LTIMindtree Q1 results: Net profit, revenue up 3% sequentially; margin expands to 15%

The global technology consulting and digital solutions company LTIMindtree announced its consolidated results today for the first quarter ended June 30, 2024.

For the reporting quarter, the company’s revenue grew 2.8 per cent sequentially to Rs 9,142.6 crore, while on a year-on-year basis, it logged over 5 per cent growth. Consolidated net profit at the software and consulting firm grew 3.1 per cent sequentially to Rs 1,135.1 crore. Nevertheless, net profit declined 1.5 per cent on-year. In the previous March quarter, the company reported a net profit of Rs 1,100 crore.

Zee Business research desk expected the company to report a consolidated PAT of Rs 1,200 crore in the April-June quarter, a 9.1 per cent sequential increase.

“While the environment remains unchanged, fiscal 25 started on a positive note for us with Q1FY25 revenue of USD 1.1 billion, registering a 2.5% QoQ and 3.5% YoY revenue growth in USD terms. Our Q1FY25 EBIT expanded to 15% and order inflow remained stable at USD 1.4 billion. Our top 3 industry verticals and our largest geography have performed well sequentially. This is attributed to a measured uptick in IT spending for critical initiatives with clients balancing innovation and fiscal prudence,” remarked company’s Debashis Chatterjee, Chief Executive Officer and Managing Director.

The revenue in constant currency (CC) terms registered a 2.6 per cent uptick, while on-year it logged 3.7 per cent growth.

The company's EBIT margin expanded by 30bps sequentially to 15 per cent in the reporting quarter as against 14.7 per cent in the preceding quarter.

As of June 30, 2024, the company had 748 active clients, with $20 million+ clients increased by 3 on a YoY basis, said the company's release.

Further, the employee count at the IT services firm was reported at 81,934 as of June 30, 2024, while the trailing 12 months attrition stood steady at 14.4 per cent. 

LTIMindtree is a global technology consulting and digital solutions company that enables enterprises across industries to reimagine business models, accelerate innovation, and maximize growth by harnessing digital technologies. 

Ahead of its results today, the stock in Tuesday's session ended higher by 1.5 per cent at Rs 5,561.65 apiece on the BSE.