India’s LTIMindtree beats second-quarter earnings view on BFSI strength

BENGALURU: Indian IT services company LTIMindtree reported bigger-than-expected quarterly earnings on Thursday on strong performance in the banking, financial services and insurance (BFSI) sector, its largest segment.

Its net profit for the quarter rose 12% and consolidated sales for the quarter climbed 10.2%, beating analysts’ average estimates of 12.77 billion rupees and 102.37 billion rupees, respectively, according to data compiled by LSEG.

The Mumbai-headquartered company, which generates nearly 75% of its revenue from America, reported a 3.6% rise in revenue from the region.

In July, chief executive Venugopal Lambu told Reuters that the company was aiming for near double-digit revenue growth by the end of the fiscal year.

Larger peers Tata Consultancy Services, HCL Tech and Tech Mahindra also beat quarterly revenue estimates and said they expect the second half of this fiscal to be better than the first in terms of overall demand.

LTIMindtree’s deal wins for the quarter totaled $1.59 billion, compared with $1.63 billion in the previous quarter and $1.3 billion a year earlier.

Its shares closed 0.2% higher on Thursday ahead of the results.