Tata Elxsi, a Tata Group firm that provides design-led technology services, on Tuesday said it reported a strong third quarter driven by a steady growth in transportation/automotive and healthcare segments in the global markets.
For the quarter ended December 31, 2023, the company reported ₹914.2 crore of operating revenue, a growth of 3.7% quarter on quarter and 11.8% growth year on year. In Q3, net profit grew ₹206.4 crore, 3.2% and 6.0% growth QoQ and YoY, respectively.
Company’s mainstay sector, transportation/auto grew at 2.7% QoQ, 15.6% YoY, aided by deal wins and ramp-up of software defined vehicle (SDV) engagements while healthcare vertical grew 4.6% QoQ, 13% YoY, driven by new product engineering and regulatory services, according to the company.
Manoj Raghavan, CEO and Managing Director, Tata Elxsi, said, “While we had some delays in planned ramp-ups and deal closures due to the short quarter and holidays, we are positioned well to capture growth opportunities in the continued transformation of the automotive industry and Software Defined Vehicles.’‘
Software-Defined Vehicles are vehicles that manage their operations, and functionalities and newer features primarily or entirely through software.
When its large peers in services posted flat or negative growth in people fronts, Tata Elxsi reported a net addition of 350 people in Q3 and 1,357 employees so far in FY 2024.
“Our employee engagement and talent retention strategies have contributed to attrition further improving to 12.9%,’‘ Mr. Raghavan added.
