Shares of engineering services firm L&T Technology Services (LTTS) sunk by 2% when markets opened Monday, two days after the Vadodara-headquartered firm reported flat growth in its revenue and net income numbers for the December quarter.
The company stock was priced at Rs 1613.75 per share when markets opened on Monday morning, a dip from the price of Rs 1649 per share market-close price just before Friday’s Q3 results were announced at the local exchanges.
The company said its net profit rose to Rs 204.1 crore, or Rs 19.34 per share in the third quarter ended December 2019, from Rs 185.6 crore , or Rs 17.58 per share, a year earlier.
Revenue rose by 8% to Rs 1,423 crore.
“... We had a strong performance in three segments - transportation, plant engineering, and medical devices that are each growing in excess of 20% on YoY basis. Digital & leading-edge technologies - the growth driver for ER&D, contributed to 41% of Q3 revenues and grew by 29% YoY,” Keshab Panda, CEO at LTTS said in a statement on Friday.
December was an active period at the dual-listed (Bombay Stock Exchange and National Stock Exchange) firm. It closed in on a contract to manage Airbus India’s avionics software development and validation.
It unveiled a new design engineering centre at Rockford in Illinois, the United States to serve digital requirements of the aerospace and defence markets. It also signed a multi-million dollar deal with a global plastics, chemicals and refining manufacturer in Europe.
Last Wednesday, fellow subsidiary L&T Infotech also reported its Q3 results in a marginal but better-than-expected quarterly profit growth on the back of large deal wins.
LTTS and LTI are subsidiaries of the $18 billion revenue-clocking Indian conglomerate Larsen & Toubro, the parent holding that operates in over 30 countries.