Raipur: Tata Technologies Ltd, a global engineering and product development digital services company, announced on Saturday that it has been informed by the Chhattisgarh state government about the discontinuation of a project aimed at developing 36 government ITIs, with a total project cost of Rs 1188.36 crore.
In a regulatory filing, Tata Technologies stated, “The company has sent a letter to the Chhattisgarh government today, accepting the termination of the MoA and agreed to begin the process for the refund of the escrow amount.”
On 23 July of the previous year, Tata Technologies signed a Memorandum of Agreement (MoA). As per the MoA, the company was designated as the lead industry partner to carry out the project, which involved the transformation of 36 ITIs into Centers of Excellence (CoE) in the state of Chhattisgarh.
Tata Technologies Ltd.’s shares ended the day 1.01% down at Rs 989.45 each on Friday. The company also reported a 15.4% decrease in consolidated profit after tax, which stood at Rs 162.03 crore for the quarter ending in June 2024, due to increased expenses. In comparison, the firm had recorded a consolidated profit after tax (PAT) of Rs 191.53 crore in the corresponding quarter of the previous fiscal year, according to a regulatory filing by Tata Technologies Ltd.
The company’s consolidated revenue from operations for the first quarter was Rs 1,268.97 crore, slightly up from Rs 1,257.53 crore in the same quarter of the previous year. The total expenses rose to Rs 1,072.33 crore from Rs 1,035.42 crore year-on-year, the company reported.
Warren Harris, CEO and Managing Director of Tata Technologies commented, “The overall market conditions remain positive as the manufacturing sector continues to invest in future-proofing through alternative propulsion systems, software-defined products and services, and intelligent manufacturing.”
He further mentioned that the company anticipates an acceleration in the sequential revenue growth of its services business starting this quarter.
The company’s confidence in its full-year outlook is supported by its current order book.
