L&T INFOTECH LTD Announces Quarterly Results (4QFY20); Net Profit Up 12.9%

Thu, 21 May

L&T INFOTECH LTD has announced its results for the quarter ended March 2020. Here is a detailed performance review of the same:

L&T INFOTECH LTD Quarterly Financials

No. of Mths Qtr. Ending		3 Mar-19*	3 Dec-19*	3 Mar-20*	QoQ Change	YoY Change
Net Sales	Rs m	24,860	28,111	30,119	7.1%	21.2%
Other income	Rs m	674	642	702	9.3%	4.2%
Turnover	Rs m	25,534	28,753	30,821	7.2%	20.7%
Expenses	Rs m	20,094	22,834	24,339	6.6%	21.1%
Gross profit	Rs m	4,766	5,277	5,780	9.5%	21.3%
Depreciation	Rs m	371	709	747	5.4%	101.3%
Interest	Rs m	28	212	221	4.2%	689.3%
Profit before tax	Rs m	5,041	4,998	5,514	10.3%	9.4%
Tax	Rs m	1,256	1,231	1,239	0.6%	-1.4%
Profit after tax	Rs m	3,785	3,767	4,275	13.5%	12.9%
Gross profit margin	%	19.2	18.8	19.2
Effective tax rate	%	24.9	24.6	22.5
Net profit margin	%	14.8	13.1	13.9

Year-on-Year Performance:

• The company's operating income during the quarter grew 21.2% on a year-on-year (YoY) basis. The expenses were up by 21.1% YoY during the same period.
• The company's operating profit increased by 21.3% YoY during the quarter. Consequently, operating profit margins remained same and stood at 19.2% in 4QFY20.
• Depreciation charges increased by 101.3% and finance costs increased by 689.3% YoY, respectively.
• Other income increased by 4.2% YoY during the quarter.
• Net profit for the quarter increased by 12.9% YoY. Net profit margins during the quarter declined from 14.8% in 4QFY19 to 13.9% in 4QFY20.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 7.1% on a quarter-on-quarter (QoQ) basis. The expenses were up by 6.6% QoQ during the same period.
• The company's operating profit increased by 9.5% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 19.2% in 4QFY20 as against 18.8% in 3QFY19.
• Net profit for the quarter increased by 13.5% QoQ, while net profit margins increased from 13.1% in 3QFY19 to 13.9% in 4QFY20.

To see how L&T INFOTECH LTD has performed over the last eight quarters,please visit here.

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L&T INFOTECH LTD Share Price Performance

Over the last one year,L&T INFOTECH LTD share price has moved down from Rs 1,773.1 to Rs 1,772.2, registering a Loss of Rs 0.9 or around 0.1%.

Meanwhile, the S&P BSE IT Index is trading at Rs 13,625.1 (down 0.2%). Over the last one year it has moved down from 15,299.9 to 13,625.1, a loss of 1,675 points (down 10.9%).

Overall, the S&P BSE SENSEX is down 21.3% over the year.

Current Valuations

At the current price of Rs 1,772.2, the price to earnings (P/E) ratio of L&T INFOTECH LTD stands at 20.3 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 6.3 times.