Tata Elxsi Q2 profit up 39%; revenues from operations at Rs 763.2 crore

Tata Elxsi on Friday posted a net profit of Rs 174.3 crore in the second quarter (Q2) during the financial year 2022-23 (FY23), up 39.1 per cent from a year-ago period of Rs 125.3 crore. Tata Elxsi is a subsidiary of Tata Sons, holding company of the Tata Group.

For the quarter that ended September 30, the company reported a 28.2 per cent, year-on-year (YoY), rise in its revenue from operations, which came at Rs 763.2 crore.

The employee strength crossed the 11,000 mark during Q2 with 1,532 net additions.

Tata Elxsi's earnings per share (EPS) also improved by 39 per cent to Rs 27.98.

During the quarter, the company said it invested in expanding facilities in existing locations of Bengaluru, Chennai and Pune, and building new talent bases in Kozhikode and Hyderabad.

"We are seeing strong and sustained growth in the automotive and adjacent segments, led by our EV (electric vehicle) and digital capabilities," said Manoj Raghavan, CEO and Managing Director, Tata Elxsi. The company is gaining market share in both automotive and media & communications, especially in Europe, he added.

Raghavan further stated that "due to unfavourable currency movement," the numbers are muted in the region.

Meanwhile, shares of Tata Elxsi settled 1.72 per cent higher at Rs 8,455.85 on BSE. On NSE, the stock climbed 2.28 per cent to close at Rs 8,502.

The scrip has gained 45.11 per cent since the start of this year.

Tata Elxsi is among the leading providers of design and technology services across industries including automotive, broadcast, communications, healthcare and transportation.