L&T Technology Services Limited analyst Q&A

Thank you very much. Our first question comes from the line of Ravi Menon from Macquarie. Please go ahead.

Hi, thank you for the opportunity. Congrats on really good deal wins. I want to check about the growth across geographies. It looks like the core geographies are doing well. Americas and Europe have grown. Even India has grown. The rest of the world has seen a decline. Should we think about that correlated to the challenges in Automotive?

No, I would not necessarily do that. See, the way to look at it is that there are businesses in ROW that we did decide that we will look at. They are small. So, I would not worry. Basically, our strong geographies, the US, Europe as well as Japan actually have grown and done well, and that's where it is.

And any progress on taking SWC to the Middle East?

Yes. So, that is where we have been working on. So, we have got a pipeline in the Middle East that we are working on, but it is taking longer than what we had expected in terms of closures in the Middle East. In fact, we have got some good inquiries for S mart World in the US as well, but again, going slower than what we had anticipated.

And one last thing. You had started a cybersecurity center in the US So, is that something that can leverage the credentials of Smart World Communications in India?

So, again, if you go look at Smart World, there were three parts to it. There was a Smart Cities piece, there was a Telecom Infra piece and there was Cyber piece. And broadly, if I recall, about 60%-65% was cities, about 40 -odd % to 35%-38% was Telco Infra and the remaining was the Cyber, very small. So, Cyber now I can confirm is in excess of, I would say, at a company level, we have been able to take it about between 1.0% -2.5% of our revenues and fairly profitable. The Telco Infra piece is anyway international. In fact, this large deal win that we had with the Telecom operator was from that area and because of the credential. Smart Cities continue to be like I talked a little down.

Thanks so much for the call. And the $100 Mn in Sustainability, just to confirm, this is the largest deal win that you had in this segment, right?

This is the largest deal we have had in this segment. If I recall, we had a deal that was $100 Mn in the Oil and Gas space. It was, I think, about 4 years ago or 5 years ago. And so that was that. And now the $100 Mn in Sustainability, in IP is the first $100 Mn deal. And no rebadging, all offshore, largely offshore, a little bit onsite, in line with the Sustainability margins.

All right. Thanks so much. Best of luck.

Thank you. Our next question comes from the line of Bhavik Mehta from JPMorgan. Please go ahead.

Thank you. So, a couple of questions. Firstly, on the Auto vertical, we do expect recovery from 4Q, but how should we think about the pace of recovery over the course of, let's say, by CY26? Is there something where you expect a gradual recovery or there could be some pent-up demand because of the recovery could be more faster?

So, first, I am an optimist, right? And for those that have met me they would agree with that. See, here's what I am seeing in the market. There's a certain certainty that has come into the decision-making in the last couple of months where we are seeing people accept the new normal and start to make decisions for their business, for their customers, for their products, reshoring of manufacturing starting up. I am not saying production has started, but permits are being built, taken up, etc. So, I am seeing that happen for sure. Second, AI in enterprise, there's a lot of use cases, but AI in manufacturing and engineering are also picking up steadily. In fact, every Board is asking our Head of Engineering or Head of Product Development, our CTOs, have you used AI and where? So, it's coming top down. So, those 2 are, in my view, some very strong signs that stuff will start to pick up pace right about February time frame because again, October, November, December is a furlough quarter. We will see how it goes. It's not a washout, but we will see. We hav e to grow, right? So, that will be there. There are also a lot of consolidation deals going on. See, there are companies in Western and Eastern Europe that are getting consolidated against, because their skil l sets don't match the latest skill sets needed. So, lot of activity is going on, I would say. And I do hope that Feb onwards will be higher growth than current year growth has been. I hope I have answered your question.

Yes, that's helpful. Thank you for that. The other question is the large deal what we are reporting, at $200 Mn, which was trending in the last few quarters, gone up to $300 Mn now. Is this entirely net new? Or does it include an element of renewals also? Because if the renewals are also included, then what is the ratio of net new over the past few quarters trending?

Yes. So, about 20% would be what was already there and 80% broadly is what we have built on as add-on new. That's how you should look at it.

Okay. Got it. That's it from my side. Thank you.

And one more point, just to answer that. Most of the deals we are getting when we are announcing a TCV $10 Mn +, it is a plus-plus. It is not just a renewal. I am just making sure that you understand that.

