LTI Mindtree (LTIM), a global technology consulting and digital solutions company, has announced robust financial results for the first quarter, demonstrating significant growth and strategic advancements in artificial intelligence (AI) and cloud technologies.

Financial Highlights

• Revenue reached ₹98,406.00 million, marking a 7.6% year-on-year increase and a 0.7% quarter-on-quarter growth.
• Net profit surged to ₹12,546.00 million, up 10.5% year-on-year and 11.2% quarter-on-quarter.
• Operating margin (EBIT) expanded by 50 basis points quarter-on-quarter to 14.3%.
• Earnings per share (EPS) stood at ₹42.33, compared to ₹38.30 in the same quarter last year.

Strong Order Book and Client Metrics

LTIMindtree reported an impressive order book of $1.6 billion, representing a 17% year-on-year increase. The company's client base showed notable growth:

• Total active clients: 741
• $1 million+ clients increased by 14 year-on-year to 404
• $5 million+ clients grew by 11 year-on-year to 159
• $10 million+ clients increased by 3 year-on-year to 90
• $50 million+ clients expanded by 2 year-on-year to 14

Strategic Focus on AI and Cloud Technologies

The company's strong performance is underpinned by its strategic focus on AI-driven contracts and cloud-centered approaches. LTIMindtree is leveraging these technologies to facilitate large-scale digital transformations for its clients, resulting in business growth and technological advancement.

Key Deal Wins

LTIMindtree secured several significant deals across various sectors:

• Implementation of an AI-driven model for application management, infrastructure support, and cybersecurity services for a global agribusiness leader.
• Selected as a strategic partner for supplier consolidation initiatives in Client Technology, Enterprise Technology, and Information Security for a global professional services leader.
• Chosen by a major European financial institution for a long-term transformation project to migrate from a legacy system to a flagship Transaction Processing Platform, integrating Gen AI and automation.
• Entrusted with a digital transformation initiative to overhaul and modernize a foreign government organization's tax system and administration process.

Workforce and Utilization

As of June 30, LTIMindtree employed 83,889 professionals. The company reported a trailing 12-month attrition rate of 14.4% and achieved a utilization rate (excluding trainees) of 88.1%.

Management Commentary

Venu Lambu, Chief Executive Officer and Managing Director of LTIMindtree, commented on the results: "We had a promising start to the year delivering broad-based growth, expanding margins, and making significant progress on our strategic priorities. Our Fit4Future program, sales transformation efforts, and pivot to AI have enhanced agility and strengthened our ability to scale for the future. While the macroeconomic environment remains challenging, I'm confident that our disciplined execution and unwavering client focus will continue to drive our performance."

LTIMindtree's strong first-quarter performance, coupled with its strategic focus on AI and cloud technologies, positions the company well for continued growth and success in the evolving digital landscape.

Industry-wise Performance

The company's diverse portfolio across industries showcases its ability to adapt and grow in various sectors, with notable strength in Banking, Financial Services & Insurance, and Manufacturing & Resources.

As LTIMindtree continues to innovate and expand its AI and cloud capabilities, it remains well-positioned to capitalize on the growing demand for digital transformation services across industries.

LTIMindtree , a global technology consulting and digital solutions company, has announced its financial results for the first quarter, showcasing robust growth and improved profitability.

LTIMindtree's Q1 net profit increased 11% year-on-year (YoY) to ₹1,254.60 crore, meeting analyst estimates. Revenue rose marginally to ₹9,840.60 crore. EBIT grew 4.5% to ₹1,407.00 crore, with margin expanding to 14.3%.

Financial Highlights

• Revenue: ₹98,406.00 million, up 0.7% quarter-on-quarter (QoQ) and 7.6% YoY
• Net Profit: ₹12,546.00 million, a significant increase of 11.2% QoQ and 10.5% YoY
• EBIT Margin: Improved to 14.3%, expanding by 50 basis points QoQ
• USD Revenue: $1,153.30 million, growing 2.0% QoQ and 5.2% YoY

Key Performance Indicators

• Order Book: Reached $1.60 billion, up 17% YoY
• Active Clients: 741
• Employee Count: 83,889 professionals
• Attrition Rate: 14.4% (trailing 12-month)

Segment Performance

LTIMindtree's performance across various industry segments showed mixed results:

Management Commentary

Venu Lambu, Chief Executive Officer and Managing Director of LTIMindtree, expressed optimism about the company's performance: "We had a promising start to the year delivering broad-based growth, expanding margins, and making significant progress on our strategic priorities. Our Fit4Future program, sales transformation efforts, and pivot to AI have enhanced agility and strengthened our ability to scale for the future."

Notable Deal Wins

LTIMindtree secured several significant deals during the quarter, including:

• Implementation of an AI-driven model for a global agribusiness leader
• Selection as a strategic partner for a supplier consolidation initiative by a global professional services leader
• Chosen as a long-term transformation partner by a major European financial institution
• Entrusted with a digital transformation initiative for tax system modernization by a foreign government organization

Partnerships and Recognitions

The company received multiple accolades and strengthened its partnerships:

• Honored with the "Diversity in Security" award at the Microsoft Security Excellence Awards
• Named "Google Partner of the Year for Industry Solutions in Manufacturing"
• Recognized as a premier partner for AWS's RAPID GenAI assessment program
• Awarded "Databricks Business Transformation Partner of the Year"

Outlook

While acknowledging the challenging macroeconomic environment, LTIMindtree's management remains confident in the company's ability to drive performance through disciplined execution and client focus. The company's strong order book and strategic initiatives position it well for continued growth in the coming quarters.

LTIMindtree's solid Q1 results demonstrate its resilience and adaptability in a dynamic market, with significant improvements in profitability and continued expansion of its client base across various industries.