LTIMindtree Q2 Results: Profit Rises 10%, Meets Estimates
LTIMindtree’s revenue increased to Rs 9,432.90 crore in the quarter despite a decrease in Ebit to Rs 1,458.20 crore.
IT firm LTIMindtree Ltd. recorded a sequential rise of 3.2% in its revenue to Rs 9,432.90 crore in the quarter ended September, according to an exchange filing on Thursday. That compares with the consensus estimate of Rs 9,431 crore of analysts tracked by Bloomberg.
LTIMindtree Q2 Results: Key Earnings Highlights (QoQ)
Revenue up 3.2% to Rs 9,432.90 crore (estimate: Rs 9,431 crore).
Ebit down 13% to Rs 1,458.20 crore (estimate: Rs 1,462 crore).
Margin at 15.5% versus 18.4% (estimate: 15.5%).
Net profit up 10% to Rs 1,251.60 crore (estimate: Rs 1,226 crore).
Profit for the second quarter stood at Rs 1,251.60 crore, up 10.3% sequentially, and 7.7% on-year. In dollar terms, revenue was $1,126.6 million, a sequential rise of 2.8%, and 4.7% rise on an annual basis.
“Q2 was a good quarter marked by broad-based sequential growth experienced across all our verticals and geos, helping us register a dollar growth of 2.8%. We had several multi-year deal closures, including a $200 million deal. Continued deal momentum in key verticals and significant Q2 hiring, including freshers, positions us well as we enter into the latter half of the fiscal year,” Chief Executive Officer Debashis Chatterjee said.
On a YoY basis, revenue from Technology, Media and Communications grew 12%, Manufacturing and Resources grew 5.8%, BFSI grew 2.3% and Healthcare, Life Sciences and Public Services grew 3%. However Consumer Business growth dropped 1%.
In terms of geographies, North America grew 7% on a YoY basis, while Europe and Rest of the World slid 1.9% and 1.1% respectively.
“As GenAI becomes pivotal in customer interactions, there is a noticeable trend of modernization efforts focusing on transforming the data estate. Our robust Data practice, combined with our innovative LTIMindtree AI platform, establishes us as a significant disruptor,” Chatterjee added.
Margins expanded 50 basis points to 15.5% in the second quarter. Number of active clients stood at 742 lower than 748 last quarter. In Q2, $5 million clients increased by 8, and $20 million clients increased by 1. Employee count at the end of Q2 was 84,438, an addition of 2,504. Trailing 12 months attrition was 14.5%, marginally higher than 14.4% last quarter.
On Thursday, LTIMindtree shares rose 0.77% to Rs 6,408 apiece even as the benchmark Sensex ended the day 0.6% lower. The quarterly results were declared after market hours.