Right. Right. Got it. Thanks.

Thank you. Our next question comes from the line of Karan Uppal from Phillip Capital (India). Please go ahead.

Yes. Thanks for the opportunity. Just a question on the TCV to revenue conversion. So, LTTS has been reporting very strong TCV since last 4 quarters, but the growth has been a bit soft in the last couple of quarters. So, from here on, how do you think abo ut the TCV to revenue conversion? Your commentary suggests that the revenue conversion is improving. Do you think that the clients are now more open to spending now versus, let's say, 6 months back? That's the first question.

Sure. So, to answer your first question, see, broadly, if you look at it, our wins used to be in $100 Mn range, and they have jumped to $200 Mn for the last 4 quarters, including this quarter. Now if you look at Sustainability, we have announced a deal that was $70-plus Mn in Q4, and that is one big one that we did in Sustainability. And you have seen that Sustainability is growing, right? So, I would say that the way to think about it is that Auto has been subdued. Like I said, program pauses have continued and subdued. Otherwise, you would have seen this come out full potential in terms of the growth. And we are working on it. And I do believe that H2 will be better than H1.

Okay. Amit, last time you mentioned that for FY26, organic growth would be better than last year. Do you still hold to that guidance?

I said double digit, and I hold to that.

Okay.

See you also should be aware. No, so good you are asking it. Look, we have always been very honest and transparent. So, you should be aware that we continue to look at the portfolio and see if there is stuff that's really dragging us down, non-strategic, we try and avoid doing such stuff. So, because we want to maintain market dominance in the areas we operate. So, the way to look at it is that, like I said, Feb onwards, I am not saying that nothing will happen in Q3. I am confirming H2 better than H1. I am also not saying it's going to be hockey stick Q3 to Q4. There will be growth, but I can see clear signs of the burst coming Feb onwards.

Okay. Thanks for that clarification. One question for Rajeev. Just a bookkeeping one. So, depreciation has been rising for 3 quarters, post Intelliswift acquisition. So, how much should we bake in from a go-forward perspective?

So, what I would guide is see, this quarter, we did have capitalization of one of the facilities that we have set up in Baroda. That's a dedicated facility for LTTS. So, there is indeed increase in depreciation on account of that. You should model depreciation in the range of ₹ 95 crores in a quarter.

Okay. Thanks, and all the best.

Thank you. Our next question is from the line of Manik Taneja from Axis Capital. Please go ahead.

Thank you for the opportunity. I wanted to check with you on a couple of things. First of all, on the Tech side, if you could break your commentary in terms of what are you seeing within your heritage portfolio, the Intelliswift portfolio and SWC? That's question number one. The second question is that through at the start of this year, you had supported certain strategic customers through certain price or volume discounts, and which have been a headwind to margins in the more recent quarters. You were expecting them to essentially go away from sometime in Q2 and thereby margins expected to improve. Are we on track on that? And the third one essentially is on wage hikes for the year, if you could give us your thoughts on the same. Thank you.

So, let me start with the third question. Wage hikes are in consideration. We are working on it. So, it will be either sometime in Q3 or sometime in Q4. It is a decision to be made, and we are working through it. And we are committed to doing it in one of the quarters or last time we had done it in November of last year. So, we are working on it. So, please give us a little time on that as we go through stuff, right? But either Q3 or Q4, we will do it. Now in terms of client support, I am happy to report that the client support has ended as of Q2 end. And Rajeev can add more color, but the margins will improve from here on, like we have said. Now let me go to the heritage portfolio, etc, on Tech. So, start with Smart World. Smart World, Smart Cities, we are not seeing a lot of traction. And for Telco Infra part of it and Cyber are doing okay for us, growing. And we are being very picky and choosy on the jobs that we pick up in Smart World, because we are careful about the margins that we operate under. Middle East is something we have invested in a sales team. US, we have invest ed in a sales team. There are active deals. We had closed one earlier. We have executed it. Others, we are working on trying and do that. So, there is an active pipeline that we continue to work on. But very honestly, I would have expected this to be faster. It hasn't panned out at the pace that we had expected. Now I’m going on to Intelli. Intelli, we had picked up at x margins, and we had committed to you, we will grow the margins. I can confirm to you that the Intelli margins stand -alone have grown also QoQ. Now in terms of the heritage business that we have plus, we are actively talking to grow accounts. In fact, 3 accounts that are hyperscalers are $30Mn+ accounts for us. We have been posting stuff on LinkedIn also, you can look at it, a lot of excitement that we have created around some accounts. Now if you go to the Heritage business, which was Media & Tech, Semiconductor, and some of the Medical areas, we have won the $60 Mn account that was in the Telecom place. So, done okay. There are certain areas which we are looking at reducing there, because some of the work that we have got is non-strategic. So, we look at it but largely growing. And we had another win on Telecom Infra last quarter, if you remember, in Telecom Infra this quarter as well. So, growing, right? Medical has been a little slow in the US for us. We have won some very interesting programs in Japan. We have won a good, very nice program, client in Ophthalmology, very excited about it. I am happy to share that now we have a near $50 Mn account in Medical. We also have two $10 Mn+ accounts in Medical that are really promising. And some of them, 3 actually. And then we have got others that are sub $ 10 Mn or above $ 5Mn. So, we do believe the change of approach with a new segment leader, along with a dedicated sales team that's been reorganized will help us bring growth back in this, say, from Q4. I hope I have answered your question.

