The company witnessed growth in India, Japan, and emerging markets while navigating challenges in the automotive sector. Key highlights include a new Offshore Development Centre for Suzuki and the launch of the AVENIR SDV software suite at CES 2025.
09 Jan 2025 | 2211 Views | By Autocar Pro News Desk
Tata Elxsi a global leader in design-led technology services, announced its financial results for the third quarter of FY25, ending December 31, 2024.
The company reported an operating revenue of ₹939.2 crore for the quarter. Operating EBITDA stood at ₹246.6 crore, translating to an EBITDA margin of 26.3%. ...
This is an Autocar Pro Plus article. Subscribe to continue reading.
Tata Elxsi a global leader in design-led technology services, announced its financial results for the third quarter of FY25, ending December 31, 2024.
The company reported an operating revenue of ₹939.2 crore for the quarter. Operating EBITDA stood at ₹246.6 crore, translating to an EBITDA margin of 26.3%. Profit Before Tax (PBT) was reported at ₹255.8 crore, with a PBT margin of 26.1%, while Profit After Tax (PAT) stood at ₹199 crore, reflecting a PAT margin of 20.3%.
Commenting on the results, CEO and Managing Director Manoj Raghavan highlighted that the company’s strategic focus on markets such as Japan, emerging economies, and India has yielded positive outcomes. Revenue from India witnessed a year-on-year growth of 21.9%, while Japan and other emerging markets reported a 66.8% year-on-year increase.
Raghavan noted challenges in the global automotive industry, particularly in the US and Europe, where original equipment manufacturers (OEMs) and Tier 1 suppliers are facing growth constraints. Despite these challenges, Tata Elxsi secured and executed several large deals, helping maintain stable revenues.
During the quarter, Tata Elxsi announced the establishment of an Offshore Development Centre for Suzuki Corporation, Japan. The centre aims to support Suzuki’s global technology and engineering initiatives, particularly in Connected, Autonomous, and Electric vehicle technologies.
At the CES 2025 Conference in Las Vegas, Tata Elxsi introduced its AVENIR SDV software suite. This cloud-native development platform, powered by Qualcomm’s Snapdragon Digital Chassis, aims to accelerate software-defined vehicle (SDV) development for global OEMs.
The Media & Communications vertical demonstrated quarter-on-quarter growth despite seasonal impacts. The company secured a multi-year contract with a US-based multi-system operator to develop and manage its application portfolio, with plans to expand in the coming quarters.
The Healthcare & Lifesciences segment grew by 1.1% quarter-on-quarter, supported by new customer wins and traction in its regulatory and digital engineering solutions.
The Systems Integration Services (SIS) division faced delays in project decisions, which affected revenues. However, efforts are underway to pivot the business model toward annuity-based revenue streams.