis of determination of assumptions and sensitivity analysis for significant actuarial assumptions. Liquidity and capital resources Our principal sources of liquidity are cash and cash equivalents, investments, and the cash flow that we generate from operations. We have no outstanding borrowings. We believe that our working capital is sufficient to meet our current requirements. As of March 31, 2026 and 2025, we had $5,396 million and $6,347 million, respectively, in working capital. The working capital as of March 31, 2026, includes $2,341 million in cash and cash equivalents and $1,365 million in current investments. The working capital as of March 31, 2025 includes $2,861 million in cash and cash equivalents and $1,460 million in current investments. We believe that a sustained reduction in IT spending by clients, a longer sales cycle, or a continued economic downturn in any of the various geographic locations or business segments in which we operate, could result in a decline in our revenues and negatively impact our liquidity and cash resources. Our cash and cash equivalents are comprised of deposits with banks and financial institutions with high credit-ratings assigned by international and domestic credit-rating agencies which can be withdrawn at any point of time without prior notice or penalty on principal. Cash and cash equivalents are majorly held in Indian Rupees. These cash and cash equivalents included a restricted cash balance of $44 million and $50 million as of March 31, 2026 and 2025, respectively. These restrictions are primarily on account of bank balances held by irrevocable trusts controlled by us. Our investments comprise of mutual fund units, Target maturity fund units and quoted debt securities (including investment in non-convertible debentures), certificates of deposit, commercial paper and government securities. Certificates of deposit and commercial papers represent marketable securities of banks, Non-Banking Financial Companies and eligible financial institutions for a specified time period with high credit rating by domestic credit rating agencies. Investments made in non-convertible debentures represent debt instruments issued by government aided institutions and financial institutions with high credit rating. A significant portion of our investments, along with our cash and cash equivalents, are fully liquid at any point in time. In addition, our investments are well-diversified in terms of their maturities as well as from a counter-party perspective. Thus, we do not perceive any liquidity risk from our investment portfolio perspective. The following table sets forth our cash flows for fiscal 2026 and 2025: (Dollars in millions) Fiscal 2026 Fiscal 2025 Net cash provided by operating activities 4,039 4,351 Net cash provided by / (used) in investing activities 10 (361 ) Net cash (used) in financing activities (4,485 ) (2,875 ) Net cash provided by operating activities: Our cash flows are robust. Our operating cash flows have decreased by $312 million in fiscal 2026 primarily on account of higher income tax refunds received during fiscal 2025, higher outflow on working capital and partially offset by an increase in net profits adjusted for non-cash items. Trade receivables as a percentage of last 12 months’ revenues were 18.4% and 18.9% as of March 31, 2026, and 2025, respectively. Days Sales Outstanding (DSO) based on last 12 months’ revenues were 67 days and 69 days as of March 31, 2026, and 2025, respectively. Days Sales Outstanding has decreased in the current year due to robust collection. In fiscal 2026, income tax paid under protest, consequent to demand from tax authorities in major tax jurisdictions was $11 million, relating to fiscal 2018, fiscal 2019 and fiscal 2021 to fiscal 2023. Further, in fiscal 2026, refunds received from tax authorities was $408 million relating primarily to fiscal 2012, fiscal 2015, fiscal 2018, fiscal 2020 and fiscal 2022 to fiscal 2025. In fiscal 2025, income tax paid under protest, consequent to demand from tax authorities in major tax jurisdictions was $90 million, relating to fiscal 2018 to fiscal 2022. Further, in fiscal 2025, refunds received from tax authorities was $821 million relating primarily to fiscal 2007 to fiscal 2018, fiscal 2020 to fiscal 2024. Net cash provided by / (used) investing activities: Net cash generated from investing activities for fiscal 2026 was $10 million. Cash used for business acquisitions was $76 million in fiscal 2026, compared to $377 million in fiscal 2025. During fiscal 2026 we paid $76 million, net of cash acquired, towards the acquisitions of MRE Consulting Ltd and The Missing Link. The aggregate purchase consideration of the two acquisitions includes contingent consideration with an estimated fair value of $8 million ($9 million on undiscounted basis) as on the date of acquisition. The contingent consideration is payable over the next two years subject to the achievement of certain financial targets. Additionally, these acquisitions have retention payouts and bonuses payable to the employees of the acquiree amounting to $37 million payable from two to three years from the acquisition date, subject to their continuous employment with the group along with achievement of certain financial targets. Net cash provided by / (used) in investing activities, relating to acquisition of additional property, plant, and equipment and intangibles, net of sale proceeds of property, plant & equipment’s fiscal 2026 and 2025 was $306 million and $263 million, respectively, for our software development centers. During the year, proceeds from the sale of Property, Plant and equipment was $31 million, resulting in a gain of $19 million. During fiscal 2026 and 2025, we invested $10,871 million and $10,601 million, respectively, in marketable securities. Further, we redeemed marketable securities of $11,193 million and $10,825 million of during fiscal 2026 and 2025, respectively. Marketable securities include mutual funds, target maturity funds, quoted debt securities, certificates of deposit and commercial papers. We redeem investments to fund share-buyback, our business operations, acquisitions, and dividend payouts. Net cash used in