No, that's quite helpful. And just one clarification. Your outlook on margins probably will stay respective of the wage hike that is yet to essentially be decided upon. And will that probably be an incremental headwind for our margins in the near term?

So, Rajeev here, let me add to that. Amit already mentioned the fact that, look, this is in consideration, and a lot of factors are being evaluated at this stage. It will be an event either in Q3 or Q4. But whenever that decision is being made, our commentary around H2 margins being better than H1 continues, right? So, we will be able to absorb the headwinds that come from wage hikes.

Great. Thank you, and all the best for future.

Thank you. The next question is from the line of Vibhor Singhal from Nuvama Equities. Please go ahead.

Yes. Hi. Thanks for taking my questions. And congrats on very solid deal wins. Amit, my question is on the deal wins again. I think we have seen very strong deal wins. And gradually, I think every quarter, we are just upping the benchmark in terms of the deal win quantum that we are reporting. So, just wanted to understand 2 parts to this question here. One is, of course, is it mainly because that like, we have become bigger and we have basically been able to get more kind of capabilities un der our belt, that we are able to win these kinds of large deals ? Or is it something different that we are doing? And secondly, is it somehow also a reflection of how the ER&D industry has evolved that now we are seeing the kind of deals that we had never seen before. And maybe we will probably see more of such large deals going forward also?

Sure. So, thank you so much for that question. See, number one, what's changed is that for us is that instead of one central sales organization, we now have 6 sales teams in the US across the 6 segments, plus a regional sales team in Europe, in India, Mid dle East and Japan and Australia, right, ROW. So, that's number one, we have created a lot more capillary force here. Second is that we have been investing in technology, I believe, at times ahead of the curve and filing that 216 patents in AI is a signal of that. And getting like 1% of trailing 12 months of revenue is not a lot, but vindication that we are on the right path from license sales and most of them AI license sales is a good vindication that the technology we are ahead. Third is the type of conversations we are able to have with our customers actually involves the CTO, involves the Head of Product Development, involves the Head of Manufacturing, includes at times the CIO for the manufacturing part, is helping us in mapping up larger areas and picking up more areas than we did earlier. Fourth, as practice, see, earlier, we would go, and we would pick up an order for $1 Mn be happy come away. Now we ask the question, if you are giving me a $1 Mn PO, can you give me a 3 - year SOW. So, there's some certainty to the demand. So, what we are building is we are building steps of the future that some of this TCV will. So, like this, this $100 Mn win is not across 2 years. This $100 Mn win is across 5+ years, right? The $60 Mn win is a 5+ win. So, the point is the duration, we are trying to increase the duration. We are not doing 10 years. We are not doing 20 years. The highest we have done is 7.5 years for a deal. But the whole idea is try and get 3 -digit approvals and wait for that to work out. So, that's the large intent that we have got. So, net -net, more sales penetration; second, pre -investment in Technology; third, mapping further areas. And fourth is getting into the larger terms. fifth is, and I just want to make a point, see, many years ago, we didn't have Automotive when we started. We invested in it; we got into it. 4 years ago, some of you gave us feedback that you are working with Tier-1s. In Automotive, you don't work with OEMs. Today, 80% of the work in Automotive, 85% actually is coming from OEMs, West Coast OEMs, East Coast OEMs, Midwest OEMs and Europe OEMs, Japan OEMs. Similarly, you have given us feedback that you are not focused on Tech. You are not looking at hyperscalers. Today, 3 hyperscalers are 25 Mn+ accounts for us. So, we continue to learn from you. We learn from others. We learn from our customers, and we continue to grow. And that is helping us, if you ask me in this TCV. Now I also want to tell you because somebody will ask the next question that will Q3 also have $300 Mn win. I am telling you right now, Q3, I am confirming $200 Mn. Still, we will try that $200 Mn. let me walk, and then I will run. So, I am walking right now at $200 Mn, God was kind. Diwali was there. We got $300 Mn, now maybe Christmas also, we will get $300 Mn, we will see.

