L&T Technology Services (LTTS) has surged 18 percent to Rs 1,547, also its new high since listing on September 30, 2016 on BSE on back of heavy volumes. Since January 18, 2018, post October-December quarter (Q3FY18) results, the stock soared 56 percent from Rs 989 as compared to 2.7 percent decline in the S&P BSE Sensex. LTTS had reported sequential US dollar revenue growth of 8.3 percent at USD 151 million in October-December quarter (Q3FY18). On constant currency (CC) basis revenue growth during the quarter under review at 8.3 percent over the July-September (Q2FY18) quarter.“LTTS’s growth will be driven by large client mining (T30-A3 strategy) with marquee base (48 of top-100 global ER&D as clients with large addressability) and strong deal momentum supplemented by S&M investments, vertical-wide strong deal wins (USD 50 million aerospace deal to ramp up from Q4, with a diversified vertical mix, and recovery in process industry vertical (12.7 percent of rev), following a prolonged slump,” analysts at HDFC Securities said in results review. Strong pipeline in automotive and OTH segment expected to drive transportation vertical (30.9 percent of rev) growth, supplemented by aerospace deal.
Industrial product vertical (21.8 percent of revenue) expected to pick up from Q4 and growth in Telecom & Hi-tech vertical (27.9 percent of rev) expected across sub-segments, it added.At 02:58 PM; the stock was trading 16 percent higher at Rs 1,513 on BSE against 0.89 percent rise in the S&P BSE Sensex. A combined 331,337 shares changed hands on the counter on BSE and NSE so far. – Business Standard