L&T Technology Services Q4FY25 Results, Net Profit declines by 9%

Mumbai,L&T Technology Services (LTTS) has reported a decline in net profit for the fourth quarter of the financial year 2024-25 (Q4 FY25), even as the company posted growth in its revenue. The engineering and research and development services firm also announced a final dividend for its shareholders. The share price of the company is trading at ₹3241.90 at decline of 1.77%.

Profit and Revenue Performance in Q4

For the January-March quarter of FY25, L&T Technology Services posted a net profit of ₹311 crore. This represents a 9% fall compared to the ₹341 crore reported in the same period last year. Sequentially, the net profit saw a 3.5% decrease from ₹322.4 crore in Q3 FY25. Despite the dip in profitability, revenue from operations demonstrated positive growth, reaching ₹2,982.4 crore in the reporting quarter. This marks a 17.5% increase year-on-year. Quarter-on-quarter, revenue rose by 12.4% from ₹2,653 crore in the December quarter. In US dollar terms, the company's revenue jumped 13.1% YoY to $345.1 million during Q4. The company highlighted a strong sequential growth of 10.7% in constant currency during the quarter.

Margin Movements

The EBITDA margin for Q4 increased to 19.8%. However, the Earnings Before Interest and Tax (EBIT) stood at ₹393.9 crore for the March quarter, a 6.6% decline quarter-on-quarter from ₹421.9 crore in Q3 FY25. The EBIT margin was 13.2% in Q4. The operating margin for Q4 FY25 was also reported at 13.2%, down from 15.9% in Q3 FY25.

Full Year FY25 Review

For the entire financial year ending March 31, 2025, L&T Technology Services reported a total revenue of ₹10,670.1 crore, an increase of 10.6% year-on-year. The net profit for the full year was ₹1,266.7 crore. In constant currency terms, the full-year revenue jumped 8.9% to $1.26 billion. The company noted reaching a significant milestone by crossing ₹10,000 crore in annual revenue.

Dividend Declaration and Future Outlook

L&T Technology Services (LTTS) has declared a final dividend of ₹38 per equity share for FY25, with the record date yet to be announced. In Q4, the company recorded its highest-ever Total Contract Value (TCV) bookings, driven by continued large deal momentum. Growth was led by the Tech and Sustainability segments, despite challenging market conditions. LTTS remains optimistic about FY26, citing a strong deal pipeline and rising demand for AI and automation-led solutions. The company reaffirmed its medium-term revenue target of USD 2 billion.

At the close of Q4, the company's employee strength stood at 24,258. LTTS also highlighted key achievements during FY25, including surpassing 1,500 patent filings and receiving recognition as a Great Place to Work in the U.S. and Japan.

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