L&T Technology Services Limited (LTTS) on Wednesday announced its financial results for the second quarter of the fiscal year 2025, posting decent revenue growth and highlighting key strategic achievements. The company's revenue for Q2FY25 reached Rs 2572.9 crore, a 4.5 per cent increase quarter-on-quarter (QoQ) and 8 per cent year-on-year (YoY).
Net profit for the period stood at Rs 319.6 crore, showing a modest YoY growth of 1.3 per cent, while the EBIT margin was reported at 15.1 per cent. In recognition of its performance, the board declared an interim dividend of Rs 17 per share, with a record date of 25 October 2024.
During the quarter, LTTS secured new business, winning two large deals with a total contract value (TCV) of USD 20 million each, along with four other deals, each valued at USD 10 million. The company also made strides in its Sustainability segment, securing two major empanelment agreements.
The company’s intellectual property portfolio also saw expansion, with a total of 1,394 patents at the end of the quarter. Of these, 877 were co-authored with customers, and 517 were filed independently by LTTS. A notable focus area for LTTS has been artificial intelligence (AI), with the company having filed 165 AI-related patents to date, reflecting its increasing investments in AI-driven innovation.
LTTS saw small growth in its workforce, with employee strength rising to 23,698 by the end of Q2FY25 from 23,577 in Q1.
The company has also introduced a new brand positioning—Purposeful. Agile. Innovation—which it expects will drive future growth in key segments. CEO and Managing Director Amit Chadha expressed optimism about the company’s strategy, citing strong growth in its Sustainability and Mobility businesses, with sequential increases of 6.5 per cent and 5 per cent, respectively.
“These segments have already started to show results aided by our ‘Go Deeper to Scale’ strategy which we embarked on at the start of the year. We had strong sequential growth of 4 per cent in Q2 led by Sustainability at 6.5 per cent on the back of earlier large deals and empanelment agreements. Mobility also had a strong showing with 5 per cent growth driven by our differentiated story on SDV and hybridization,” Chadha said.
“With our pipeline comprising larger sized deals involving consolidation as well as advanced technology led transformation, we are confident about the vision we set for ourselves and our medium-term outlook of USD 2 billion revenue with EBIT margin of 17-18 per cent,” he added.
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