By Sai Ishwarbharath B and Haripriya Suresh
BENGALURU, July 23 (Reuters) – Infosys named company veteran Ashiss Kumar Dash as its next CEO on Thursday, tapping a three-decade insider to lead India’s No. 2 IT firm through an AI-driven upheaval reshaping the technology services industry.
The succession plan was announced alongside a cut to the company’s annual revenue growth forecast, sending its U.S.-listed shares down 5% in early trading.
Dash, who heads the company’s energy and utilities business, will take over in April 2027 for a five-year term after Salil Parekh steps down at the end of his tenure in March, the company said.
The appointment comes as India’s $315 billion IT sector wrestles with the impact of AI on technology spending and traditional outsourcing models.
“Ashiss Kumar Dash is a safe, execution-focused appointment at a time when Infosys needs stability as much as transformation,” said Phil Fersht, CEO of tech research firm HFS Research.
“He understands the firm’s culture, clients, and delivery engine, which should reassure customers and investors after a period of uncertainty.”
Nandan Nilekani, the co-founder and non-executive chairman of Infosys, said Dash’s long career at the firm had given him experience across key functions, including delivery, sales and account management, making him well-suited for the top role.
Dash will return from Los Angeles to India in the coming months and begin a structured handover process, with Parekh expected to mentor him from October as part of the transition.
NARROWS REVENUE GROWTH FORECAST
The Bengaluru-based firm narrowed its fiscal 2027 revenue growth forecast to 1.5%-3.0% from 1.5%-3.5%, citing cautious client spending amid AI-driven disruption. Analysts had expected growth of 2.5%-4.5%.
Parekh said the forecast’s upper end reflected expectations of a stronger macroeconomic environment, which have yet to materialise.
StoxBox analyst Sagar Shetty said the forecast downgrade likely reflects a more pressuring environment going forward.
Revenue in the quarter rose 14% to 482.11 billion rupees ($4.99 billion), missing analysts’ average estimate of 483.67 billion rupees, according to data compiled by LSEG. Net profit rose 12.2% to 77.69 billion rupees, while analysts expected 78.32 billion rupees.
Rivals Tata Consultancy Services and HCLTech beat quarterly estimates earlier, aided by strong financial services demand and a weaker currency.
AI services accounted for 8.2% of Infosys’ revenue, compared with 5.5% in the December quarter.
Large deal bookings were $3.6 billion in the quarter, up from $3.2 billion in the previous quarter but down from $3.8 billion a year earlier.
($1 = 96.5725 Indian rupees)
(Reporting by Sai Ishwarbharath B and Haripriya Suresh; Additional reporting by Mridula Kumar, Surbhi Misra and Kashish Tandon; Editing by Nivedita Bhattacharjee, Dhanya Skariachan and Devika Syamnath)
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