Company: INFY
Filing Date: 2025-07-01
Form Type: 20-F
Source: 0000950170-25-091925
Chunk: 236

Company: Infosys Ltd
Filing Date: 2025-07-01
Form: 20-F
Item: Item 18
Chunk 236
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 may never actually be realized.

Refer to table ‘Financial instruments by category’ below for the disclosure on carrying value and fair value of financial assets and liabilities. For financial assets and liabilities maturing within one year from the balance sheet date and which are not carried at fair value, the carrying amounts approximate fair value due to the short maturity of these instruments.

2.3.5 Impairment

The Group recognizes loss allowances using the expected credit loss (ECL) model for the financial assets and unbilled revenue which are not fair valued through profit or loss. Loss allowance for trade receivables and unbilled revenue with no significant financing component is measured at an amount equal to lifetime ECL. For all other financial assets, expected credit losses are measured at an amount equal to the 12-month ECL, unless there has been a significant increase in credit risk from initial recognition in which case those are measured at lifetime ECL.

The Group determines the allowance for credit losses based on historical loss experience adjusted to reflect current and estimated future economic conditions. The Group considers current and anticipated future economic conditions relating to industries the Group deals with and the countries where it operates.

The amount of expected credit losses (or reversal) that is required to adjust the loss allowance at the reporting date to the amount that is required to be recorded is recognized as an impairment loss or gain in consolidated statement of comprehensive income.

 Financial instruments by category
 The carrying value and fair value of financial instruments by categories as of March 31, 2025, were as follows:

(Dollars in millions)                                                                                                                                                                                                                                                 
                                                                                                        Financial assets/ liabilities                             Financial assets/liabilities                                                                        
                                                                                                        at fair value through                                     at fair value through OCI                                                                           
                                                                                                        profit or loss                                                                                                                                                
                                                                                 Amortised cost         Designated upon                         Mandatory         Equity instruments                       Mandatory                 Total            Total fair value
                                                                                                        initial recognition                                       designated upon                                                 carrying                            
                                                                                                                                                                  initial recognition                                                value                            
Assets:                                                                                                                                                                                                                                                               
Cash and cash equivalents (Refer to Note 2.1)                                           2,861                       —                                   —                     —                                    —                 2,861                       2,861
Investments (Refer to Note 2.2)                                                                                                                                                                                                                                       
Liquid mutual funds                                                                     —                           —                                 229                     —                                    —                   229                         229
Target maturity fund units                                                              —                           —                                  54                     —                                    —                    54                          54
Quoted debt securities                                                                      193                     —                                   —                     —                                1,389