Got it. Got it. That's really encouraging to hear. So, is it fair to say that maybe clients are also now okay to award slightly longer duration deal or let's say, clients are also okay to award, what should I say, a multifaceted deal. As you mentioned, you start with the CTO and production engineering head in multiple. Earlier, I think most of the deals in ER&D used to be with, let's say, a specific segment and then maybe used to cross -sell. But now at the time of inception of the deal itself, you are able to stitch together multiple departments. Is that a change that is happening in the industry gradually?

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. And some of our clients can you come and sit down with me and tell me strategically, I am trying to think about Engineering for the next 10 years. And as I look at Engineering and Technology for the next 10 years, what should I do in -house? What should I take out? How should I reskill my people, right? So, those are the larger conversations we are having and much more meaningful than give me 10 bodies and give me one horse and go away.

Got it. Got it. That is great to hear. Just one last question for Rajeev. Rajeev, this quarter, would have seen a good amount of, let's say, margin tailwind from currency depreciation. Despite that, we saw only 10 basis points of margin expansion on a sequential basis. Any margin work that you would provide as to how much the currency benefit was in the margins and where was it consumed?

So, Vibhor, the way I would try to explain this is, see, there is, of course, a tailwind coming from FX. But what you also see are the headwinds that are coming from the Auto subsegment of Mobility, right? And I will request you to talk more to Sandesh on the specifics. But if you really put it together, that's where it is. And hence, you see just about a 10-bps improvement. Having said that, I have already called about the fact that, look, whatever strategic support that we are offering to our customers between Q4, Q1 concludes in Q2, right? So, going forward from Q3, we should see improvement in margins. Of course, FX continuing should be a further tailwind for us, but that's where we are, Vibhor.

Got it. And the mid-16% margin guidance by Q4FY27 or Q1FY28 that you are confident about?

Yes, absolutely, Vibhor.

Perfect. Good. Thank you so much. Thanks for taking my questions, guys, and wish you all the best.

Thanks.

Our next question comes from the line of Sandeep Shah from Equirus Securities. Please go ahead.

Yes. Thanks for the opportunity. Amit, you also mentioned in your opening remarks in the US reindustrialization is an emerging opportunity. So, why am I asking a question because some parts of the tariff-related announcement are still changing period after period. So, in this kind of a scenario, clients are in decisive mode. So, I just wanted to understand the nature of this demand, especially in the US

Sure. Sure. See, what we are seeing is that, to start with, when the tariffs got announced and the whole thing was being negotiated, our clients built a lot of what if then scenarios, right? And which included either changing the supplier, moving supply f rom Mexico to the US, China to the US, looking at India, looking at other places. So, we saw all those scenarios and they consulted with us, they consulted with others in that area. What we have seen in the last 2 months is some of those people have come up with those decisions that irrespective of what gets announced further, let's make this move and do XYZ. Specifically, we are seeing discrete manufacturing being set up or factories being expanded or starting to get expanded, plants being done in that area, clearly. Second, we are seeing in Medical and Pharma, people actively looking at doing stuff in the US itself. There is some amount of high -end electronics that people are talking about. And look, I would actually request you, why don't you look at the sales of people like Siemens, ABB, Hitachi and all these guys in the industrial automation demand that they are reporting, that is new sales that are happening in the US and Europe. And you will realize that all of this is going into some of these newer plants, refurbished plants that are happening. Am I sayin g production has gone up drastically? No. What I am saying is the plan ts are being activated. There's a lot more kind of certainty in that area that people are developing.

Thanks for the detailed answer. Helpful. Just a couple of follow-ups. In terms of Intelliswift, you mentioned that the margins have gone up. Is it the revenue trajectory also moving up on a QoQ basis?

