Mumbai — Tata Elxsi reported nearly unchanged net profit for the second quarter of fiscal 2027 on Tuesday, even as the Indian design and technology services company recorded higher revenue and operating earnings across its major business segments.
Net profit for the quarter ended September 2026 stood at Rs 170.3 crore, compared with Rs 170.6 crore in the preceding quarter, according to a regulatory filing.
Revenue from operations increased 3.4% sequentially to Rs 1,055.7 crore from Rs 1,021.1 crore. On a constant-currency basis, revenue grew 2.3% quarter-over-quarter.
The company’s operating performance strengthened, with earnings before interest and taxes (EBIT) rising 7.2% to Rs 207.7 crore from Rs 193.7 crore in the June quarter.
Its EBIT margin improved to 19.68% from 18.97%, reflecting gains in operational efficiency.
Tata Elxsi reported revenue growth across its three major business verticals, including transportation, media and communications, and healthcare and life sciences.
Transportation revenue increased 2% in constant-currency terms, while media and communications grew 3.4%. The healthcare and life sciences business recorded 3.5% growth during the quarter.
The transportation division, which accounts for more than 55% of the company’s Software Development Services business, secured a multiyear contract with a major automotive manufacturer to develop a cloud-based telematics and connected vehicle platform.
Tata Elxsi also announced a strategic partnership with Sarla Aviation to support the development of Shunya, an electric vertical takeoff and landing (eVTOL) aircraft.
The media and communications division, representing 33.6% of Software Development Services revenue, benefited from expanding existing contracts and securing new business.
Among its significant contract wins was an artificial intelligence project for a global technology company involving the development of a generative AI-powered virtual assistant designed to support multilingual interactions and improve digital customer experiences.
The results reflect continued demand for Tata Elxsi’s engineering, product design and digital transformation services across the automotive, communications and healthcare industries.
Ahead of the earnings announcement, Tata Elxsi shares rose 5.21% to close at Rs 3,426.70 on the National Stock Exchange of India. (Source: IANS)
