Tata Elxsi reports 64.6% increase in Q1FY22 net profit at Rs113.37 cr
16 July 2021
Tata Elxsi, a leading provider of design-led technology services, has reported a 64.6 per cent year-on-year growth in its net profit, at Rs113.4 crore, for fiscal first quarter ended 30 June 2021.
Revenue from operations for the quarter increased by 39.4 per cent year-on-year to ?558.3 crore. During the period reported, company generated PBT of Rs153.9 crore, showing a growth of 63.9 per cent YoY.
Tata Elxsi had posted a net profit of Rs115.16 crore for the period ended 31 March 2021.
Earnings per share (EPS) for the quarter also was lower at Rs18.21 compared to Rs18.49 for the period ended 31 March 2021.
The company had reported EPS of Rs11.06 for the period ended 30 June 2020.
"We are pleased to report a strong start to the new fiscal with all-round growth across industries and key geographies. We continue to execute strongly on both top line and bottom line. Our healthcare business continues to grow strongly, while both transportation and media and communications reported another quarter of sustained growth. We are seeing sustained recovery in the automotive market for the third consecutive quarter,” Manoj Raghavan, CEO and managing director of Tata Elxsi, said.
“We have also won large and strategic deals with both OEMs and suppliers in EV and autonomous technologies, underscoring our technology and engineering leadership. This is reflected in both the industry and geography growth we have reported in the quarter. We have also won strategic deals in digital health, OTT and video platform development, which reflect on our ability to support the product and technology transformation agendas of customers in our key verticals,” he added,
During the quarter Tata Elxsi won the Nasscom Engineering & Innovation Excellence Award 2021 for Engineering Service Providers in all product categories. “This recognition is a testimony to Tata Elxsi's DNA of bringing design and technology together, leadership in each vertical we operate in, and our differentiated solution and value driven approach to the market,” he further stated.
The company’s growth was driven by both its key businesses, with Embedded Product Design (EPD), the company’s largest division growing by 7.5 per cent QoQ and 31.4 per cent YoY and Industrial Design and Visualization (IDV) posting a smart growth of 13.9 per cent QoQ and 132.1 per cent YoY.
The growth was led by Americas (17.5 per cent QoQ and 69.3 per cent YoY). Europe business grew 5.4 per cent QoQ and 30.1 per cent YoY while India business grew 2.8 per cent QoQ and 47.6 per cent YoY.
Within EPD, growth was broad-based across industry verticals. Healthcare continued to grow faster than the other industry verticals with growth of 19.3 per cent QoQ and 80.2 per cent YoY. Media and communications delivered another steady quarter with 8 per cent QoQ and 31.6 per cent YoY growth. Transportation continued to show revival with 3.4 per cent QoQ and 20.1 per cent YoY growth.