financing activities: Net cash used in financing activities for fiscal 2026 primarily includes $2,133 million towards dividend payments, $2,006 million towards buyback of shares and $318 million towards payment of lease liabilities. Net cash used in financing activities for fiscal 2025 primarily includes $2,416 million towards dividend payments, $278 million towards payment of lease liabilities and $118 million towards loan repayment of in-tech Holding GmbH at the time of acquisition. The details of Company’s material contractual commitments and obligations are as below: Leases As of March 31, 2026, the total lease liabilities on an undiscounted basis amounts to $1,078 million. For more details on the contractual maturities of lease liabilities refer to Note 2.8 Leases, under Item 18 of this Annual Report on Form 20-F. Proposed acquisitions On 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. Update on acquisition completed after the end of the reporting period On 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 on May 04, 2026, Infosys Nova Holdings LLC has completed its acquisition of Optimum Achieve Holdings Inc. On 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 on April 21, 2026, Infosys Nova Holdings LLC completed its acquisition of Stratus Global LLC. Other obligations Refer to Note 2.3, Financial instruments, liquidity risk section under Item 18 of this Annual Report on Form 20-F for the contractual maturity of significant financial liabilities. Based on the assumptions as of March 31, 2026, we expect to contribute $57 million towards gratuity trusts and $7 million towards pension during fiscal 2027 (See Note 2.14.1, Gratuity and Pension, under Item 18 of this Annual Report on Form 20-F). Refer to Note 2.18 Income taxes for details about the claims against the Group not acknowledged as debts from Income tax authorities. The non-controlling shareholders of our acquisitions have a put option which, if exercised, would require the Group to purchase the remaining shares in those entities. The financial liability outstanding as of March 31, 2026, was $103 million on an undiscounted basis. Contractual commitments As of March 31, 2026, we had contractual commitments for capital expenditure primarily comprising of commitments for infrastructure facilities and computer equipment aggregating to $141 million. These commitments include $109 million in commitments for domestic purchases as of March 31, 2026, and $32 million in overseas commitments as of March 31, 2026. All our capital commitments will be financed out of cash generated from operations. We expect our outstanding contractual commitments as of March 31, 2026, to be largely completed in a year. As of March 31, 2026, we had purchase obligations amounting to $2,443 million, out of which approximately 54% is expected to be completed within the next year and the remaining thereafter. Purchase obligation means an agreement to purchase goods or services that is enforceable and legally binding on the Company that specifies all significant terms, including fixed or minimum quantities to be purchased; fixed, minimum or variable price provisions; and the approximate timing of the transaction. Capital allocation policy and related payouts As per our present capital allocation policy, “effective 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.” Under this policy, the Company expects to progressively increase its annual dividend per share (excluding special dividend if any). The Board in its 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 dividend 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). * Free 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. In 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 cancelling 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). The Company funded the buyback from its free reserves including securities premium as explained in Section 68 of the Companies Act, 2013. Quantitative and Qualitative Disclosures about Market Risk General Market risk is attributable to all market sensitive financial instruments including foreign currency receivables and payables. The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates, commodity prices, equity prices and other market changes that affect market risk sensitive instruments. Our exposure to market risk is a function of our revenues generating activities and any future borrowing activities in foreign currency. The objective of market risk management is to avoid excessive exposure of our earnings and equity to loss. Most of our exposure to market risk arises out of our foreign currency revenues, receivables, and payables. We have chosen alternative 1 provided by Item 11 of Form 20-F to disclose quantitative information about market risk. All the required information under alternative 1 has been either included in components of market risk as given below or in Note 2.3 under Item 18 of this Annual Report and such information has been incorporated herein by reference. The following table provides the cross references to Notes under Item 18 of this Annual Report which contains disclosures required under alternative 1 of Item 11 of Form 20-F. Sl. No. Requirements of Alternative 1 of Item 11 Cross reference to notes in the financial statements for instruments held for trading (Derivative financial instruments) Cross reference to notes in the financial statements for instruments other than for trading purposes (All other financial instruments) 1. Fair values of market risk sensitive instruments Table: The carrying value and fair value of financial instruments by categories under Note 2.3, Financial Instruments, of Item 18 of this Annual Report. Table: The carrying value and fair value of financial instruments by categories under Note 2.3, Financial Instruments, of Item 18 of this Annual Report. 