L&T Technology Q4 Results Review - Inline Expectations; Uncertainty To Impact Growth Momentum: Axis Securities

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Axis Securities Report.In Q4 FY24, L&T Technology Services Ltd. reported revenue of Rs 2,538 crore, up 5% QoQ. The company reported operating profits of Rs 428 crore, posting growth of 2.9% on a QoQ basis. The company’s operating margins declined by 30 basis points to 16.9%, which was largely led by better cost management and reduced onsite expenses during the quarter. Its net profit for Q4 FY24 stood at Rs 341 crore, registering a growth of 1.4% on a QoQ basis..From a long-term perspective, we believe L&T Tech is well-placed for encouraging growth backed by multiple long-term contracts it has established with the world’s leading brands. Furthermore, better revenue visibility gives us confidence in the company’s business growth moving forward. However, rising concerns over the prospects of large economies along with prevailing supply-side constraints pose uncertainties over the company’s short-term growth rates..We recommend a Hold rating on the stock and assign a 30 times price/earning multiple to its FY26E earnings of Rs 165.2/share to arrive at a target price of Rs 4,900/share, implying a downside of 5% from the current market price..Click on the attachment to read the full report:.L&T Technology Services Q4 Results: Revenue Surges Nearly 5%, But Margin Contracts.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

L&T Technology Q4 Results Review - Inline Expectations; Uncertainty To Impact Growth Momentum: Axis Securities

The management has given revenue growth guidance of 8% to 10% in constant currency terms in FY25

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