India's L&T Tech quarterly revenue a tad above view, maintains FY26 outlook

L&T Technology Services

17/10/2025 13:11

Oct 17 (Reuters) - India's L&T Technology Services LTEH.NS posted second-quarter revenue that was marginally above analysts' estimates on Friday, on the back of strength from the tech segment and North America business.

The firm maintained its double-digit revenue growth forecast for the current fiscal year.

The Larsen & Toubro LART.NS group entity's consolidated revenue grew 15.8% year-on-year to 29.8 billion rupees ($338.5 million) in the quarter ended September. Analysts had expected 29.46 billion rupees, as per data compiled by LSEG.

Among the geographies, North America, its largest, grew the most at 14.4%.

"With an increased order book and a sharp focus on resilient and profitable growth, we expect both revenue and operating margin to see an improvement in second-half compared to first-half of FY26," said CEO Amit Chadha said in a statement.

The firm's net profit rose 2.8% to 3.29 billion rupees, above analysts' estimate of 3.19 billion rupees.

Tech segment, its largest, grew 28.6% compared to the year ago period. This segment consists of med-tech, semiconductors and consumer electronics clients.

KEY CONTEXT

The revenue beat comes on the back of large deal wins of $200 million or above in each of the previous three quarters. L&T Technology signed contracts with the automotive arm of steel firm Thyssenkkrup and a $60 million deal with an unnamed U.S. telecom major earlier this year.
Peer Tata Elxsi TTEX.NS missed quarterly earnings estimates last week as its key transportation business declined amid geopolitical tensions.

     PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
L&T Technology Services
LTEH.NS
29.30
18.70
12.43
13.96
Hold
28
0.93
1.31
KPIT Technologies
KPIE.NS
35.00
20.35
10.62
11.18
Buy
20
0.87
0.73
Tata Technologies
TATE.NS
36.53
27.26
7.36
11.47
Sell
13
1.16
1.21
Tata Elxsi
TTEX.NS
45.44
34.25
6.32
3.70
Sell
15
1.19
1.39

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

   JULY-SEPT STOCK PERFORMANCE

-- All data from LSEG

($1 = 88.0350 Indian rupees)

How Indian ER&D stocks performed in the second quarter https://reut.rs/4nSZOl0

 (Reporting by Sai Ishwarbharath B; Editing by Mrigank Dhaniwala)

 ((saiishwarbharath.b@thomsonreuters.com))