Shares of L&T Technology Services (LTTS) soared 10% on Thursday, 16 January, after the company provided a near 10% revenue growth in constant currency, including the contribution from Intelliswift.
Amit Chadha, CEO & managing director of L&T Technology Services Limited, said, “We reaffirm our medium-term outlook of $ 2 billion revenue with Earnings before interest and tax (EBIT) margin of 17-18%.”
Chadha went on to say: We still want our organic book of business’s EEBIT margins to be higher in H2 than in H1.
Amit added, “We had a strong quarter with 3.1% growth in constant currency led by our Tech and sustainability segments where the demand outlook has been steadily improving. In Tech, we grew by 11.1% sequentially driven by ramp ups in MedTech, hyperscalers and communication providers where we leveraged our SWC capabilities. Sustainability grew by 4% sequentially helped by plant modernization and automation demand.”
On Wednesday, L&T Tech released their Q3FY25 results after market hours. The company’s net profit for the quarter that ended on 31 December 2024 was Rs 322.4 crore, a 4% decrease from Rs 336.2 crore in the prior year. There was a 1% increase in profit after tax (PAT) from quarter to quarter (Q-oQ).
The company’s revenue for the reviewed quarter was Rs 2,653 crore, up 9.5% year-over-year (Y-o-Y) from Rs 2421.8 crore. On a sequential basis, revenue rose by 3%. The company’s operational performance was solid, and its EBIT margin rose by 110 basis points (bps) sequentially to 16.2% after absorbing pay increases, according to the filing (excluding one-time non-operational M&A expense).
The company recorded its greatest deal booking total contract value (TCV) ever in Q3 thanks to eight noteworthy deals across segments, including one for $50 million, two for $35 million, two for $25 million, and three for $10 million. The massive transaction pipeline has seen major expansions as a result of client involvement in the creation of cutting-edge products and platforms, as well as business transformation.
At 1:04 pm, the shares of L&T Tech were trading 8.21% higher at Rs 5,249.85 on NSE.
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