L & T Technology Services inaugurates aerospace and defense engineering design center in Rockford, Illinois
L&T Technology Services (LTTS) rose 3.05% to Rs 1,101.50 after consolidated net profit gained 0.34% to Rs 204.80 crore on 1.66% increase in net sales to Rs 1,446.60 crore in Q4 March 2020 over Q3 December 2019.
Consolidated profit before tax fell 0.98% to Rs 271.80 crore in Q4 March 2020 as against Rs 274.50 crore in Q3 December 2019. Tax expenses slipped 4.65% at Rs 65.50 crore in Q4 March 2020 as compared to Rs 68.70 crore paid in Q3 December 2019. The result was announced after market hours on Friday, 15 May 2020.
During the quarter, L&T Technology Services (LTTS) won 9 multi-million dollar deals across all major industry segments which includes one deal with total contract value (TCV) of $30 million+. On a Y-o-Y basis, LTTS has increased its $20 million+ clients by 3 and its $10 million+ clients by 5.
At the end of the fourth quarter, the patents portfolio of L&T Technology Services stood at 502, out of which 365 are co-authored with its customers and the rest are filed by LTTS. At the end of Q4 FY20, LTTS' employee strength stood at 16,883, a net addition of 96 during the quarter.
Commenting on the Q4 results, Dr. Keshab Panda, the managing director (MD) and chief executive officer (CEO) of L&T Technology Services, has stated that: "We closed FY20 with 11% revenue growth accompanied by an improvement in operating margin despite multiple headwinds through the year-starting with Telecom & Hitech segment in Q1FY20 and ending with COVID-19 in Q4FY20. While COVID-19 is an ongoing challenge, we have continued to be the reliable and preferred partner to our customers while at the same time taking care of the health and safety of our employees. In response to the pandemic, LTTS has rolled out a suite of digital offerings, including i-BEMS Shield for safe workplaces and Frugal Manufacturing to help enterprises transfer or prioritize their manufacturing & production lines."
"The near-term outlook for the world economy appears uncertain as a result of the fallout from the global pandemic, however we see this crisis accelerating the trend of customers seeking credible partners who bring capability and speed-to-market. We believe this will lead to greater consolidation and enable us to expand engagement scopes once customers adjust and re- draw their business plans under a new normal. The scale, track record and recognition that we have built over the past decade has been on the back of our investments in people, competency building and technology design labs which we are determined to continue so that we reach the milestones we have set for ourselves," he added.
The board has recommended a final dividend of Rs 13.5 per equity share (face value Rs 2) for the year ended 31 March 2020 and the final dividend is payable subject to the approval of the shareholders at the 8th annual general meeting (AGM).
L&T Technology Services is an engineering research and development services company. The firm is engaged in providing a range of engineering services and related technologies in the areas of embedded systems, mechanical and others. Its segments include transportation, process engineering, industrial products, medical devices and telecom.
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