Tata Technologies Reports Decline in Q1 Profit Amid Higher Expenses

Tata Technologies Ltd reported a 15.4% decline in consolidated profit after tax for the June 2024 quarter, with profit at Rs 162.03 crore, down from Rs 191.53 crore the previous year. Revenue was slightly up at Rs 1,268.97 crore, but expenses rose to Rs 1,072.33 crore.

Global engineering and product development digital services firm Tata Technologies Ltd on Thursday reported a 15.4 per cent decline in consolidated profit after tax at Rs 162.03 crore in the June 2024 quarter, impacted by higher expenses.

The company had posted a consolidated profit after tax (PAT) of Rs 191.53 crore in the same quarter last fiscal, Tata Technologies Ltd said in a regulatory filing.

Consolidated revenue from operations in the first quarter stood at Rs 1,268.97 crore as against Rs 1,257.53 crore in the year-ago period, it added.

Total expenses were higher at Rs 1,072.33 crore compared to Rs 1,035.42 crore in the same period a year ago, the company said.

'The overall market conditions remain favorable as the manufacturing sector continues to future-proof itself through ongoing investments in alternative propulsion systems, software-defined products and services, and smart manufacturing,' Tata Technologies CEO and Managing Director Warren Harris said.

He said the company expects the sequential revenue growth of its services business to accelerate from the current quarter.

'Confidence in our full-year prospects is fueled by our order book, continued positive momentum within our anchor accounts and tailwinds that we expect to continue to intersect with across automotive, aerospace and industrial heavy machinery,' Harris added.

(With inputs from agencies.)