Q1 Results 2026: LTTS posts ₹2,866 crore revenue

Earnings season starts with early IT and financial names

India’s Q1 results season is picking up pace for the quarter ending June 30, 2026, with Tata Consultancy Services (TCS) among the first to report numbers. The next set of updates is expected from a mix of IT services, banks, and industrial companies, making the coming week important for investors tracking demand signals and margin trends.

Among the marquee companies mentioned for Q1 results next week are HCL Technologies, Wipro, Jio Financial Services, Billionbrains Garage Ventures, HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, Yes Bank, J. K. Cement, and Bharat Heavy Electricals (BHEL). Alongside these large names, a longer list of smaller companies is also scheduled to declare results.

Wider results calendar: marquee names and midcaps

The upcoming week’s earnings list spans multiple sectors. In IT, HCL Technologies and Wipro are in focus. In banking, investors will track commentary from HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, and Yes Bank. Industrial and cyclical indicators may come from J. K. Cement and BHEL.

A separate list of companies referenced for results includes L&T Technology Services, Tata Elxsi, Jindal Saw, SG FINSERVE, Anand Rathi Share & Stock Brokers, Den Networks, Benares Hotels, Manaksia Coated Metals & Industries, Aditya Birla Money, Dhampur Bio Organics, A2Z Infra Engineering, Viji Finance, Hathway Bhawani Cabletel And Datacom, Sulabh Engineers & Services, Daikaffil Chemicals India, Infomedia Press, Trio Mercantile and Trading, and Sanathnagar Enterprises.

LTTS Q1 FY26: revenue rises YoY, dips sequentially

L&T Technology Services (LTTS), the listed engineering services subsidiary of Larsen & Toubro, reported Q1 FY26 results for the quarter ending June 30, 2025. The company reported revenue from operations of ₹2,866 crore, which was up 16.4% year-on-year compared with ₹2,461.9 crore in the corresponding quarter last year.

Sequentially, the company reported a decline in revenue. The data provided indicates revenue of ₹2,982.4 crore in the preceding quarter (Q4 FY25) versus ₹2,866 crore in Q1 FY26, which was described as a 3.9% quarter-on-quarter decline.

Net profit for the quarter was reported at ₹315.7 crore, up 0.7% year-on-year and up 1.5% sequentially in the figures shared. The company reported an EBIT margin of 13.3%, and the net income was described as 11% of revenue.

Cost, expenses, and profitability metrics disclosed

Cost trends were a key part of the quarterly picture. Total expenses in Q1 FY26 were reported at ₹2,501.2 crore, compared with ₹2,091.4 crore a year earlier, reflecting a 19.6% year-on-year rise. On a sequential basis, expenses were also described as down 4% from ₹2,604.4 crore in the previous quarter.

From the quarterly table provided for LTTS, operating income for Q1 was listed at ₹381.3 crore, net income at ₹315.7 crore, and diluted normalized EPS at 29.77. The same table showed a sharp jump in “Other Operating Expenses Total” to ₹812.4 crore for the quarter, versus ₹136.4 crore in the previous quarter.

Cash flow, balance sheet, and working capital indicators

Management commentary noted that free cash flows were negative ₹28 crore, attributed to the seasonality of the Smart World business. Cash and investments stood at ₹2,431 crore at the end of Q1, compared with ₹2,981 crore at the end of Q4.

The company also disclosed working-capital metrics. Days sales outstanding (DSO) was reported at 98 days, and 116 days when including unbilled revenues.

Management commentary: seasonality, auto headwinds, and margin targets

In the earnings call remarks shared, management attributed the sequential softness in revenue to Smart World seasonality, and pointed to automotive headwinds. Even with these factors, the company stated that the EBIT margin held at 13.3% for the quarter.

Management said it expects margins to improve gradually and cited a target of mid-16% levels by Q4 FY27 or Q1 FY28. It also said the automotive and mobility segment remained muted due to short-term program pauses and delayed starts, while expecting a turnaround in the second half of FY26.

Deals, segment markers, and AI-led positioning

LTTS said it continued to see large deal momentum, with large deals total contract value (TCV) exceeding $100 million, including a $150 million deal. It also noted this was the third straight quarter with large deals above $100 million in TCV.

The sustainability segment was described as reaching a $100 million quarterly run rate. Segment margins mentioned included 15.3% for mobility, 27.4% for sustainability, and 9% for the tech segment.

The company also highlighted AI-related investments, including a proprietary PLxAI framework and patent activity, positioning AI-driven solutions as a factor in deal wins and client engagement.

L&T Q1 FY26: higher revenue, margin lower, stock reaction noted

Engineering and construction major Larsen & Toubro (L&T) also reported Q1 FY26 numbers. Profit attributable to owners rose 29.8% year-on-year to ₹3,617.2 crore, supported by higher revenue.

Revenue from operations increased 15.5% year-on-year to ₹63,678.92 crore, and was noted as above the analysts’ estimate of ₹62,831.9 crore. Total expenses rose 15.2% to ₹59,176.17 crore.

Ebitda for the quarter was reported at ₹6,318 crore, up 12.52% year-on-year, while the Ebitda margin was 9.9%, compared with 10.2% in Q1 of the prior year. The update also noted that sequentially revenue dipped 14.4% and profit declined 34.2%. L&T shares on the BSE closed at ₹3,495.10 on Tuesday (July 29).

Key numbers at a glance

Market impact and what investors may track next

With results season broadening beyond early reporters, investors typically focus on two near-term signals visible in these updates: the stability of operating margins and management commentary on demand. In LTTS’s case, the quarter combined year-on-year revenue growth with a sequential decline linked to seasonality, alongside a maintained EBIT margin of 13.3%.

For L&T, the print showed strong year-on-year growth in revenue and profit, but a lower Ebitda margin and a sequential dip in both revenue and profit. Stock references provided for both companies indicate the market had clear price levels to react around, with LTTS at ₹4,343 on July 16 and L&T at ₹3,495.10 on July 29.

Conclusion

Q1 results season has started with IT and engineering-linked names offering early cues. LTTS reported ₹2,866 crore revenue and ₹315.7 crore net profit, while L&T reported ₹63,678.92 crore revenue and ₹3,617.2 crore profit for Q1 FY26. Over the next week, a wider set of companies including major IT firms and private sector banks are expected to declare results, which should add more clarity on demand conditions and margin trends across sectors.