Tata Technologies posts slightly higher second-quarter profit; expects double-digit FY growth

India's Tata Technologies reported a slight increase in second-quarter profit, rising by 3.6% to 1.71 billion rupees ($17.97 million) for the period ending September 30. This growth was driven by the company's mainstay services segment, with revenue from operations climbing 28.4% to 16.99 billion rupees, and the services segment itself growing by approximately 34% from the previous year.

CEO Warren Harris stated that the company anticipates robust double-digit revenue growth for the entire fiscal year. The technology solutions segment of Tata Technologies also saw a 10.5% increase in revenue. Analysts from Ambit Capital predict that the firm's automotive business will outperform its competitors due to consistent spending from clients and the initiation of a significant project with a Japanese original equipment manufacturer, which could reduce costs for Honda Motor Co. by nearly 20%, as reported exclusively by Reuters.

The company, part of the Tata Group, finds itself at the heart of a dispute over control of the holding company Tata Sons and the potential for a public listing.