Larsen & Toubro Infotech (LTI) on Wednesday reported that its profit after tax in the third quarter ended December 31 grew 17.95 per cent to ₹612.5 crore from ₹519.3 crore in the same quarter last fiscal. On a sequential basis, PAT jumped 11.02 per cent from ₹551.7 crore last quarter.
Revenue from operations increased by 31.2 per cent to ₹4,137.6 crore (₹3,152.8 crore). The revenue went up by 9.8 per cent QoQ from ₹3,767 crore.
“In the third quarter, we have continued our impressive momentum with robust growth across sectors, regions, and all client buckets. This has been our best quarterly sequential growth as a public company, and the new client addition has also been the best since our listing,” Sanjay Jalona, CEO and MD, LTI told BusinessLine.
Vertical-wise BFS, Manufacturing, Insurance and High-tech, Media & Entertainment remained the top revenue contributors.
Attrition rate ballooned to 22.5 per cent in Q3 from 19.6 per cent in Q2 and 12.4 per cent in Q3FY21.
Jalona added, “Our broad-based growth is driven by three key levers – The Great Restructuring caused by the pandemic which is driving the need for agile technology partners that can enable disruptive transformation at speed, new spend areas such as ESG, cybersecurity, and lastly, the demand generated due to talent-related challenges faced by clients themselves. At LTI, we will continue to invest in building capabilities that are relevant for our clients.”
Merger announcements
Separately, LTI merged and absorbed three of its wholly-owned subsidiaries --PowerUpCloud Technologies, Lymbyc Solutions and Cuelogic Technologies.
PowerUpCloud is in the business of AWS Premier Consulting with capabilities in Cloud consulting, migration, DevOps automation cloud native application development, managed services, data warehousing, Bl dashboards, machine learning and Big Data.
Lymbyc Solutions works on AI, ML based advanced analytics. And Cuelogic Technologies is into building and modernising digital products leveraging cloud native methodologies on web and mobile.
The company said that the planned amalgamation will help it in streamlining the organisation, avoiding management overlaps, serving customers better and controlling operational costs since these entities are into similar businesses as LTI.
“The proposed amalgamation will help pool and combine finances and resources into one consolidated entity which will result in administrative and operations rationalization, organization efficiencies, optimal utilization of various resources, overheads and other expenses and better compliance management,” the company stated.