Venugopal Lambu is a man on a mission. The CEO designate of LTIMindtree has chalked out both a five-year and a 90-day plan to take the $4.3 billion software services player to the next level. The core objective is to win large deals. In a recent interview, Lambu said his ‘fit-for-future programme’ involves identifying project streams or initiatives to heighten the ease of doing business. Moreover, he would like the organisation to be agile and respond effectively to the fast-changing marketplace.
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In fact, the merger—between L&T Infotech and Mindtree — which came through in late 2022, was aimed at creating a more agile organisation that would win big deals and hit revenues of $10 billion by 2030. The company was selling itself as a nimble challenger to the industry’s top-rung players with the proposition it could deliver the full range of clients’ demands. It was well-poised to be able to do this — the client bases were complimentary as were the business verticals and the service offerings.
The company’s performance in the current year, under the current CEO Debashish Chatterjee’s watch, has been been middling. Experts believe several factors — the integration pains, the
exit of some senior executives and an unfriendly macro-environment—stymied the firm’s performance. The company has lost more than a dozen 12 senior executives including Chief Financial Officer (CFO) Vinit Teredesai.
“If one takes a nuanced view, the end markets too have gone through their own cycles. The focus has been on cost-takeout deals as clients tried to optimise the existing tech spends. As a result, deals have been flattish over the last two years,” says an IT expert. Virtually no big billion dollar deals have come LTIMindtree’s way and deals of $500 million have been few and far between. In the nine months to December, 2024, the total contract value (TCV) went up by just 4% year-on-year due to modest wins in the first half of the year. However, the December, 2024 quarter saw a record TCV of $1.68 billion. This was well above the run rate of $1.3-1.4 billion seen in the previous 7-8 quarters and was driven by what analysts said were healthy new large deals and some that had been renewed.
“LTIMindtree won multiple large deals in the BFSI and manufacturing verticals and the deal pipeline remains strong with continued momentum in signings,” Kawaljit Saluja,
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