India Post achieved record turnover in the first quarter of the 2027 financial year

LTM, formerly known as LTI Mindtree, has released its report on the first quarter of the financial year 2027. During this period, the company's net profit increased by 17%, reaching ₹1,468 crore, while revenue grew by 18% to ₹11,608 crore.

Financial Performance and Strategy

In dollar terms, the company's revenue for the period ending June 30 was $1.22 billion, demonstrating a 6.1% growth. Furthermore, growth in constant currency reached 6.4%. In a statement, the company emphasized that the first quarter results reflect progress in implementing its artificial intelligence (AI) focused strategy.

Venu Lambo, CEO and Managing Director, noted that the company's transition to an AI focus is yielding tangible results for clients, which is evident in the quality and scale of contracts being secured. Thanks to a strong order book and a healthy pipeline across various industry segments, management expressed confidence in continued growth momentum throughout the year.

Vertical Dynamics and AI Revenue

Almost all verticals, except for financial services, showed positive momentum. The consumer, technology, and manufacturing verticals grew by 18.2%, 10%, and 5.3%, respectively. Financial services, conversely, recorded a negative growth of 2.5% in constant currency. Lambo added that the company's revenue from AI in the creative, business, and industrial sectors amounted to approximately $150 million based on the quarterly run rate.

Operational Changes

The EBITDA margin also improved by 120 basis points, reaching 15.5%. The employee attrition rate remained unchanged at 13.3%, and the total number of employees slightly decreased by 64 people to 87,886. It was noted that IT companies had slowed down hiring for some time due to the unstable macroeconomic environment; however, TCS began the new fiscal year with a positive outlook on recruitment.

The public sector bank Indian Bank, based in Chennai, announced a 10% increase in net profit for the first quarter of the current fiscal year, reaching INR 3,273 crore. In the same quarter of the previous fiscal year, the profit was INR 2,973 crore.

Quarterly Financial Performance

According to the report submitted to the regulator, the bank's total income for the June quarter of 2026-27 increased to INR 20,724 crore compared to INR 18,721 crore in the corresponding period of FY 26. Interest income also improved, amounting to INR 18,090 crore versus INR 16,283 crore a year earlier.

Net Interest Income (NII) grew by 17%, reaching INR 7,435 crore compared to INR 6,359 crore in the June quarter of FY 26. Furthermore, the bank's operating profit rose to INR 5,557 crore from INR 4,770 crore recorded in the same quarter last year.

Asset Quality and Provisions

The bank demonstrated an improvement in asset quality: Gross Non-Performing Assets (NPA) decreased to 1.86% of total loans by the end of June, down from 3.01% a year earlier. Similarly, Net NPAs, or bad loans, reduced to 0.15% compared to 0.18% in the previous year.

As a result of these changes, provisions for bad loans were reduced to INR 376 crore in the first quarter, down from INR 387 crore a year ago. The Provision Coverage Ratio (PCR) remained unchanged at 98.2% during the quarter.

Efficiency Ratios and Capital

The Return on Assets (ROA) improved to 1.34% for June 2026, whereas it was 1.03% in June 2025. Meanwhile, the bank's capital adequacy ratio decreased to 17.80% from 17.99% in the same quarter of FY 26.

Several companies are scheduled to announce their first quarter financial results for the fiscal year 2026-27 (Q1FY27) on Thursday, July 9, 2026. Among them are Tata Consultancy Services (TCS), Anand Rathi Wealth, and GM Breweries.

Additional Companies with Reports

In addition to those listed, firms such as Eimco Elecon (India), Arunjyoti Bio Ventures, Cupid Breweries and Distilleries, and Gujarat Hotels will also present their reports today. The list also includes Sidh Automobiles and Supreme Infrastructure India.

TCS Results Overview

Tata Consultancy Services (TCS), India's largest IT services company, will publish its results for the June quarter (Q1FY27) on Thursday, July 9, 2026, after market close, i.e., after 15:30. The company may also announce an interim dividend for shareholders. The record date for determining eligible shareholders is set for July 15, 2026.

According to TCS regulatory documentation, the interim dividend, if declared, will be paid to ordinary shareholders whose names appear in the Company's Register of Members or in the records of the depositaries as beneficial owners of shares on the record date, which is set for Wednesday, July 15, 2026.

IT Sector Outlook

According to a Business Standard report, brokers believe that the IT sector continues to face numerous negative factors, making recovery uncertain. The start of Q1FY27 was slower than expected. Although the weakening rupee should provide some margin protection, concerns about AI-induced deflation have led to an overall decline in valuations across the sector.

Furthermore, according to Motilal Oswal Financial Services (MOFSL), demand commentary is likely to remain weak in Q1FY27. This is because macroeconomic uncertainty, AI-related disruptions, and geopolitical pressure continue to affect discretionary spending and decision-making cycles. Regarding TCS, the brokerage firm forecasts a sharp decline in margins in the June quarter due to annual salary hikes, while revenue in constant currency (CC) is likely to remain stable quarter-on-quarter.

Stock Market Review for July 9

The GIFT Nifty signaled a positive start for Nifty50 on Thursday amid mixed global cues. Futures traded at 23,988.50, showing a rise of 78 points.

Asian markets showed gains as semiconductor stocks rose, while investors assessed the renewed tensions between the US and Iran. South Korea's Kospi rose by 2.3 percent, and the Hong Kong Hang Seng index fell by 0.37 percent.

Overnight, the Dow Jones and S&P 500 indices fell by 1.09 percent and 0.28 percent, respectively, while the Nasdaq Composite increased by 0.2 percent. Crude oil prices continued to rise after the US struck Iran for the second consecutive day, raising concerns about supplies through the strategically important Strait of Hormuz.