Revenue from its services segment rose to ₹10,051 million, marking a year-on-year increase of 1 per cent and a quarter-on-quarter growth of 2.0 percent.

Operating EBITDA for the quarter reached ₹2,355 million, a 9.9 per cent rise compared to the same period last year, and an increase of 1.9 percent sequentially. The EBITDA margin stood at 18.2 per cent, up from 16.9 per cent the previous year, while net income was ₹1,574 million, with a net margin of 12.1 per cent.

Tata Technologies also saw a positive shift in workforce metrics, with attrition decreasing by 60 basis points over the last twelve months to 13.1 per cent and a net headcount addition of 175 employees, bringing the total workforce to 12,680.

Tata Technologies secured several new projects from global automotive players this quarter. These include a mid-cycle refresh project for two vehicles with an Asian automotive OEM, where Tata Technologies will deliver a full suite of automotive engineering services.

The company was also chosen by a European luxury automotive OEM to develop a comprehensive e-Propulsion system, including components like inverters, batteries, and charging systems.

In a significant partnership, a global Tier 1 automotive leader selected Tata Technologies to establish an offshore development center (ODC) focused on embedded software development for electric powertrain products.

For another European luxury automotive client, Tata Technologies has initiated an AI governance framework designed around Responsible AI, large language models, standardization, controls, and enablement.

Multi-year growth

Tata Technologies also expanded its footprint in North America, with an automotive Tier 1 client selecting the company to support its multi-year growth plans through an India-based Global Engineering Center as part of its cost efficiency drive.

Additionally, an Asian automotive OEM engaged Tata Technologies to implement a Customer Relationship Management (CRM) platform, Lead Management, and Dealer Management systems. This unified “One Country, One Solution” system will span the client’s global network across over 16 countries.

In India, Tata Technologies was chosen by the Maharashtra Industrial Development Corporation (MIDC) to set up a Centre for Invention, Innovation, Incubation, and Training (CIIIT), reinforcing its commitment to driving innovation and skill development across the region.

Warren Harris, Chief Executive Officer and Managing Director, said: “Our Services business has returned to sequential growth this quarter with a 2 per cent increase in revenue. Our order book and pipeline remain healthy and combined with the continued positive momentum within our anchor accounts, we are confident that the second half of the fiscal year will show a stronger performance compared to the first half”

Harris added, “ The long-term fundamentals of our business remain sound. I would like to express my sincere gratitude to all our employees for their unwavering dedication and commitment to delivering exceptional service to our clients.”

Savitha Balachandran, Chief Financial Officer, said: “We remain focussed on maintaining a balanced approach of upholding operating discipline while strategically investing in capabilities to capitalize on the emerging opportunities in the industries of our key customer segments. Our EBITDA margin for the quarter stood at 18.2 per cent , supported by improvements in utilization and increased offshoring. Additionally, our disciplined execution led to strong cash conversion in the first half of the year, with free cash flow to net income conversion exceeding 100 per cent . We are committed to delivering long-term value for all our stakeholders.”

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