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Tata Elxsi Released FY2024 Earnings: Recorded Growth of 13% in Revenue

30 April 20243 mins read by Angel One
Tata Elxsi Limited recorded meaningful growth across all its business during the year ended March 31, 2024, despite global macroeconomic uncertainties.
Tata Elxsi Released FY2024 Earnings: Recorded Growth of 13% in Revenue
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One of the world’s leading providers of design-led technology services, Tata Elxsi Limited, recently released its operational and financial results for the quarter (Q4 FY2024) and year (FY2024) ended March 31, 2024.

Quarterly Performance

The company recorded revenue from operations amounting to ₹905.9 crore, reflecting a growth of over 8.1% on a year-over-year (YoY) basis. In addition, operating revenue growth was 7.2% YoY on a constant currency basis. The design-led technology services provider reported a growth of over 4.9% in profit before tax (PBT) to ₹262.4 crore on a YoY basis.

Yearly Performance

On a year-over-year (YoY) basis, the company’s revenue from operations increased by over 13% to ₹3,552.1 crore in FY2024. EBITDA and PBT margin for the year stood at 29.5% and 28.5%, respectively.

Declaration of Dividend

The company’s Board has recommended a final dividend of 700% (₹70 per equity share of par value of ₹10 each) for FY2024. However, this is subject to the approval by the shareholders of the

company at the Annual General Meeting.

Segmental Overview

  • Transportation Business: The company‘s transportation business grew 24.6% year over year and now accounts for 49.9% of its overall Software and Design Services segment (SDS) revenues. OEMs now constitute over 56% of the transportation business, and the company is embedded in the SDV programs of 5 global OEMs.
  • Healthcare & Lifesciences Business: On a YoY basis, the Healthcare & Lifesciences business recorded a growth of 10.8%. The company has built a strong foundation for continued growth, with the addition of 5 marquee customer logos in the year and expanded capabilities and platforms in new growth areas, such as digital therapeutics and connected health.
  • Media and Communications Business: During the fiscal year, the Media and Communications business experienced 0.2% growth. The company has performed effectively all year to protect business, gain marquee customers, and increase wallet share with key customers.
  • Systems Integration and Support (SIS) Business: This business is pivoting to value-added services, innovation-led projects such as experience centres, and supporting downstream deployment and run management for its products and platforms

“Financial year 2024 has been a year of consistent operational performance with a revenue growth of 13% despite global macroeconomic uncertainties and volatility in the media and communications industry over the last few quarters. We have done well to maintain industry-leading EBITDA margin at 29.5% for the year, even while we continued to invest in expanding our talent base through all four quarters, with a net addition of 1,535 Elxsians through the year,” said Mr Manoj Raghavan, CEO and Managing Director of Tata Elxsi.

On April 24, 2024, the shares of Tata Elxsi opened at ₹7,173.15 and touched the day high of ₹7,231.70 at 11:24 AM.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.

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