L&T Technology Services (LTTS), a leading pure-play engineering services company, has reported robust financial results for the second quarter of fiscal year 2026, while reaffirming its medium-term revenue target of $2 billion. The company's performance highlights its strong position in the engineering and technology services sector, with a focus on AI-driven innovation and strategic partnerships.

Financial Highlights

LTTS reported impressive growth in Q2 FY26:

*CC: Constant Currency

The company's EBIT margin stood at 13.40% for the quarter.

Record Deal Wins and Segment Performance

LTTS achieved a record high Total Contract Value (TCV) of nearly $300 million in deal wins during Q2, reflecting strong client confidence in its offerings. The company's multi-segment strategy showed positive results:

• Sustainability Segment: Grew by 3.00% sequentially and 12.60% annually, with a $50 million account on an annual run-rate basis.
• Tech Segment: Remained resilient, contributing to overall growth.

AI-Driven Innovation and Partnerships

LTTS is strengthening its position in engineering and industrial AI through several initiatives:

1. Launched an AI-first delivery model
2. Introduced new AI platforms and solutions, including Qguard.ai, FusionWorld.ai, PLxAI, AiNexus, GENIQ, and TrackEi™
3. Deepened partnerships across the AI ecosystem, including collaborations with SiMa.ai, NVIDIA, and the MIT Media Lab

The company reported that 1% of its trailing 12-month revenue now comes from licenses, indicating early success in monetizing these AI initiatives.

Strategic Collaborations and Recognitions

• LTTS announced a multi-year membership agreement with the MIT Media Lab to collaborate on AI-led innovations in its Mobility, Sustainability, and Tech segments.
• The company was certified during Caterpillar's 2025 Supplier Excellence Recognition (SER) event.
• LTTS was rated as a Leader by ISG in the U.S. for Medical Device Digital Services 2025 and Automotive and Mobility Services and Solutions.

Management Commentary

Amit Chadha, CEO & Managing Director of LTTS, stated, "Our strong momentum of large deal wins continued as we touched a record high TCV of near-USD 300 Mn in the quarter which reflects the confidence our global clients have in our next-gen offerings." He added, "With an increased order book and a sharp focus on resilient and profitable growth, we maintain our medium-term outlook of USD 2 Bn revenue."

Future Outlook

LTTS expects both revenue and EBIT margins to improve in H2 compared to H1 of FY26. The company aims for double-digit growth in FY26 and reiterates its medium-term outlook of achieving $2 billion in revenue.

Dividend Announcement

The Board of Directors has declared an interim dividend of ₹18.00 per share, with the record date set for October 27, 2025.

As LTTS continues to innovate and expand its AI capabilities, the company appears well-positioned to capitalize on the growing demand for advanced engineering and technology services across various industries.

L&T Technology Services Limited (LTTS), a leading global engineering services company, has announced significant leadership changes and impressive financial results for the second quarter of fiscal year 2026.

Executive Appointments

LTTS has designated three seasoned professionals as Senior Management Personnel, effective October 17, 2025:

1. Atul Kapur - Chief Segment Officer for Media and Technology
2. Aditya P Pathak - Chief Segment Officer for Mobility
3. Rupam Chaudhury - Global Business Unit Head for Medical & Life Sciences

These appointments aim to strengthen LTTS's leadership across key segments and drive the next phase of growth.

Q2 FY26 Financial Highlights

LTTS reported robust financial performance for the quarter ended September 30, 2025:

The company achieved a record-high large deal Total Contract Value (TCV) of nearly $300 million in the quarter, reflecting strong client confidence in LTTS's next-generation offerings.

Segment Performance

• Sustainability segment: Grew 3.00% sequentially and 12.60% annually
• Tech segment: Remained resilient
• Mobility segment: Faced some challenges with a 1.40% sequential decline

Strategic Initiatives

LTTS is focusing on an AI-first delivery model, investing in Gen AI, Agentic AI, and Physical AI. The company has launched several AI-driven platforms and solutions, including Qguard.ai, FusionWorld.ai, PLxAI, AiNexus, GENIQ, and TrackEi™.

Partnerships and Recognition

• Multi-year membership agreement with MIT Media Lab for AI-led innovations
• Certified during Caterpillar's 2025 Supplier Excellence Recognition (SER) event
• Rated as Leaders by ISG in the US for Medical Device Digital Services and Automotive and Mobility Services and Solutions

Dividend Declaration

The Board of Directors has declared an interim dividend of ₹18.00 per equity share, with a record date of October 27, 2025.

Management Commentary

Amit Chadha, CEO & Managing Director of LTTS, stated, "Our strong momentum of large deal wins continued as we touched a record high TCV of near-USD 300 Mn in the quarter. In the face of shifting market dynamics and geopolitical unpredictability, our 'Go Deeper to Scale' and multi-segment strategy is helping us grow."

He added, "With an increased order book and a sharp focus on resilient and profitable growth, we expect both revenue and EBIT margins to see an improvement in H2 compared to H1 of FY26. We aspire for a double-digit growth in FY26 and reiterate our medium-term outlook of USD 2 Bn revenue."

LTTS continues to strengthen its position in the engineering services sector through strategic appointments, technological advancements, and robust financial performance, setting the stage for sustained growth in the coming quarters.