CEO and MD Warren Harris mentioned that the company is actively involved in multiple significant deal discussions with both existing and new customers, and he expects an increase in deal conversions in the current quarter.
Tata Technologies, a company providing product engineering and digital services to the automotive and other sectors, successfully closed twelve significant deals in FY24, highlighted by one transaction exceeding $50 million and five others ranging between $15 and $25 million, according to CEO and MD Warren Harris. Speaking on Friday, Harris noted ongoing discussions for several large deals with both existing and new clients, with an expected rise in deal closures in the current quarter. He also pointed out that Tata Technologies is at the forefront of Generative AI and services for software-defined devices, supported by positive feedback from BMW.
The company’s collaboration with BMW focuses on delivering automotive software, including solutions for software-defined vehicles (SDV) for BMW Group’s premium models, along with digital transformation solutions for BMW’s business IT across Pune, Bengaluru, and Chennai. This venture will concentrate on enhancing automated driving, infotainment, and digital services in automotive software while targeting digitalization and automation in business IT domains such as product development, production, and sales. Initially, 100 skilled professionals from Tata Technologies will join this joint venture, which is expected to expand significantly in the coming years.
Additionally, the investor presentation highlighted other key agreements, such as the renewal of an engineering centre contract and new strategic deals in AMR controls and embedded software with a leading North American designer and manufacturer of access equipment. Tata Technologies also formed a strategic partnership with a North American bus manufacturer for engineering support services and collaborated with a premium UK-based global automotive OEM to deploy manufacturing execution solutions for modern luxury electric vehicles.
Moreover, Tata Technologies signed a five-year memorandum of understanding with the Telangana government to establish advanced technical skill training centres across 65 industrial training institutes in the state.
Financially, Tata Technologies reported a consolidated net profit of Rs 157.20 crore in Q4FY24, marking a 27% year-on-year decrease from Rs 216.60 crore in Q4FY23. The company’s consolidated operational revenues also fell by 7.2% year-on-year, totaling Rs 1301 crore in Q4FY24 compared to Rs 1402.40 crore in the previous year.
