L&T Tech jumps up 7.5%

L&T Technology Services rose almost 7.5% to Rs.1367, with volumes going up almost 4 times. Its 52-week high stands at Rs.1547.

The market is thrilled with the Q4FY18 performance of the company as they beat most estimates. Its rupee revenue rose 9% (QoQ) at Rs.1055 crore while dollar revenue was up 8% at $162 million. Operating profit rose 14% at Rs.170 crore while margins showed a good 75 bps expansion to Rs.16.1%. The company ended the quarter with a net profit of Rs.159 crore, up 26%.

In terms of verticals, telecom and hi-tech showed a 13.5% (QoQ) growth with telecom alone contributing 29% to total revenue. Its transportation showed a 7% growth and industrial products rose 3%.

Geographically, Europe led the show with a 16% sequential growth, with India coming in second at 8%, North America at 6% and RoW at 4%

Utilisation levels improved to 80.7% v/s 78.8% (QoQ).