Multi-year contract for ongoing commercial and innovation programs, says LTTS
Airbus has selected L&T Technology Services Limited (BSE: 540115, NSE: LTTS) for providing Advanced Engineering Capabilities and Digital Manufacturing Services under a multi-year contract.
Announcing the contract on 19 Jan 2023, LTTS said it will support Airbus in key verticals and technology areas for its ongoing Commercial and Innovation programs.
“The recent selection of LTTS by Airbus is a reaffirmation of our deep domain leadership and industry-leading expertise in driving a redefinition of the global ER&D landscape,” said Amit Chadha, CEO & Managing Director, L&T Technology Services.
“As we continue to move ahead on our objective of being counted among the largest and the best global ER&D firms, the acknowledgement and support of an industry leader like Airbus is exciting and serves to inspire us for the next milestone.”
The development is a major step forward in the long-standing partnership between LTTS and Airbus. LTTS is a strategic engineering supplier for Airbus globally and for its India subsidiary, providing engineering services across verticals like engineering, avionics and digital.
The company is also a part of the industry-leading ‘Skywise Partner Program,’ and earlier in 2022, was recognized as a Global Strategic Engineering Supplier under the Airbus EMES3 (Engineering, Manufacturing Engineering and Services Strategic Suppliers) program.
As a part of the new contract award, LTTS engineers will support Airbus’ Numerical Control Programming (NCP) Cluster which includes composite production, trimming & cutting, standard machining, advanced machining, drilling & riveting, control & metrology, fast shop machining and technical support.
LTTS will also be driving the design and stress support for Advanced Capabilities which includes thermal analysis, vulnerability assessment, advanced failure analysis, manufacturing simulation, and modeling services.
The engineering support will be executed from LTTS’ offshore locations in Bengaluru, and the recently inaugurated near shore center in Toulouse, France, along with onsite support at Airbus locations in the UK, Germany, France and Spain.
LTTS’ offerings for the aerospace sector cover a wide spectrum of services including aero structure & systems design, manufacturing engineering, avionics and software development, aero engine design, air traffic maintenance solutions, and airlines & MRO offerings that leverage its robust and extensive.
“Towards meeting our aspiration of a US$1.5 billion run-rate by FY25, we are making strategic investments,” LTTS CEO & Managing Director Amit Chadha, announcing the Q3 results.
“In Q3, we opened a new center in Toronto for Digital Engineering and expanded our operations in Peoria to offer digital manufacturing and next-gen electrification solutions. Recently we announced the acquisition of Smart World and Communication (SWC) which is a progression of our 6 Big Bets strategy in the areas of 5G, Sustainability and Digital Products & AI.
“We are confident these investments will help differentiate our offerings and expand our addressable market,” he said.
Highlights for Q3FY23 include:
• Revenue at Rs 20,486 million; growth of 21% YoY
• USD Revenue at US$248 million; growth of 14% YoY in constant currency
• EBIT margin at 18.7%
• Net profit at Rs 3,036 million; growth of 22% YoY
During the quarter, LTTS won five US$10 million plus TCV deals and a significant empanelment with Airbus in digital manufacturing.
“Our double-digit revenue growth momentum continued in the third quarter led by Transportation and Industrial Products. Three of the five US$10 million plus deal wins in Q3 were from Industrial Products on the back of our differentiated capabilities such as digital twin and sustainability driven product development,” LTTS said on 20 Jan 2023.
digital engineering solutions portfolio for catering to all phases of the aircraft lifecycle. fiinews.com