Credit Rating

L&T Technology Services Limited A.M. Naik Tower,6th Floor, L&T Campus, Gate No.3, Jogeshwari-Vikhroli Link Road, Powai, Mumbai-400072. www.ltts.com June 20, 2026 National Stock Exchange of India Limited BSE Limited Exchange Plaza, C-1, Block G, Phiroze Jeejeebhoy Towers, Bandra-Kurla Complex Dalal Street, Mumbai- 400 001 Bandra (East), Mumbai – 400 051 NSE Symbol: LTTS BSE Scrip Code: 540115 Dear Sir/Madam, Subject: Disclosure under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 – Credit Rating by Crisil Ratings Limited Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Master Circular No. HO/49/14/14(7)/2025-CFD- POD2/I/3762/2026 dated January 30, 2026, we wish to inform you that CRISIL Ratings Limited, a SEBI registered Credit Rating Agency (“Rating Agency”), vide its letter dated June 19, 2026, has reaffirmed its ‘Crisil AAA/Stable/Crisil A1+’ ratings on the bank facilities of the Company. The copy of the rating rationale is enclosed herewith. This is also being made available on the website of the Company at www.LTTS.com. Thanking You, Yours sincerely, For L&T Technology Services Limited Prasad Shanbhag Company Secretary & Compliance Officer (M. No. A 30254) Registered Office: L&T House, N. M. Marg, Ballard Estate, Mumbai - 400 001. INDIA CIN: L72900MH2012PLC232169 Tel: +91 22 6892 5257 Fax: +91 2267525858 L&T Technology Services is a subsidiary of Larsen & Toubro Limited 6/19/26, 8:55 PM Rating Rationale Rating Rationale June 19, 2026 | Mumbai L&T Technology Services Limited Ratings reaffirmed at 'Crisil AAA / Stable / Crisil A1+ ' Rating Action Total Bank Loan Facilities Rated Rs.2000 Crore Long Term Rating Crisil AAA/Stable (Reaffirmed) Short Term Rating Crisil A1+ (Reaffirmed) Note: None of the Directors on Crisil Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings. 1 crore = 10 million Refer to Annexure for Details of Instruments & Bank Facilities Detailed Rationale Crisil Ratings has reaffirmed its ‘Crisil AAA/Stable/Crisil A1+’ ratings on the bank facilities of L&T Technology Services Limited (LTTS). The ratings continue to reflect LTTS’ strong business risk profile, underpinned by its established market position, diversified offerings across end-user industries, and a broad client base that sustains steady deal wins. During fiscal 2026, operating income rose modestly by 3% on-year to Rs 11,083 crore, while EBITDA margins improved to 19.9% from 18.3%, supported largely by currency tailwinds. The company made a strategic divestment of its Smart World & Communication (SWC) vertical in the fourth quarter of fiscal 2026, which was acquired three years ago, as a part of enhancing strategic focus toward its niche higher-growth segments. SWC vertical contributed to ~Rs 900-1,000 crore annually, impacting the growth in fiscal 2026. Ex-off the adjustment, revenues grew by 14% during fiscal 2026. Crisil Ratings believes that LTTS’ niche presence in value-added segments and focus on emerging areas such as EV-led automotive, medical devices, telecom and 5G, process engineering, and industrial automation supported by acquisitions, are expected to drive high single-digit to low double-digit revenue growth in the next fiscal also supported through currency tailwinds. Medium term growth will likely be led by large multi-year transformation deals across telecom, semiconductor engineering, AI-enabled industrial programs, and medical technology with a current total contract value of USD 855 million as on March 31, 2026. However, this outlook remains tempered by macroeconomic uncertainty, a slow recovery in automotive demand, and ongoing client budget rationalization amid the AI-led disruption. EBITDA margins are expected to remain stable at 19–20%, aided by currency support, demand recovery, and improved operating leverage. The company continues to maintain a strong financial risk profile, and robust liquidity, which too are expected to continue over the medium term with continuing strong cash accruals, limited maintenance capex and dividend payments. The company remains financially strong, with no debt and a cash surplus of Rs 3,531 crore as of March 31, 2026. The ratings continue to factor in benefit from the strong managerial and operational support from its parent, Larsen & Toubro Ltd (L&T, rated Crisil AAA/Stable/Crisil A1+), and the overall strength of the L&T brand. These strengths are partially offset by its geographical concentration in its revenue profile and increasing competition in the business. Analytical Approach For arriving at the ratings of LTTS, Crisil Ratings has factored in support expected from its parent, L&T, considering the strategic importance of LTTS to L&T. The parent, L&T with its strong reputation in the engineering and construction industry also finds congruence in LTTS’ products and service offerings. Crisil Ratings has combined the business and financial risk profile of LTTS and its subsidiaries. Please refer Annexure - List of Entities Consolidated, which captures the list of entities considered and their analytical treatment of consolidation. Key Rating Drivers - Strengths Large, diversified clientele The company has a large and diversified client base given its strong presence over the years across various verticals including telecom, automotive, aerospace, medical devices, industrial products, heavy machinery, construction, and consumer appliances. There has been growing interest in the past few years from clients across sectors in sourcing their engineering and Research and Development (R&D) requirements from India. Clients currently include 69 of the global fortune-500 companies and 57 of the top 100 ER&D spenders. This has enabled the company to withstand the slowdown pressures as exposure is not restricted to a particular end-user industry. On account of the continuous focus on R&D and building new platforms solutions, the company has been able to expand the revenue share from existing clients and maintain steady acquisition of new clients. https://www.crisilratings.com/mnt/winshare/Ratings/RatingList/RatingDocs/LAndTTechnologyServicesLimited_June 19_ 2026_RR_395741.html 1/9 6/19/26, 8:55 PM Rating Rationale Strong financial risk profile The company’s financial profile continues to be strongly supported by healthy cash accruals, debt free balance sheet and robust liquidity (cash surpluses of Rs 3,531 crore as on March 31, 2026). Finance lease liabilities as on March’2026 stood at Rs 579 crore (Rs 578 crore as of March 31, 2025). Crisil Ratings believes the capital spending is expected to remain moderate, which along with incremental working capital needs are likely to be funded through cash accruals. Strong managerial, operational, and financial support from L&T; increased strategic importance of the IT business for the group LTTS benefits from L&T's established position as an engineering specialist, given that the target market of the former is engineering design. Managerial and Operational support is available from L&T in the form of shared resources, both managerial and infrastructure. There is commonality in the board of directors and entire operational teams have moved as part of the strategic business unit (SBU) to LTTS. Even though the financial risk profile of LTTS is sound, support from the parent exists for any exigency. L&T had invested Rs 750 crore in the form of preference shares in the company in addition to Rs 300 crore of equity share capital for the buyout of these SBUs. Further, being an L&T group company, LTTS also benefits from the strong brand and domain expertise available within the group, resulting in better penetration and acceptability in the market. Treasury operations are supported by L&T Treasury, and critical treasury deci [Showing first 8,000 characters — download PDF for full document]