IT firm LTIMindtree has reported an year-on-year(YoY) decline of 10.58% at Rs 970.6 crore in Q3FY26 from Rs 1,085.4 crore reported in Q3FY25.
On a sequential basis the company has reported a 30.73% decline from Rs 1,401 crore reported in Q2FY26.
Revenue from operations stood at Rs 10,781.0 crore, up 11.59% YoY from Rs 9.660.9 crore. On sequential basis the saw an increase of 3.72% from Rs 10,394.3 crore reported in Q2FY26.
Key highlights from Q3FY26
#1. New labour codes trigger Rs 590.3 crore cost
The company, in its Q3 release, noted that the implementation of the new labour codes led to a one-time expense from the recognition of past service costs, amounting to Rs 590.3 crore for the quarter and nine months ended December 31, 2025.
Adjusted net profit, excluding the one-time impact of labour code implementation, stood at Rs 1,401.3 crore, up 29% year-on-year and 1.5% sequentially (QoQ).
#2. Order inflows at $1.69 billion in Q3 FY26
LTIMindtree reported order inflows of $1.69 billion in Q3FY26. The company signed multiple large multi-year deals during the quarter, including a $155 million, five-year contract with a US-based insurance and financial services company.
Several new wins were driven by AI-led transformation, cloud, cybersecurity, data and platform-led engagements across industries.
#3. LTIMindtree adds 1,511 employees, attrition declines
LTIMindtree’s employee count stood at 87,958 at the end of the third quarter, with a net addition of 1,511 employees. Trailing 12-month attrition improved to 13.8%, while utilisation excluding trainees stood at 86.9%.
#4. Operating margin improves to 16.1%
The company reported an operating EBIT margin of 16.1% for the quarter, expanding by 20 basis points sequentially and 230 basis points year-on-year. Operating EBIT rose 30.7% YoY to Rs 17,371 million.
#5. Strategic AI pivot driving growth momentum: CEO
While commenting on the Q3, Venu Lambu, Chief Executive Officer and Managing Director of LTIMindtree said, “Our strong Q3FY26 performance reflects the impact of our strategic AI pivot, continued success in large deals, and operational excellence, supported by our proactive efforts to build a more resilient and balanced portfolio. This marks our third consecutive quarter of 2%+ growth, highlighting our disciplined execution, deep tech-domain expertise, and differentiated AI-led offerings. As we look forward, we remain focused on driving profitable growth and delivering tangible outcomes for our clients.”