LTIMindtree shares up 6% on securing its largest-ever $450 million deal

Shares of LTIMindtree rose over 7 per cent on Monday after the company secured a $450 million seven-year deal with a global agribusiness company, amid a broader rally in the market. 

 

The computer software and consulting firm's stock rose as much as 7.7 per cent during the day to ₹4,977 per share, the highest level since February this year. The stock pared gains to trade 6.8 per cent higher at ₹4,940 apiece, compared to a 3.5 per cent advance in Nifty 50 as of 2:50 PM.  Shares of the company extended gains to their fourth day while they have fallen 11 per cent this year, compared to a 4.5 per cent rise in the benchmark Nifty 50. LTIMindtree has a total market capitalisation of ₹1.47 trillion, according to BSE data.  

 

 

Read Stock Market Updates Today LIVE

 

LTIMindtree bags $450 million multi-year deal

 

The company announced a "strategic" agreement with a leader in the global agribusiness sector, which is so far the largest deal the company has secured. LTIMindtree will implement an AI-powered operating model to deliver the application management, infrastructure support, and cybersecurity services, it said in the exchange filing. 

 

"This comprehensive suite of future-ready IT services, built on platforms such as SAP S/4HANA, ServiceNow, Microsoft Azure, as well as proprietary AI frameworks, is aimed at enhancing the client’s operational efficiency, scalability, and global growth."

 

Securing this large deal marks a pivotal milestone as we transform to an AI-driven business model, helping the company's clients enhance productivity, Venu Lambu, chief executive officer (designate) and whole-time director of LTIMindtree, said in the statement. "We are proud to be the trusted partner for one of the world’s most respected agribusiness companies."  

 

LTIMindtree Q4FY25 results

 

The IT services company reported a 2.6 per cent increase in profit in the fourth quarter of the financial year 2024-25 (Q4FY25) to ₹1,128.5 crore. On a sequential basis, the profit was up 3.9 per cent.

 

Revenue was up 9.9 per cent to ₹9,771.7 crore during the same period last financial year. On a quarter-on-quarter basis, the revenue grew 1.1 per cent.

 

For the full year, the company’s revenue was up 7 per cent to ₹38,008.1 crore and profit was up 0.4 per cent to ₹4,602 crore. 

ALSO READ: Why are investors buying BEML shares today? Stock rises 5% in trade

 

Revenue from North America, a key market, was up 6.8 per cent, while Europe faced challenges that pulled down growth by 1.5 per cent. The company ended the financial year with a total client base of 741, similar to Q3FY25.  

  ALSO READ: Why are investors buying BEML shares today? Stock rises 5% in trade