Tata Technologies Q3 Results: Profit Up 7%, Meets Estimates

Tata Technologies Ltd.'s consolidated net profit rose 7% in the third quarter of the current financial year, meeting analysts' estimates.

The company posted a net profit of Rs 167 crore in the quarter ended December, according to an exchange filing on Tuesday. The bottom line met the Rs 171-crore consensus estimate of Bloomberg analysts.

Revenue grew marginally to Rs 1,317 crore in the December quarter, meeting the Rs 1,336-crore consensus estimate of analysts tracked by Bloomberg.

Earnings before interest and taxes for the quarter stood at Rs 204 crore, compared to an estimated Rs 237 crore, while the margin was 15.5%, as compared to an estimate of 17.7% by Bloomberg analysts.

• Revenue up 1.6% to Rs 1,317.4 crore versus Rs 1,296.5 crore (Bloomberg estimate: Rs 1,336 crore).

• EBIT down 1% to Rs 203.6 crore versus Rs 205.6 crore (Estimate: Rs 237 crore).

• EBIT margin narrows to 15.5% versus 15.9% (Estimate: 17.70%).

• Net profit up 7.1% to Rs 168.6 crore versus Rs 157.4 crore (Estimate: Rs 171 crore).

"We secured four large deals this quarter, and our pipeline remains healthy," Chief Executive Officer Warren Harris said. "We are seeing opportunities across digital engineering, smart manufacturing, GenAI and embedded software solutions, fostering measured optimism for Q4 and FY26."

"We are also investing in advanced tools and capabilities to position ourselves for accelerated growth as policy clarity improves and investments in new product development rebounds," said Harris.

Here are key highlights of the company's financial performance in the third quarter, as per a press release:

• Services segment revenue of Rs 101.3 crore, an increase of 1.2% YoY and 0.8% QoQ.

• Services segment revenue in constant currency up by 1.1% QoQ.

• Net income at Rs 16.9 crore; up 7.1% QoQ.

• Net margin at 12.8%, an increase of 70 basis points QoQ.

• 20-basis-point sequential improvement in LTM attrition to 12.9%.

• Workforce strength of 12,659.