L&T Technology Services · tone and specificity signals across the available quarters.
Language signals
We believe that AI is a six layer cake. It's real and LTTS is uniquely positioned with capabilities spanning the entire tech stack from energy to chips to infrastructure to data engineering, AI models and real life world applications.
We will continue to grow sequentially in revenues and margins in the quarters ahead. We remain committed to our aspiration of delivering 13 to 15% CAGR over the next 5 years while maintaining EBIT margins of 16 to 17%.
We do believe that we are still between six to nine months ahead of competition in this area [Engineering Intelligence]. Clients are able to see the value and allow us to keep some of that as well.
AI is clearly embedded [in large deals]. We are starting at that level - consulting and being the consultation partner to our clients on which engineering processes to take and roll out EI or AI and which ones to leave because the ROI is not there.
The whole idea is try and get three digit approvals and wait for that to work out... The 100 million win is not across two years. This 100 million win is across five plus years, right? The 60 million win is a five year win.
What's happening for sure is that clients are also starting to have larger conversations, have the appetite to have larger conversations. In fact, a lot of our client conversations today are happening... can you come and sit down with me and tell me strategically, I'm trying to think about engineering for the next 10 years.
We maintain our aspirations of mid-6% margin between quarter 4 FY27 and quarter 1 FY28. All of this will lead to H2 FY26 margins better than H1 FY26 margins.
We have taken decisive actions for delivering full stack engineering intelligence EI solutions. Trying to become the first company worldwide in EI solutions.
We expect margins to continue to improve from here on based on capital allocation towards high margin segments of sustainability and mobility, selective choice of portfolio and geography which will result in improvement in quality of revenue and thus improvement in margin and operational efficiencies including AI E2 delivery.
Look, our ambition is to become the world's first and biggest EI company in services and solutions and we will continue to march towards that.