2. Contract terms to determine future cash flows, categorized by expected maturity terms Section: Derivative Financial Instruments under Note 2.3, Financial Instruments, of Item 18 of this Annual Report describing the terms of forward and options contracts and the table depicting the relevant maturity groupings based on the remaining period as of March 31, 2026, and March 31, 2025. We have provided the outstanding contract amounts in Note 2.3, Financial Instruments, of Item 18 of this Annual Report, table giving details in respect of outstanding foreign exchange forward and option contracts. Current Financial Assets: The expected maturity of these assets falls within one year hence no additional disclosures are required. Non-Current Financial Assets: Prepayments and Other Assets - The financial assets under this schedule primarily consist of deposit held with corporation to settle certain employee-related obligations as and when they arise during the normal course of business and security deposits with service providers. Consequently, the period of maturity could not be estimated (see Note 2.4, Prepayments and Other Assets, under Item 18 of this Annual Report on Form 20-F for additional information). Hence, we have not made any additional disclosures for the maturity of non-current financial assets. Financial Liabilities: Refer to Section “Liquidity Risk” under Note 2.3 of Item 18 of this Annual Report, table containing the details regarding the contractual maturities of significant financial liabilities as of March 31, 2026, and March 31, 2025. 3. Contract terms to determine cash flows for each of the next five years and aggregate amount for remaining years Same table as above however as all our forward and option contracts mature within 12 months, we do not require further classification. Refer to Section “Liquidity Risk” under Note 2.3 of Item 18 of this Annual Report, table containing the details regarding the contractual maturities of significant financial liabilities as of March 31, 2026, and March 31, 2025. 4. Categorization of market risk sensitive instruments We have categorized the forwards and option contracts based on the currency in which the forwards and option contracts were denominated in accordance with instruction to Item 11(a) 2 B (v). Refer to section entitled: Derivative Financial Instruments under Note 2.3, Financial Instruments, of Item 18 of this Annual Report; table giving details in respect of outstanding foreign exchange forward and option contracts. We have categorized the financial assets and financial liabilities based on the currency in which the financial instruments were denominated in accordance with instruction to Item 11(a) 2 B (v). Refer to section entitled: Financial Risk Management under Note 2.3, Financial Instruments, under Item 18 of this Annual Report; table analyzing the foreign currency risk from financial instruments as of March 31, 2026, and March 31, 2025. 5. Descriptions and assumptions to understand the above disclosures All the tables given under Note 2.3, Financial Instruments, under Item 18 of this Annual Report have explanatory headings and the necessary details to understand the information contained in the tables. All the tables given under Note 2.3, Financial Instruments, under Item 18 of this Annual Report have explanatory headings and the necessary details to understand the information contained in the tables. Risk Management Procedures We manage market risk through treasury operations. Our treasury operations’ objectives and policies are approved by senior management and our Audit Committee. The activities of treasury operations include management of cash resources, implementing hedging strategies for foreign currency exposures, borrowing strategies, if any, and ensuring compliance with market risk limits and policies. Components of Market Risk Exchange rate risk. Our exposure to market risk arises primarily from exchange rate risk. Even though our functional currency is the Indian Rupee, we generate a major portion of our revenues in foreign currencies, particularly the U.S. dollar, the Euro, the Australian dollar and the United Kingdom Pound Sterling, whereas we incur a significant portion of our expenses in Indian rupees and U.S. dollars. Liquidity and capital resources (1)The exchange rate between the Indian rupee and the U.S. dollar has changed substantially in recent years and may fluctuate substantially in the future. Consequently, the results of our operations may be adversely affected as the Indian rupee appreciates against the U.S. dollar. For fiscal 2026 and 2025, U.S. dollar denominated revenues represented 62.9% and 64.2% of total revenues, respectively. For the same periods, revenues denominated in the Euro represented 17.4% and 16.8% of total revenues, revenues denominated in the Australian dollar represented 4.6% and 4.6% of total revenues while revenues denominated in the United Kingdom Pound Sterling represented 4.5% and 3.8% of total revenues. Our exchange rate risk primarily arises from our foreign currency revenues, receivables, and payables. We use derivative financial instruments such as foreign exchange forward and option contracts to mitigate the risk of changes in exchange rates on foreign currency exposures. Counterparty for such contracts is generally a bank. Refer to Note 2.3 in Item 18 in this Annual Report for the details in respect of outstanding foreign exchange forward and options contracts. The forward and option contracts typically mature within 12 months, must be settled on the day of maturity and may be cancelled subject to the receipt or payment of any gains or losses in the difference between the contract exchange rate and the market exchange rate on the date of cancellation. We use these derivative instruments only as a hedging mechanism and not for speculative purposes. We may not purchase adequate instruments to insulate ourselves from foreign exchange currency risks. In addition, any such instruments may not perform adequately as a hedging mechanism. The policies of the RBI may change from time to time which may limit our ability to hedge our foreign currency exposures adequately. We may, in the future, adopt more active hedging policies, and have done so in the past. (2)Fair value. Refer to Note 2.3 in Item 18 in this Annual Report for the disclosure on carrying value and fair value of financial assets and liabilities. Critical Accounting Estimates For details of our critical accounting estimates and judgments refer to the financials under Item 18 in this Annual Report on Form 20-F.