LTIMindtree, India’s fifth largest IT services company, reported a net profit of ₹1,100.7 crore for the January to March 2024 quarter, according to the firm’s financial results released on April 24. While this figure is slightly lower than the CNBC-TV18 poll expectation of ₹1,130 crore, it highlights the company’s sustained profitability.
The IT services firm’s consolidated revenue stood at ₹8,892 crore, representing a 2.3% year-over-year growth but a 1.4% quarter-on-quarter (QoQ) decline. This revenue figure slightly missed the CNBC-TV18 poll projection of ₹8,950 crore for the quarter under review. For the entire fiscal year 2024, the revenue from operations stood at ₹35,517 crore, reflecting a 7.03% increase compared to the previous fiscal, as per the company’s filing.
LTIMindtree’s Earnings before Interest, Tax, Depreciation and Amortisation (EBITDA) declined by 5.6% QoQ to ₹1,308.7 crore for the quarter ended March 2024, falling short of the CNBC-TV18 poll prediction of ₹1,350 crore.
In a positive development for shareholders, LTIMindtree’s Board of Directors has recommended a final dividend of ₹45 per equity share of ₹1 each, subject to the approval of shareholders at the ensuing Annual General Meeting (‘AGM’). This decision underscores the company’s commitment to rewarding its shareholders and reflects its strong financial position.
While the quarterly results may have fallen slightly short of analyst expectations, LTIMindtree’s overall performance remains robust, with year-over-year revenue growth and a healthy net profit. The recommended dividend further enhances shareholder value, reflecting the company’s confidence in its future prospects and its ability to generate substantial cash flows.
“We closed FY24 amidst a tough macro environment and delivered a resilient performance with full-year revenue growth of 4.4% in USD terms and an EBIT margin of 15.7%. Our order inflow for the full year at $5.6 billion registered a 15.7% growth over FY23,” the company Chief Executive Officer and Managing Director Debashis Chatterjee said in a release.
“This growth reflects the positive outcomes of our positioning as an organization with scale, expanded capabilities, and larger partnerships. As the market dynamics evolve, we are excited to be part of innovations, partnerships, and initiatives that our clients will embark on in FY25,” Chatterjee added.
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