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Introduction & Market Context
LTIMindtree (NSE:LTIM) presented its Q2 FY26 investor presentation on October 16, 2025, revealing continued financial growth and strategic positioning in the IT services market. The company’s stock saw a modest increase of 0.23% following the announcement, reflecting investor confidence in its performance and outlook.
With approximately $4.6 billion in trailing twelve-month revenue and over 86,000 employees serving more than 700 global enterprises, LTIMindtree has positioned itself as a "full stack digital powerhouse" with a particular focus on AI-driven transformation.
As shown in the following company overview:
Quarterly Performance Highlights
LTIMindtree reported robust financial results for Q2 FY26, with revenue reaching $1.18 billion, representing a 2.3% quarter-on-quarter increase and 4.8% year-on-year growth. In INR terms, revenue grew 5.6% sequentially to ₹103,943 million.
The company demonstrated significant margin improvement, with EBIT margin expanding by 160 basis points quarter-on-quarter to 15.9%. Profit after tax (PAT) increased 10.1% sequentially to ₹13,812 million, maintaining a stable PAT margin of 13.3%.
These financial highlights are illustrated in the following chart:
CEO Venu Lambu emphasized the company’s AI-centric approach during the earnings call, stating, "We are committed to becoming an AI centric organization in the agentic enterprise era." He further noted that "AI has multifaceted impact into the engagement. It goes beyond productivity."
Client and Revenue Distribution
LTIMindtree’s revenue remains well-diversified across industries, with Banking, Financial Services & Insurance (BFSI) representing the largest segment at 36.2% of total revenue. Technology, Media & Communications accounts for 22.7%, while Manufacturing & Resources contributes 19.5%. The Consumer Business segment has shown growth, increasing to 15.6% of revenue in Q2 FY26.
Geographically, North America continues to be the dominant market, representing 74.2% of revenue, followed by Europe at 14.7% and Rest of the World at 11.1%.
The following chart breaks down the company’s revenue distribution:
A notable positive trend is the decreasing concentration of revenue among top clients. The contribution from the top 5 clients decreased to 25.3% in Q2 FY26, down from 27.3% in the previous quarter and 28.4% year-over-year. This diversification indicates reduced dependency on key accounts and potentially more stable revenue streams.
The client metrics also show growth in the number of large accounts, with 93 clients contributing over $10 million in revenue and 45 clients contributing over $20 million, up from 90 and 41 respectively in the previous quarter.
The following client composition chart illustrates these trends:
Strategic Initiatives and Deal Wins
LTIMindtree secured several significant deals during the quarter across various sectors. The company reported a 22% year-over-year increase in order inflow to $1.59 billion, according to the earnings call.
Key wins include a large deal with a leading global media and entertainment company to drive digital transformation with an AI-centric delivery model, and selection as a strategic partner by a global financial institution for end-to-end technology and consulting services.
The company also expanded its partnership with a global hospitality major for digital and guest loyalty transformation and was selected by the Government of India’s Central Board of Direct Taxes to transform India’s PAN infrastructure.
These strategic wins are detailed in the following slide:
LTIMindtree’s competitive positioning is strengthened by its robust alliance network, which includes partnerships with major technology providers such as AWS, Google Cloud, Microsoft, NVIDIA, Salesforce, and ServiceNow, among others.
ESG Commitments and Future Outlook
LTIMindtree has outlined ambitious environmental, social, and governance goals, including achieving Net Zero by 2040, using 85%+ renewable energy by 2030, and becoming water positive by 2030.
On the social front, the company aims to increase women in its workforce to 40% by 2030 (currently at 30.8%) and women in leadership positions to 15%. The company is also focused on creating an inclusive workplace for diverse groups and impacting over 4 million lives positively in the community by 2030.
These ESG commitments are outlined in the following comprehensive framework:
Looking ahead, LTIMindtree is targeting near double-digit growth in the second half of FY26, according to the earnings call. The company remains committed to expanding its margins while continuing its AI-centric transformation strategy.
Potential challenges include planned wage hikes in January and April that may affect profit margins, increasing competition in the AI consulting space, and macroeconomic uncertainties including inflation and geopolitical tensions.
With its strong financial performance, decreasing client concentration, and strategic focus on AI-driven transformation, LTIMindtree appears well-positioned to navigate these challenges while pursuing its growth objectives.
Full presentation:
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