L&T Technology Services Q3FY25 profit dips 4.1% YoY; revenue climbs 9.5%, driven by strong deal bookings
Mumbai: L&T Technology Services (LTTS) posted a net profit of Rs 322.4 crore for the third quarter of FY25 (Q3FY25), marking a 4.1% decline year-on-year (YoY), media reports said.
Sequentially, profit growth was marginal at 0.9%.
Revenue for the quarter reached Rs 2,653 crore, reflecting a 9.5% YoY increase and a 3% rise quarter-on-quarter (QoQ).
The company has projected close to 10% revenue growth in constant currency for FY25.
LTTS achieved its highest-ever total contract value (TCV) in deal bookings, supported by eight large contracts: one worth $50 million, two valued at $35 million each, two at $25 million, and three at $10 million.
Growth drivers
Growth in Q3FY25 was led by the technology and sustainability segments. The technology segment grew 11.1% sequentially, driven by MedTech, hyperscalers, and communication providers. Sustainability expanded by 4% QoQ, fueled by demand for plant modernization and automation.
The EBIT margin stood at 16.2%, up 110 basis points QoQ, after accounting for wage hikes and excluding one-time non-operational merger and acquisition expenses.
Regional performance
LTTS reported QoQ growth of 5.6% in India and 6.5% in the rest of the world. North America saw a marginal decline of 0.2% QoQ but rose 1.2% YoY.
Meanwhile, Europe experienced flat sequential growth at 0.6% but grew significantly by 17.6% YoY.
Workforce update
Despite robust revenue growth, LTTS’s workforce decreased by 233 employees during the quarter, bringing the total headcount to 23,465. The attrition rate stood at 14.4%.
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