So, Sandeep, Rajeev here, let me take the question. So, see, both the aspects, right? One, of course, the revenue growth because we definitely see opportunities on the Software Platform side, working with the hyperscalers and also the adjacencies that we talked around in terms of Healthcare. The other is on the margin. We talked about the integration plan, and we had called out that, look, we have an opportunity in terms of the margin improvement at the project level. We also have an opportunity in terms of rationalizing the SG&A cost, right? So, if you really see in Q2, there's about 50 bps of improvement, that's actually 40 -50 bps improvement that's coming on the SG&A cost. So, indeed, some of the plans are translating. So, it's not only the revenue part, but also the integration plan that's working through. And likely, we will see that, look, a few more quarters, we should have Intelliswift get to what used to be Tech-like segment margins, which is where we probably will conclude because essentially, we want to grow the business. We want to invest in the business so that we are able to tap into the opportunity that is with hyperscalers.

Okay. Thanks. And sir, just last question in terms of the guidance on double digit. My calculation implies 3% growth. I understand Q4 seasonality strength generally comes through SWC. But in the Q3, don't you believe furlough can have an impact in terms of achieving this kind of ask rate in Q3, Q4. Q4, just a question whether SWC seasonality may continue even this year?

To be played out for the year, half year. Lots of stuff in progress, action, we will see where it ends up.

Right.

Hi, good evening. Thanks for the opportunity. Just wanted your thoughts on the fact that see the last 3 quarters, including the fourth quarter, we have had deals consistently with about $200 Mn. Now if you look at the revenue accretion, could you contextualize that? Has some of that not ramped up or been pushed out or have they been ramped up and this sort of replaced the leakages on the book? So, I am just trying to understand if you have a rising backlog? Or is it that it just made up for the leakage?

So, look, the order book has grown. So, the backlog has grown definitely. In Engineering, the ramp-ups, unless you are doing a rebadge, there's a gradual ramp-up. See, like, for example, the $100 Mn win that we had almost 5 years ago in the Oil and Gas customer continue to grow with us. They finished at $100 Mn, gave us mo re. Now it's become a $50 Mn ARR account for us, 2nd Quarter in a row. So, it takes a little time for these to become 50 Mn accounts, 30 Mn accounts, all that. So, when you look at $200 Mn, the average of that $200 Mn is approximately between 4 -odd years that you have got, right? So, that's how you manage that. Second, so then if you do the math, it then goes to order backlog and there's a ramp -up that's a little slow. Third, Mobility has been a challenge. And if you remember, last 2 quarters, I have been saying that, that Mobility has not grown for us. Some of the accounts have ramped down. There has been program pauses. And we believe it will come back. My belief is Feb, March, it will come back, but that's where that is. And that's the reason you are not seeing it directly totally drops down and show up. Like if I may, see, if you look at the margins also, we had some client support to be provided in the last 2 quarters. Now that that is gone, you will see that come into the margins. So, give us a little time, work with us. And I am excited that we are able to get to this number of TCV wins. We will continue to push on this and then revenue realization. Thank you.

Perfect. Yes. That's actually quite encouraging from a deal win improvement perspective. Thanks for that. On the margins, this client supports, what do you think we should be penciling in, in terms of recovery in margins in the second half broadly? How should we think about it?

Nitin, this is Rajeev here. So, I already mentioned it earlier. I am not sure if you are able to hear me out. But the strategic support that we had called out between Q4FY25, Q1FY26 and Q2FY26 comes to a conclusion in this quarter, right? We are not anymore carrying that forward. We have also said that our H2 margins will be better than H1. That begins with Q3 itself. We haven't given a specific number so far on the margin for the year. We have definitely given clarity that we will come back to mid-16% levels by Q4FY27 or Q1FY28. So, yes, the margins will improve from here on, though we have not put a number for the year, given, of course, all the headwinds that we saw between Q1 and Q2. But yes, I think the worst is behind us now.

Perfect. That's helpful, Rajeev. Thanks a ton, and all the very best.

Thank you. Our next question comes from the line of Prateek Maheshwari from HSBC Securities. Please go ahead.

Thank you for the opportunity. Amit, I had a question, I just wanted you guys to double -click on the outlook for Mobility. So, you guys expect probably furloughs in 3Q, but growth from 4Q onwards. I wanted to understand if you guys also think that probably Automotive could also turn to growth by that timeline. And would it be just because of Trucks & Off-Highway, and Railways?

