L&T Infotech gains on 11% rise in Q2 net profit

Shares of L&T Infotech advanced nearly 2 per cent in intraday trade on Thursday after the company on Wednesday reported an 11.24 per cent rise in consolidated net profit at Rs 232.50 crore for the quarter ended September 30, 2016 against Rs 209 crore reported for the corresponding quarter last year. The company reported the earnings after market hours.

Total income of the IT company climbed 7.58 per cent to Rs 1,638.6 crore during the quarter from Rs 1,523.1 crore reported for the corresponding quarter of last financial year.

The company also declared an interim dividend of Rs 6.85 per share.

On a standalone basis, the company registered a net profit of Rs 227.90 crore, up 4 per cent year-on-year, against Rs 219 crore reported for the same quarter a year ago.

“We have been growing in all sectors that we operate in. Last quarter, that is Q2, growth was driven based on BFS and manufacturing sectors. The company has around Rs 600 crore cash on books and it will increase as our revenues go up,” L&T Infotech Chief Executive Officer and Managing Director Sanjay Jalona said in an interview with ETNow.

The company announced acquisition of AugmentIQ in the big data and analytics space last month, which positions it to enable data monetisation for clients across verticals.

“One of the areas where we will invest for the company in the coming quarters and years will be M&A and we have looked at over 150 assets and properties. We will continue to look at those areas where we would look at acquisition opportunities, analytics, digital, IOT, automation and cloud,” Jalona said.

Shares of the company settled 0.99 per cent up at Rs 634.75.