Will be among the best growing IT cos this year: L&T Infotech

L&T Infotech reported a strong set of earnings with a beat on revenue, margins and profit after tax (PAT).

Speaking to CNBC-TV18, Sanjay Jalona, MD & CEO of L&T Infotech said that they will cross Q4FY20 revenues in the next quarter. He further added that H2FY21 will be stronger than H1FY21.

“We will handsomely cross our Q4FY20 quarters in our Q3. Overall H2 with the strength in pipeline, strength in the deals that we are working on, H2 will be stronger than H1. For the year, we feel confident to be on the leaders’ quadrant of growth,” he said.

The new deals have 90 percent plus offshoring component, said Jalona. He further added that he is confident that net profit margin will be in a range of 14-15 percent for FY21.

Speaking about the deal pipeline, he said that the overall deal pipeline is up 22 percent and the large deal pipeline is up 18 percent quarter-on-quarter (QoQ).

Salary hikes typically has a 150 basis points impact on margins in Q4, he said. “There are enough drivers for us to make sure that we do 14-15 percent net income levels for the year,” he added.