LTIMindtree Shares Plummet After Profit Decline Due to New Labour Codes
Shares of LTIMindtree fell nearly 7% after the company announced a 10.5% decline in net profit for the December quarter FY26. The drop was largely due to a one-time provision related to new Labour Codes, while the company's revenue saw an 11.6% year-over-year increase.
- Country:
- India
Shares of IT firm LTIMindtree took a hit on Tuesday, dropping nearly 7% after revealing a 10.5% decline in consolidated net profit for the December quarter of FY26. The stock closed 6.67% lower at Rs 5,977.85 on the BSE, with an intraday plunge reaching 7.68% to Rs 5,912.80.
On the NSE, LTIMindtree's shares fell 6.71%, ending at Rs 5,976.50. The company's market valuation experienced a steep decline, decreasing by Rs 12,625.52 crore to settle at Rs 1,77,236.82 crore.
LTIMindtree attributed the profit decline to a one-time cost of Rs 590 crore, related to new Labour Codes implemented by the government in November 2025. This provision was disclosed as an 'Exceptional Item' in the firm's financial result for the quarter. Despite the profit drop, the company reported an 11.6% increase in revenue for Q3 FY26, rising to Rs 10,781 crore from Rs 9,661 crore in Q3 FY25.
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