Tata Technologies Q2 net profit dips 2% to ₹157 crore

Tata Technologies Ltd., a global engineering services company, reported 2% fall in net profit to ₹157.41 crore for the second quarter ended September 30, from ₹160.38 crore in the year-earlier period. 

Total operating revenue was up 2.1% at ₹1,296 crore YoY. The net margin was at 12.1%.

There has been a 60 bps improvement in the last 12 months attrition to 13.1%. The company saw a net headcount addition of 175 during the quarter, taking the workforce strength of 12,680.

Warren Harris, Chief Executive Officer and Managing Director, said “Our services business has returned to sequential growth this quarter with a 2% 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. The long-term fundamentals of our business remain sound,” he added.

Savitha Balachandran, Chief Financial Officer, said “We remain focused on maintaining a balanced approach of upholding operating discipline while strategically investing in capabilities to capitalise on the emerging opportunities in the industries of our key customer segments.”

“Our EBITDA margin for the quarter stood at 18.2%, supported by improvements in utilisation 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%. We are committed to delivering long-term value for all our stakeholders,” she added.

Published - October 28, 2024 07:32 pm IST