IT major LTIMindtree slumps 4% after two senior executives step down

Shares of LTIMindtree slumped 4.5 per cent in Tuesday’s intraday trade at Rs 4,660 after two senior managerial resigned from the organisation.  The stock of the company has slumped 9 per cent in the last one month, while it slipped 25 per cent year to date. The stock prices, however, grew 8 per cent in the last one year. 

The IT major, on Monday informed the exchanges that Pankaj Chugh, executive vice president, global sales and Gregory Dietrich, executive vice president, global sales, resigned from the services of the company with effect from April 15, 2024.  

LTIMindtree also recently launched a composable storefront solution on salesforce to quick-launch digital commerce experiences. The solution allows retailers to create customised shopping experiences to increase business growth. 

Further, with its over 20 UI enhancements and features to kickstart B2C commerce experience in addition to leveraging all capabilities including Salesforce Einstein, personalisation, campaign management, and wishlist. 

“The solution also helps speed up the go-to-market timeline of the storefront with built-in custom features like enhanced UX, Dynamic Marketing Pages leveraging Page Designer capability, Store Locator with Google Maps, and Order History,” the company said in an exchange filing. 

LTIMindtree declared a 17 per cent year-on-year increase in net profit, reaching Rs 1,168.9 crore for the third quarter of the financial year 2023-24 (Q3FY24). This compares to a net profit of Rs 1,000 crore in the same quarter of the previous year. 

Additionally, the company's revenue rose by 4.6 per cent to Rs 9,016.6 crore in Q3FY24 compared to Rs 8,620 crore in the corresponding period of the previous fiscal year.

For the fourth quarter of FY24, Axis Securities expects LTIMindtree to report strong revenue growth of 1.5 per cent quarter on quarter in rupee terms. "Operating margins are likely to expand marginally by 30bps. Key things to watch out for are management commentary on the E&U and manufacturing verticals," the brokerage said in a note. 

At 01:00 PM, the shares of the company were trading 2.56 per cent lower at Rs 4,690. A combined 18,900 shares of the company changed hands on the BSE. The company’s stock had hit 52-week low on April 21, 2023 at Rs 4130, while it reached its 52 week high of Rs 6442 on January, 24, 2024.