LTM Q2 revenue grows 4.7% to $1.2 bn in Q2; AI biz revenue up 47%

Bengaluru: LTM’s dollar revenue rose 1% sequentially and 4.7% year-on-year to $1.2 billion in the September quarter. In constant currency terms, revenue grew 1.1% quarter-on-quarter and 5.1% year-on-year.EBIT margin stood at 15.6%, up 10 basis points from the previous quarter but down 30 basis points year-on-year. The margin has recovered from a low of 15.1% in the March quarter but remains below the 16.1% recorded in the December quarter.LTM’s headcount rose to 88,835, with 949 employees added during the quarter and 2,388 over the year. Trailing 12-month attrition was 13.3%, down 90 basis points year-on-year. Utilisation, excluding trainees, remained at 86.4%, 170 basis points below the year-ago level.CEO and managing director Venu Lambu attributed the performance to the company’s AI strategy. “Our broad-based performance reflects the successful execution of our AI-centric strategy. The revenue across Enterprise AI and Business AI together grew 47% YoY,” he said.Lambu said the strategy had also helped LTM add a financial services client to its $100 million-plus revenue category. The company was “well positioned for stronger growth ahead”, he said.Order inflow stood at $1.2 billion, down from $1.6 billion in Q1 FY27. Active clients declined to 729 from 740 in the previous quarter, despite the addition of 20 new clients. However, the number of clients in the $100 million-plus revenue category rose to three, while the $10 million-plus category reached 109.The board approved an interim dividend of Rs 25 per equity share.You use AI every day. Now get your AI Quotient. Take the AIQ test.