Mumbai, L&T Technology Services (LTTS) on Thursday reported a marginal 0.2 per cent rise in net profit at Rs 340 crore for the March quarter due to slow revenue growth and margin erosion.
The company said it plans to add 500 employees during the April-June period.
The engineering services company's net profit for FY24 rose 7.6 per cent to ₹ 1,303.7 crore.
Its revenue increased by 7 per cent to Rs 2,537.5 crore in the quarter under review, compared to the previous quarter, which was almost 5 per cent higher.
LTTS managing director and chief executive Amit Chadha said revenue was higher in the year-ago period due to gains from acquired company Smart World.On the margin front, he guided towards a "slightly lower" number in the near term as it increases investments in areas it considers important for the future.
He said that the company has earlier also been reporting operating profit margin of 17-18 percent, but this level may come down due to investment.
For the quarter under review, operating profit margin came in at 16.9 percent, compared to 17.9 percent in the year-ago period and 17.2 percent in the fourth quarter.
He said the investments will be in software-defined vehicles, hybridization or electric vehicles, artificial intelligence, cyber security, embedded systems and hyperscalar technologies.
However, Chadha said there is no pressure on the company on the pricing front.He also announced the restructuring of the organization, under which the number of business areas has been reduced from the earlier five to three.
These are mobility, sustainability and high-tech, he said, adding that this work was going on for the last 3-6 weeks and also included some changes in the structure.
Chadha said the company has added about 800 employees over the past year to take its total headcount to 23,812 and will add another 500 people on an annual basis in the first quarter of the fiscal year.
He said that the same number of people will be added in the new financial year also, this will include both freshers and lateral hires.
During the quarter, LTTS raised US$100 million (about Rs 800 crore), a US$30 million (about Rs 250 crore) and a US$20 million (about Rs 166 crore) and a US$10 million (about Rs 83 crore) Signed two deals.,
LTTS shares closed 0.97 per cent lower at Rs 5,180.95 on the BSE, compared with a 0.66 per cent rise on the benchmark.
The company said it plans to add 500 employees during the April-June period.
The engineering services company's net profit for FY24 rose 7.6 per cent to ₹ 1,303.7 crore.
Its revenue increased by 7 per cent to Rs 2,537.5 crore in the quarter under review, compared to the previous quarter, which was almost 5 per cent higher.
LTTS managing director and chief executive Amit Chadha said revenue was higher in the year-ago period due to gains from acquired company Smart World.On the margin front, he guided towards a "slightly lower" number in the near term as it increases investments in areas it considers important for the future.
He said that the company has earlier also been reporting operating profit margin of 17-18 percent, but this level may come down due to investment.
For the quarter under review, operating profit margin came in at 16.9 percent, compared to 17.9 percent in the year-ago period and 17.2 percent in the fourth quarter.
He said the investments will be in software-defined vehicles, hybridization or electric vehicles, artificial intelligence, cyber security, embedded systems and hyperscalar technologies.
However, Chadha said there is no pressure on the company on the pricing front.He also announced the restructuring of the organization, under which the number of business areas has been reduced from the earlier five to three.
These are mobility, sustainability and high-tech, he said, adding that this work was going on for the last 3-6 weeks and also included some changes in the structure.
Chadha said the company has added about 800 employees over the past year to take its total headcount to 23,812 and will add another 500 people on an annual basis in the first quarter of the fiscal year.
He said that the same number of people will be added in the new financial year also, this will include both freshers and lateral hires.
During the quarter, LTTS raised US$100 million (about Rs 800 crore), a US$30 million (about Rs 250 crore) and a US$20 million (about Rs 166 crore) and a US$10 million (about Rs 83 crore) Signed two deals.,
LTTS shares closed 0.97 per cent lower at Rs 5,180.95 on the BSE, compared with a 0.66 per cent rise on the benchmark.
