Financial Performance Summary

L&T Technology Services reported unaudited consolidated financial results for the quarter ended June 30, 2026 (Q1 FY27).

Revenue Performance:

  • Revenue: ₹29,401 million, up 2.9% quarter-on-quarter (QoQ) and 11.5% year-on-year (YoY)
  • USD Revenue: $309.9 million, up 1.3% QoQ and 0.4% YoY
  • Constant Currency Revenue Growth: 1.5% QoQ and 1.9% YoY

Profitability Metrics:

  • EBIT: ₹4,613 million, up 6.1% QoQ and 28.1% YoY
  • EBIT Margin: 15.7%, improvement of 50 basis points QoQ and 200 basis points YoY
  • Net Income from continuing operations: ₹3,518 million, up 1.5% QoQ and 17.4% YoY
  • Net Income Margin: 12.0%
  • EBITDA: ₹5,483 million, up 5.2% QoQ and 24.4% YoY
  • EBITDA Margin: 18.7%
  • Gross Profit: ₹9,328 million, up 1.4% QoQ and 21.1% YoY
  • Gross Margin: 31.7% (compared to 32.2% in Q4 FY26 and 29.2% in Q1 FY26)

Other Financial Data:

  • Other Income, net: ₹147 million (compared to ₹383 million in Q4 FY26 and ₹506 million in Q1 FY26)
  • Income tax expense: ₹1,237 million
  • Minority Interest: ₹5 million
  • Net Income including discontinued operations: ₹3,566 million, up 7.4% QoQ and 13.0% YoY

Balance Sheet Position (as of June 30, 2026):

  • Total Assets: ₹1,02,066 million
  • Property and equipment: ₹8,297 million
  • Intangible Assets and Goodwill: ₹13,729 million
  • Accounts Receivable: ₹19,922 million
  • Unbilled Revenues: ₹6,078 million
  • Investments: ₹18,971 million
  • Cash and Cash equivalents: ₹14,858 million
  • Shareholders' Funds: ₹65,225 million

Cash Flow Performance:

  • Net cash provided by operating activities in Q1 FY27: ₹5,747 million
  • Capex in Q1 FY27: ₹351 million
  • Free Cash Flow including continuing and discontinued operations: ₹2,589 million
  • Free Cash Flow to Net Income: 153%

Operational Performance

Segment-wise Revenue Performance:

  • Mobility: 32.3% of revenue, showing 2.3% QoQ growth and 0.8% YoY growth
  • Sustainability: 37.1% of revenue, showing 4.3% QoQ growth and 11.3% YoY growth
  • Tech: 30.6% of revenue, showing -3.1% QoQ growth and -10.6% YoY growth

Geographical Revenue Mix:

  • North America: 60.4% of revenue, 1.4% QoQ growth, 3.3% YoY growth
  • Europe: 18.0% of revenue, -0.8% QoQ growth, -3.0% YoY growth
  • India: 13.2% of revenue, 0.9% QoQ growth, -7.5% YoY growth
  • Rest of the World: 8.4% of revenue, 6.0% QoQ growth, 1.1% YoY growth

Revenue by Project Type:

  • Fixed Price: 35.1% (increased from 33.9% in Q4 FY26)
  • Time and Material Contract: 64.9% (decreased from 66.1% in Q4 FY26)

Client Profile:

  • Number of Active Clients: 423 (increased from 417 in Q4 FY26)
  • Client concentration: Top 5 clients contributed 16.0% of LTM revenue, Top 10 clients 26.8%, Top 20 clients 40.7%
  • Large clients: 1 client with $50M+ revenue, 6 clients with $30M+ revenue, 13 clients with $20M+ revenue, 29 clients with $10M+ revenue

Employee Statistics:

  • Total Headcount: 23,845 (slight increase from 23,830 in Q4 FY26)
  • Billable Employees: 22,277
  • Sales & Support: 1,568
  • Voluntary Attrition % (LTM): 14.7% (stable from Q4 FY26)

Exchange Rate:

  • Period Realised USD/INR: 94.86 (compared to 93.43 in Q4 FY26 and 85.44 in Q1 FY26)
  • Period Closing USD/INR: 94.66

Strategic Developments and Business Updates

Large Deal Wins:

LTTS secured strong large deal momentum with:

  • One deal above USD 30 million
  • One deal above USD 20 million
  • Four deals above USD 10 million

Key Client Wins and Partnerships:

  • Emerson selected LTTS as global System Integrator and technology development partner for advanced systems engineering platforms
  • Partnership with a global industrial engineering company for software engineering and digital product development
  • Support for vehicle development across future mobility programs for a North American EV manufacturer
  • Partnership with a global medical technology leader to establish an offshore engineering center for ophthalmalogy and microsurgery solutions
  • Selected by a leading aerospace technology provider for engineering capabilities for next-generation airborne connectivity platforms
  • Project to lead design and site construction supervision for a major industrial development company

AI and Engineering Intelligence Initiatives:

  • Partnership with Anthropic to leverage Claude for AI-powered Engineering Intelligence solutions
  • Strategic go-to-market partnership with Databricks to co-develop Industrial AI solutions
  • AI patent portfolio grew to 244 patents
  • Total patent portfolio reached 1,757 patents (1,059 co-authored with clients)
  • Inaugurated first Engineering Intelligence Center of Excellence (EI CoE) in Munich
  • Launched Ainfonix™ 4.0 Engineering Intelligence platform for process industry clients
  • Hosted LTTS EI Live 2026 event showcasing Engineering AI transformation
  • Conducted 9th edition of TECHgium® with 540+ engineering institutes and 62K+ registrations
  • Hosted Executive Roundtable in Palo Alto on AI in enterprise value creation

Management Commentary:

CEO & Managing Director Amit Chadha stated that strategic actions under the Lakshya 31 agenda are translating into tangible business outcomes. The company remains confident in delivering sustainable, profitable growth with an aspiration of achieving 13-15% CAGR over the next five years while maintaining EBIT margins of 16-17%.

Industry Recognitions:

  • Recognized as 'Leader' in ISG Provider Lens® Digital Engineering Services 2026 (North America) across Augmented Design & R&D Services, Intelligent Operations & Connected Experiences, and Integrated Platform & Application Services
  • Awarded Excellence in Mobility Technology Solutions at Financial Express Mobility Awards 2026

Corporate Social Responsibility:

  • Supported Vasantham NGO with mobile rehabilitation van for children with special needs
  • Implemented watershed development program in Trimbakeshwar, Nashik for water conservation and sustainable farming

Company Overview

L&T Technology Services is a global leader in Engineering Intelligence Solutions & ER&D Consulting Services, a listed subsidiary of Larsen & Toubro. The company serves 69 Fortune 500 companies and 57 top ER&D companies across industrial products, medical devices, transportation, telecom & hi-tech, and process industries. As of June 30, 2026, the company has over 23,840 employees across 21 global design centers, 30 global sales offices, and 103 innovation labs.