By Indranil Sarkar and Manvi Pant (Reuters) -Shares of India's No. 2 software services exporter Infosys fell nearly 6% on Friday and were set for their biggest one-day decline since July 2023, as analysts raised concerns about the quality of earnings following its third-quarter report.

According to HSBC, Infosys had a decent quarter in terms of revenue growth and margins. However, the brokerage firm said the sustainability of pass-through revenues in FY26 remains uncertain. HSBC has maintained its ‘Buy’ rating on Infosys, with a target price of Rs 2,120.

Infosys shares fell nearly 6% on Friday, marking their largest one-day decline since July 2023. The drop followed concerns raised by analysts over the quality of earnings in its third-quarter report.

Infosys shares fell nearly 5% after its Q3 results showed an 11% YoY net profit growth, reaching Rs 6,806 crore, and revenue increasing 8% YoY to Rs 41,764 crore. Despite revising its revenue guidance upwards,