L&T Tech released its December quarter (FY22) earnings report.
The company reported a 33.5% year-on-year (YoY) increase in its PAT at Rs 249.6 crore from Rs 187 crore in Q3 FY21. On a sequential basis, the company’s PAT grew by 8%quarter-on-quarter (QoQ) from Rs 230 crore in Q2 FY22.
The company clocked a 20.5% YoY increase in the revenue from operations to Rs 1,687 crore from Rs 1,400 crore in the year-ago period. On a sequential basis, the revenue grew 5% from Rs 1,607 crore in Q2 FY22. The company’s total income increased to Rs 1,724.5 crore from Rs 1,449.5 crore on a yearly basis during the third quarter. However, the total income only rose marginally by 5% QoQ from Rs 1,637 crore.
Most segments reported flat revenue growth on account of the impending semiconductor shortage. L&T Tech’s stock closed in the red at Rs 5,420.5 per share after taking a 2.77% dip ahead of its quarterly earnings report on January 18, 2022 at the end of the intraday trading session.
Amit Chadha, CEO & Managing Director, L&T Technology Services has said that the company sustained its performance with sequential growth of 4.2% in constant currency. This was led by strong demand across segments. The deal conversations and pipeline of the company’s six big bets – Electric Autonomous & Connected Vehicle (EACV), 5G, Med-tech, AI & Digital Products, Digital Manufacturing and Sustainability – continues to see healthy improvement. He further added that the company is expanding EACV global presence with the addition of an engineering R&D centre in Krakow, Poland that will strengthen its strategic partnership with European and Global clients.
“In line with our long-term growth prospects and strategy, we invested in hiring and onboarding a record 1,900 plus trainees. This is by leveraging our Global Engineering Academy that is focused on continuous training and upskilling. Despite the robust employee addition, we further improved our Operating margin to 18.6%, reflecting gains from investments in talent and innovation.” Amit said.
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Research Analyst: Bavadharini KS