LTIMindtree Reports 16.8% Increase in Net Profit at ₹1,169 Crore

LTIMindtree, a prominent mid-tier IT company, has announced its latest financial results, showing a robust 16.8% year-over-year (y-o-y) increase in net profit, totaling ₹1,169 crore. However, when compared to the previous quarter, the company's profitability remained relatively stable.

Consistent Revenue Growth

The company's revenue from operations has seen a steady rise, reaching ₹9,017 crore, which marks a 1.2% elevation from the previous quarter (q-o-q), and a 4.6% growth from the same period last year (y-o-y). This consistent revenue upturn meets the market's predicted performance levels.

Operational Resilience amid Market Challenges

CEO and MD Debashis Chatterjee remarked on the organization's resilience in a seasonally slow quarter. He emphasized the record-high order inflow of $1.5 billion and the company's substantial cash and investments balance crossing ₹10,000 crore, underscoring the financial health and momentum as the company moves into the new year.

Despite the promise of operational efficiency, the company observed a slight dip in margins to 15.4%, impacted by factors like increased furloughs, fewer working days, and the seasonal nature of revenue.

Strategic Investments and Future Expectations

LTIMindtree has shown its intent to invest strategically for growth, even if this means delaying its margin goals of 17-18% by a few quarters. New deal wins were reported at $1.5 billion, showing a marginal increase over the last quarter's $1.3 billion.

Chatterjee addressed the third quarter's unexpected seasonality but maintained optimism, citing a robust order flow and a promising deal pipeline as foundations for medium-term growth. However, personnel saw a slight decline to 82,471 employees, and attrition rates improved marginally.

Looking Ahead Amidst Economic Challenges

The company foresees the fourth quarter's performance to be in alignment with the current one, amidst ongoing economic uncertainties and delayed client decision-making processes.

revenue, profit, growth