LTIMindtree (LTIM) investor relations material

Executive summary

• Q2 FY26 delivered strong, broad-based performance with sequential revenue growth and margin expansion, driven by disciplined execution and deep client relationships.

• Strategic focus on AI-centric transformation, large deal wins, and sales transformation initiatives continued to drive momentum.

• Significant large deals were signed across all major verticals, including media, financial services, chemicals, hospitality, fintech, government, energy, life sciences, manufacturing, and technology.

• AI adoption accelerated, with over 1,500 digital agents deployed and 80,000+ employees trained in Gen AI Foundation.

• Workforce exceeded 86,000, serving over 700 global clients across 40+ countries.

Financial highlights

• Q2 FY26 revenue reached $1.18 billion, up 2.3% QoQ and 4.8% YoY in USD; INR revenue was ₹103,943 million (+5.6% QoQ, +10.2% YoY); constant currency growth was 2.4% QoQ and 4.4% YoY.

• EBIT margin expanded 160 bps sequentially to 15.9%, with EBIT at ₹16,481 million (+17.2% QoQ, +13.0% YoY).

• Profit after tax was INR 1,381 crore, up 10.1% QoQ and 10.4% YoY; PAT margin reached 13.3%.

• Free cash flow for Q2 FY26 was ₹9,993 million; cash and investments stood at $1.58 billion or ₹139,995 million.

• Interim dividend of ₹22 per share declared, a 10% increase YoY.

Outlook and guidance

• Management remains confident in sustaining profitable growth, targeting near double-digit growth in the second half of FY26.

• Margin expansion is expected to continue, supported by ongoing productivity, pyramid correction, and cost optimization initiatives.

• Wage hikes will be staggered over two quarters, with 50% effective January 1 and 50% on April 1.

• Seasonal furloughs are factored into guidance; no significant headwinds anticipated for Q3 margins.

• Strategy remains focused on AI-centric transformation and disciplined execution.