LTM Ltd Q4 FY26 Earnings Analysis
Published 15 Aug 2026 | IT - Software | Market Cap: ₹1.3L Cr
Price
₹4,715
Market Cap
₹1.3L Cr
P/E Ratio
23.8
Earnings Summary
LTM Limited is confident in continuing its growth momentum into FY2027, building on an 8.1% YoY growth in Q4 FY2026. Management is confident of continuing growth momentum into FY2027, targeting industry-leading growth without providing specific guidance numbers.
📊 Revenue & Sales Performance
- →LTM Limited is confident in continuing its growth momentum into FY2027, building on an 8.1% YoY growth in Q4 FY2026.
- →The company targets doubling its revenue over the next five years, implying a ~15% CAGR, with both organic and inorganic growth components planned.
- →Growth drivers include expansion in core verticals like BFSI and Tech & Media, alongside emerging verticals like Healthcare and Consumer markets.
- →Order book is strong with significant large deals and a focus on cloud acceleration and AI-led transformations supporting near-term growth.
- →Regional focus includes accelerated growth in Europe and sustained growth in the Americas.
- →Management is optimistic about sustaining industry-leading growth rates despite potential volatility in quarters.
- →Margin expansion efforts continue alongside growth, driven by operational efficiencies and cost optimizations.
📈 Profitability & Margins
- →Management is confident of continuing growth momentum into FY2027, targeting industry-leading growth without providing specific guidance numbers. (Page 18, 21, 30)
- →Revenue for FY2026 grew 6% in USD terms with EBIT margin at 15.4%. The company aims to sustain and possibly improve profitability through cost optimizations and operational efficiencies under the "New Horizons" program. (Pages 11-13, 18)
- →Q4 EBIT margin declined slightly to 15.1% due to partial wage hikes but margin expansion efforts continue; no fixed margin guidance but focus remains on cost efficiency gains. (Page 13, 18)
- →EPS excluding exceptional items for Q4 was Rs. 45.4, down slightly from Q3, PAT for FY2026 increased by 8.3%. The board recommended an attractive dividend reflecting confidence in cash flows. (Pages 12-13)
- →Inorganic growth components are planned as part of a five-year plan to double revenues at ~15% CAGR, though timing cannot be guaranteed. (Page 30-31)
- →Management sees strong deal pipelines and client relationships supporting sustained profit growth over the medium term. (Page 30, 21)
🏗️ Capital Expenditure Plans
- →LTM Limited is actively investing in capabilities and competencies to support AI transformation and growth, as part of their “New Horizons” program focusing on growth, competency building, operational efficiency, and scaling AI pivot (Page 11).
- →They are undertaking inorganic growth through acquisitions to gain access to new competencies, technology, and white spaces such as sovereign solutions in Europe, aerospace, defense, and automotive sectors (Page 32).
- →Significant investments in talent transformation and partnerships (e.g., with IICT, IIT Kharagpur, MIT) to build AI-specific skills and capabilities (Page 25).
- →Training over 1,000 engineers on AI skills (e.g., Claude) and 30,000 developers on GitHub Copilot, indicating capital allocation towards upskilling (Page 25).
- →Building and scaling the BlueVerse™ ecosystem to power business and technology services, a strategic tech investment to strengthen AI-led transformation (Pages 10, 25).
- →Large deals like the CBDT contract involve longer transition periods with dependencies on hardware deliveries, implying capital outlays related to infrastructure (Page 23).
💰 Fundraising & Capital Structure
📋 Order Book & Pipeline
- →Total order inflow for FY2026 stood at USD 6.6 billion, marking a 10.3% year-over-year increase.
- →Large deal wins surged by 300%, including six deals each exceeding USD 100 million.
- →Q4 order inflow remained stable at USD 1.7 billion.
- →This represents the sixth consecutive quarter with order inflows exceeding USD 1.5 billion.
- →The strong order book underpins confidence in sustaining growth momentum into FY2027.
Key Metrics
Frequently Asked Questions
What were LTM Ltd Q4 FY26 results?
LTM Limited is confident in continuing its growth momentum into FY2027, building on an 8.1% YoY growth in Q4 FY2026. Management is confident of continuing growth momentum into FY2027, targeting industry-leading growth without providing specific guidance numbers.
What is LTM Ltd share price analysis?
LTM Ltd currently shows a neutral. The stock trades at a P/E of 23.8 with a market cap of ₹133,658 Cr. Investors should review the full earnings analysis for detailed insights.
Is LTM Ltd planning capital expenditure?
LTM Limited is actively investing in capabilities and competencies to support AI transformation and growth, as part of their “New Horizons” program focusing on growth, competency building, operational efficiency, and scaling AI pivot (Page 11).
This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.