L&T Technology Released Q1 Results: Secured Multi-Million Dollar Deals

On July 18, 2024, L&T Technology Services (LTTS), India’s leading pure-play engineering services company, announced its results for the first quarter ended June 30, 202 (Q1 FY2025)

Financial Performance

• For Q1 FY2025, Revenue amounted to ₹24,619 million, reflecting a fall of 3.0% QoQ and growth of 7.0% YoY.
• It recorded an EBIT of ₹3,836 million for the quarter, EBIT margin of 15.6%
• Net Income of ₹3,136 million for the quarter, down 8.0% QoQ and up 0.8% YoY; Net Income margin at 12.7%.

Key Deals During Q1 FY2025

• LTTS secured several multi-million dollar projects from global customers across segments. A few of them are listed below:
• A leading global automotive supplier has awarded LTTS an additional $30 million deal in their Ultra-Low Emissions Engineering program, delivering clean mobility solutions to their global customers.
• An American aircraft engine supplier has entrusted LTTS with a multi-year ITAR deal to provide specialized engineering services for various commercial and defence programs spanning system engineering, software and hardware.
• LTTS has won a 3-year program from one of the world’s largest energy companies. LTTS will provide comprehensive EPCM services, including Integrated Digital Engineering and Data Governance for Capital Projects, advancing innovative and sustainable energy solutions.
• A leading off-highway equipment manufacturer announced the establishment of an innovation lab in Illinois with LTTS as part of its sustainability initiatives. The center will be providing services for various electrification prototype systems to evaluate next-generation technologies.
• A lighting and building management firm has awarded LTTS a contract for parts digitisation and catalogue management. LTTS will leverage AI to create a common component catalogue with over 175K mechanical and electronic parts.

Patents

At the end of Q1FY25, L&T Technology Services’s patent portfolio stood at 13,43, 853 of which were co-authored with customers, and LTTS filed the rest.

“We are making good progress with our ‘Go Deeper to Scale’ strategy and the simplification of our organisation structure into three main segments. Mobility grew by 6% sequentially, driven by our differentiated presence across EV, SDV and connected car technology that helped us win one $ 30 Million deal and two $15 Million deals during the quarter. In Hi-Tech and Sustainability, our new strategy is driving a significant increase in the pipeline and large deal discussions that make us confident of a pickup in growth momentum, ” said Amit Chadha, CEO and Managing Director, L&T Technology Services Limited.

He further added, “In AI, we are accelerating our investments and innovation focus, leading to a total of 61 patents being filed so far. We are starting to win AI led deals on the back of our solutions in Gen AI across Asset Health, software development and digital assistants. With phase one of our reorganisation and related investments in technology and leadership complete, we are reassured of our performance for the rest of the year and reaffirm our aspirations to reach $1.5 Billion in annualised revenues.”

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