LTTS confident of reaching its 24% revenue guidance, says CEO

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26 Aug, 2025 12:21

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As the technology investment in automobile sector and infrastructure continues, L&T Technology Services (LTTS) is confident of delivering the said 24 percent revenue growth for FY19, Keshab Panda, CEO and Managing Director.

The company had revised its revenue guidance from 16 percent in the beginning of the fiscal 2019 to 24 percent in October 2018 on account of healthy deal pipeline and fresh technology transfers.

Keshab Panda, in an interaction with Moneycontrol on the sidelines of a technology conference on April 26, said the transportation and telecom sector is the fastest growing for the company and is a key driver for growth given that there are huge investment happening in this area.

The market size for engineering and services is accelerating thanks to huge market opportunities that is opening up. Panda explained that LTTS’ top 30 clients with the revenue of $1.7 trillion are investing $75 billion in engineering and research. The top 100 companies have an engineering spend of $270 billion. “That is how big the opportunity is,” he added.

Siddharth Pai, founder of the fund 3one4 Capital, said in his column in Mint that outsourcing of engineering services has huge growth potential. In the column, Pai pointed out that outsourcing of engineering services has vast untapped potential given that software design is becoming a bulk of core-engineering processes.

Manufacturing companies such automobile makers are making heavy investments in technology as smart cars and autonomous vehicles are becoming a reality.

All these are key factors for driving growth for LTTS. While transportation and telecom are a major revenue generator, medical devices, industrial products and process industry are also growing for company.

In addition, the company is also looking to drive non-linear business. “We are looking if we can increase revenue without adding talents,” Panda said. That is where its technological solutions come in. The company has already developed applications such as UBIQWeise 2.0, LTTS IoT platform, wage management and I-BEMS, intelligent building experience management.

Through these solutions the company is trying to improve its non-linear revenue, independent of its project-based business model.

Apart from organic growth, Panda said that company is always open to acquisitions, and that the company is always on the lookout for enterprises that can complement LTTS. In September 2018, the company acquired Graphene Semiconductor, which specialises in chip design and embedded software.

However talent continues to be one of the key challenges. “Finding the right talent and training them is a challenge,” Panda added.