LTIMindtree Q3 Results: Profit Falls 13%, Misses Estimates
LTIMindtree posted Rs 1,086.70 crore in net profit for Q3 FY25, thereby logging a 13% sequential fall. However, the revenue growth of 2.4% aligned with analyst estimates.
LTIMindtree Ltd.'s fell 13% sequentially in the quarter ended December 2024, thereby missing the consensus estimates of analysts tracked by Bloomberg.
The information technology major posted a bottomline of Rs 1,086.7 crore, according to an exchange filing on Thursday. This was lower than the estimate of Rs 1,144 crore.
The company's revenue from operations, however, rose 2.4% over the previous three months to Rs 9,660.9 crore in the quarter ended December. That compares with the Rs 9,649-crore consensus estimate of analysts tracked by Bloomberg.
LTIMindtree Q3 Results: Key Highlights (QoQ)
Revenue up 2.4% to Rs 9,660.9 crore versus Rs 9,432.9 crore. (Bloomberg estimate: Rs 9,649 crore).
Net profit down 13% to Rs 1,086.7 crore versus Rs 1,251.6 crore. (Estimate: Rs 1,144 crore).
Ebit down 9% to Rs 1,328.9 crore versus Rs 1,458.2 crore. (Estimate: Rs 1,367 crore).
Ebit margin at 13.8% versus 15.5%. (Estimate: 14.17%).
In dollar terms, revenue came in at $1,138.7 million, up 1.1% quarter-on-quarter and higher by 5.1% on a year-on-year basis.
On an annualised basis, LTIMindtree's profit of Rs 1,086.7 crore, in rupee terms, dipped 7.1%. The company's margins dived from 15.5% in the second quarter to 13.8% in the third quarter.
“Our differentiated AI strategy has helped us record our highest-ever order inflow of $1.68 billion, laying the foundation for future growth. Our ongoing investments in AI, including new partnerships and specialisations and accolades, support our efforts to continue growing as we enter CY25,” said Debashis Chatterjee, chief executive officer and managing director.
The majority of the verticals registered subdued growth. On a YoY basis, revenue from technology, media and communications grew 8.9%; manufacturing and resources grew a mere 0.1%; BFSI climbed 7.5%; healthcare, life sciences, and public services grew 1.8%; and consumer business logged a growth of 1.8%.
In terms of geographies, the company's business in North America rose 8% YoY, Europe merely inched by 0.3%, and business in rest of the world slid 6% YoY.
The number of active clients stood at 739 at the end of December quarter, lower than 742 last quarter. In value terms, clients accounting for business worth $5 million decreased by five, and those accounting for $20-million business slipped by two.
The employee count at the end of the third quarter was 86,800, an addition of 2,362 employees. The company's trailing 12-month attrition rate came in at 14.3%, marginally lower than 14.5% in the last quarter.
On Thursday, LTIMindtree shares closed 2.6% higher at Rs 5,987.6 apiece on the BSE, compared to 0.4% gains in the country's benchmark Sensex. The quarterly results were declared after market hours.
