Hello @Punit Parmar ,
Welcome to the Microsoft Q&A platform.
Azure Data Factory supports both ".xls" and ".xlsx".
Excel format is supported for the following connectors: Amazon S3, Azure Blob, Azure Data Lake Storage Gen1, Azure Data Lake Storage Gen2, Azure File Storage, File System, FTP, Google Cloud Storage, HDFS, HTTP, and SFTP. It is supported as the source but not a sink.
Note: ".xls" format is not supported while using HTTP.
Reference: Excel format in Azure Data Factory
In case if your file is located on the local machine, you can use File System connector.
Hope this helps. Do let us know if you any further queries.
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