Can you just repeat this question, please?

Amit, I wanted to understand, so your guidance is basically Mobility would turn to growth by Q4. So, I just wanted to understand probably if you can give it subsegment -wise, what do you think about Automotive in that? Or would it be just based on the ramp -ups that you are seeing with Trucks & Off-Highway, and Railways?

So, as you are aware, Mobility for us is 3 parts. So, we talk about Automotive, we talk about Trucks and Off-Highway, and we talk about Aero and Rail. And if we look at how this quarter played out, we actually grew in the other sectors and Automotive was quiet. We expect Q4 to come back with growth in Automotive itself. We are seeing deals starting to ramp up that we had closed earlier and we had talked about. They took a little bit of time, but now we are seeing that happen. And this is cross borders. So, we are fairly confident that unless something happens dramatically different in the next few months in Q3, we should see a good amount of growth coming across all the 3 sectors that we have in Mobility.

One question I had for Rajeev. So, I just wanted to understand SG&A. Like how much of target reduction is there with the Intelliswift integration?

So, Prateek, wouldn't be able to put a number to that, but I can give you an overall view in terms of where we see the SG&A for LTTS to finally arrive at. So, prior to the Intelliswift acquisition, I had mentioned that our then target range used to be bet ween 10.5% to 11 .0%, right? At this point in time, we are at about 11.5%. We will continue to work upon this, because we are also conscious that with the opportunities that might come ahead of us, we will invest in sales. G&A, we will continue to look at as part of the economies of scale, the AI solutions, etc. So, our target range for LTTS would be between that 10.5% to 11.0% range, which will take us a few quarters, more than a few quarters, but that's what we are working towards.

Yes. Hi. Thanks for the opportunity. Most of my questions have been answered. Just one thing, just to try getting into this 16.5% that we are talking about, does that build a significant growth acceleration in the coming year or a similar growth rate that we are locking this year should be able to reach this point?

Yes. Sorry. We talked about 16, mid-16 before this. We will carry on with that from here on. So, it will be quite gradual.

Yes. My question was more on the growth side. Do we expect growth acceleration as a precondition for this to be achieved?

Not really. So, we haven't put like growth will only lead to margins. I think I have talked about 3 or 4 areas. Of course, there is one growth, quality of revenue. We are seeing a lot of large deal wins in Sustainability, which is, of course, a tailwind for us. That's one. Second, you will continue to see AI -led delivery improvements. And that's across all the functions, right? We are looking at AI internally and also trying to see how best we can drive efficiency and economies. Third, I talked about SG&A. I also mentioned the targeted range. That's the third part. Also, we are looking at the portfolio, because we want to be mindful in terms of how we want to grow the organization more towards where we see the opportunities with the customers and to tap into the newer areas of technology. So, any of the accounts or portfolio that are not margin accretive, we will give it a serious look, right? So, these are 3, 4 areas that we are look ing at. It's not just hinging on growth.

Sure. But given the kind of run rate we are seeing right now on the growth side of it and also that we are probably at a lower point of our margin in the last several years. So, what is so obvious to you that it gives you that confidence a meaningful 200 - 300 bps margin uptick is quite a possibility?

So, the 200-300 margin improvement that you are talking of, of course, is over a period of time. I have talked about between Q4FY27 and Q1 FY28. That's one. So, it will happen sequentially. Having said that, I think the biggest uptick that you will see is the strategic support that we called out in Quarter 4, Quarter 1 and Quarter 2 of this year concludes in Quarter 2, right? So, that will lead to a margin uptick. And then, of course, all the large deal wins that we are seeing in Sustainability, of course, that is the highest margin segment that we have. Mobility, we expect it to come back in terms of growth and profitability in Q4. So, there are varied factors. It is not that suddenly you will see a 200-300 bps improvement. That's all sequentially lined up.

So, thank you all for joining us on the call today. We hope we have been able to answer your queries. Any follow-ups, we will be happy to address them. With that, we are signing off and wish you a Happy Diwali again. Thank you all.

Thank you. On behalf of L&T Technology Services Limited, that concludes this conference. Thank you all for joining us. You may now disconnect your lines.

This transcript has been lightly edited for clarity and accuracy.