LTTS eyes $3 bn revenue in near term; to add 2,000 freshers this year

L&T Technology Services (LTTS), the engineering, research, and development (E&RD) arm of the L&T group, is targeting $3 billion in revenue in the short to medium term. The company aims to scale each of its key divisions—mobility, sustainability, and technology—to $1 billion within this timeframe, according to Chief Executive Officer and Managing Director Amit Chadha.

 

The overall goal in the longer term is to make the firm a $5 billion company, which should propel it to the largest E&RD company globally, from its current third position, Chadha told Business Standard in an exclusive interaction.

 

“We are focusing on large deals. We closed an $80 million-plus deal earlier this quarter, and last quarter we closed $50 million worth of deals. The last quarter was the highest possible deal wins we have had. We should be able to maintain that in the current quarter as well. CY25 will be a better year than CY24,” Chadha said.

 

The company surpassed the $1.2 billion milestone in revenue in FY24. 

 

LTTS has grown at 8.7 per cent year-on-year in constant currency terms over the last nine months without any increase in organic headcount, Chadha said, adding that the firm could continue without adding more people to its workforce for the next two quarters.

 

In Q3FY25, the firm reported a revenue of $312 million, up 3.1 per cent sequentially in constant currency terms while in rupee terms, it was ₹2,650 crore. The growth was led by the tech and sustainability verticals which were up 9.8 per cent and 3.1 per cent Q-o-Q, respectively.

 

In January this year, LTTS completed the acquisition of Intelliswift Software, which added roughly 1,500 people to its 25,000 workforce. The company will hire 2,000 freshers during the calendar but in a phased manner, Chadha said.

 

LTTS expects FY25 revenue growth of near 10 per cent in constant currency terms, including contribution from Intelliswift.

 

He said the firm is also re-skilling its workforce by pushing its people to work on technology development at all of its centres and not just the Mysuru location.

 

“Today, 50 per cent of the company are involved in ‘beyond billable’ technology initiatives, up from 9 per cent four years ago. Some are writing research papers, some are presenting them, others are working on patents. Because of that, we have filed 50 patents every quarter for the last 16 quarters. Overall, we have filed more than 175 patents in AI till date,” Chadha said.

 

LTTS has also trained nearly a third of its total workforce on AI and AI-related tools till date, he said.

 

“We have taken the product development lifecycle and leveraged AI to automate parts of it. We are building use cases for medical technology, leveraging AI for smart city projects, looking at cracks in railway tracks with Nvidia GPUs (graphics processing units), and designing bumpers, seats, and automotive body parts,” Chadha said.