LTIMindtree shares fall over 5%; Europe business sees 2% degrowth – Market News

LTIMindtree fell more than 5.2% to an intraday low of Rs 6,060.80 a day after the company reported its quarterly results.

The company reported a net profit of Rs 1,251.6 crore in Q2 FY25, a 7.7% increase from the previous year in the same quarter. It has risen by 10.3% sequentially. The company’s revenue rose 6% on year to Rs 9,433 crore in the same period aforementioned. Sequentially, it increased 3.2%. 

Business in US, Europe

In Europe, the company’s business fell 1.9% year over year but grew 2.2% quarter over quarter. There was a high growth in the US business, which rose 7% YoY and 2.6% on quarter. 

LTIMindtree’s net profit was positively impacted by an increase in forex gains and other income and a slight sequential reduction in finance cost, even though the company’s provision for tax increased Q-o-Q.

LTIMindtree Vs Nifty 50

Shares of LTIMindtree have fallen 6% in the past five days and 5.35% in the last one month. However, it has risen 28% in the past six months. It has erased 4% of investors’ wealth from year to date. It gave a return of 17% in the last one year. 

To compare, the benchmark index Nifty 50 has fallen 1.5% and 2.8% in the last one month. However, it has risen 12% in the past six months and 14% from year to date. The index has given a return of 25% in the last one year.

Larsen & Toubro in 1996 incorporated a software consulting subsidiary L&T Information Technology. The company’s name was further changed to L&T Infotech. Also, in 2009-12, the company acquired the famous Satyam Computer Services, Patni Computer Systems, and Hexaware Technologies.