LTM Ltd.Revenue +1.1% QoQ, EBIT 15.6%, AI 13.4% of revenue, H2 promised

LTM, formerly LTIMindtree, reported Q2 FY27 revenue of $1.235 billion, up 1.1% sequentially and 5.1% year on year in constant currency, with first-half growth of 5.4%.

EBIT margin expanded 10 basis points to 15.6%, while profit after tax margin fell to 11.7% because Q1 had a one-time gain. Order inflow was $1.3 billion, which management attributes to short-tenure AI deals, and AI revenue reached 13.4% of the total, up 40%. Financial services returned to year-on-year growth and a client crossed $100 million, but the Saudi business cost about 0.6 to 0.7 points of growth and tech fell 4% on the quarter.

Operating cash flow was only 39% of profit after tax on one-off gratuity funding and tax outflows. Management promised H2 would be better than H1, maintained its margin goal for FY27 and expects Randstad Digital approvals in Q3. It did not give an order book figure or a split between annual and total contract value.