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Annual Report 2015-16Message from the CEODear Shareholders,These are exciting times. Industries are being disrupted, leadersare being upended. Powered by the innovative use of technologies,new companies are rapidly rising to the top in every sector. TheIT Services sector is not immune to this transformation and it isundergoing a metamorphosis of its own. As someone who hasbeen closely involved with the evolution of this sector during thelast 25 years, I have seen more changes in the last 5 years thanI witnessed in the previous 20. Periods of such transformationoccur only once in each generation and it is my privilege to lead thecompany during this remarkable phase.Late last year, when I walked into my office for the first time at thecompany’s headquarters in Mumbai, I knew I was a member of oneof the most respected conglomerates in the nation. L&T is amongthe best known brands in the country and is often referred to asthe ‘Builder of India in the 21st century’. I also understood that asL&T Infotech, we inherit much more than just our name from theL&T Group. We derive strength, synergies, and most importantly,the priceless asset of trust.Sanjay JalonaChief Executive Officer &Managing DirectorAs we help our clients stay competitive, we arecontinuing to cement our position in the industryas a growing and financially stable organisation10

Corporate Overview - Message from the CEOOur DNAStatutory ReportsFinancial StatementsRevenue(USD Million)887.2809.99.5%increaseOur Revenue Growthin Dollar terms overthe previous yearOver the next few months, I met hundredsof extremely talented people and wasinspired by their passion for achievingclient’s objectives and how well theyrepresent L&T values all over the world.As I immersed myself into the company’soperations and met with long-standingclients across continents, I was amazed bythe depth of our relationships and respectthat we have earned for our unparalleledindustry knowledge. I was also impressedby the tools, platforms and innovativesolutions that are saving millions ofdollars for our clients and improving theircompetitiveness. I learnt about severalengagements that make us their chosenpartner. A few being:o Establishment of ‘Smart Factory’initiative for a Global AutomotiveOriginal Equipment manufacturero Providing services in areas of DigitalOilfield, Pipeline Management,Digital Refinery for a Global Oil & GasCorporationWith deeper understanding ofengagements like these, my appreciationfor our achievements has grown manifold.It is the strength of our digital, analyticsand automation solutions like these thathas won us several recognitions during theyear. In 2015, the Everest Group positionedus amongst the Top 20 IT Services providersglobally, three of our Digital solutionswon recognition at the World InnovationCongress 2016 and we were adjudgedLeaders in Digital Transformation by CEBIT,India.As we help our clients stay competitive,we are continuing to cement our positionin the industry as a growing and financiallystable organisation. During the last financialyear, our revenue grew by about 9.5% inDollar terms to USD 887.2 million. At thethreshold of the coveted One Billion-dollarmilestone, our scale and agility makes usthe ideal partner for global companies.We will continue to draw upon our richtechnology and real-world experienceto lead the convergence of physical and746.62013-142014-152015-16digital ecosystems. We will help our clientsstay ahead of the technology curve bymaking early investments in exponentialtechnologies.We are a company with strong foundationand tremendous potential. My role asthe CEO of L&T Infotech is to unlock thispotential and catapult the company intothe next higher orbit. As a team, we havea once-in-a-lifetime opportunity to builda next generation technology company,known for its client-centricity and deepdomain understanding. We are excitedabout the times ahead. We turn 20 thisyear; just the right time to say goodbye toour teenage years and commence a newjourney of transformation and growth. Aswe step into this marvellous journey, I lookforward to your continued support and bestwishes.Let’s Solve.Sanjay JalonaChief Executive Officer &Managing Director11

Annual Report 2015-16Board of DirectorsA. M. NaikNon-Executive ChairmanA. M. Naik is the Non-Executive Chairman of our Company.He obtained his graduate degree in mechanical engineering fromthe Birla Vishvakarma Mahavidyalaya, Sardar Patel University ofGujarat. He has been associated with Larsen & Toubro Limitedfor over five decades. He rapidly rose to secure the position ofManaging Director & CEO, followed by Chairman in 2004 andculminating in Group Executive Chairman in 2012.Mr. Naik is the Hon. Consul General for Denmark in Mumbai andwas awarded the Order of the Dannebrog as Knight 1st Classby Queen Margrethe of Denmark. He has been awarded anHonorary Degree of Doctor of Letters from Veer Narmad SouthGujarat University. Mr. Naik has made several contributions forsocial upliftment and has contributed to the setting up of certaineducational facilities and hospitals such as the Kharel EducationSociety, the Manibhai Nichhabhai Naik Higher Secondary School,the Anil Naik Technical Training Centre and the Nirali MemorialRadiation Centre. Mr. Naik has secured several global, nationaland professional honours, including the “Padma Bhushan”,“Gujarat Garima Award” – Gujarat’s highest civilian honour, “AsiaBusiness Leader of the Year Award” and “India’s Business Leaderof the Year Award” by CNBC Asia, “Business Leader of the Year(Building India) Award” by NDTV Profit and “Business Leader ofthe Year Award” by the Economic Times. He has been a Directorof our Company since December 23, 1996.12Sanjay JalonaChief Executive Officer & Managing DirectorSanjay Jalona is the Chief Executive Officer & Managing Directorof our Company. He has obtained a degree of Master of Science(Technology) in computer science from the Birla Institute ofTechnology and Science, Pilani. Mr. Jalona has over 25 yearsof experience in the IT industry. Prior to joining our Company,he worked at Infosys Limited as the Executive Vice Presidentand Global Head of High-Tech, Manufacturing and EngineeringServices. He also served as a member of the Board of LodestoneHolding AG, the management consulting subsidiary of Infosys inEurope and has also chaired the Board of Infosys Technologies(China) Company Limited and Infosys Technologies (Shanghai)Company Limited. He was appointed as a Director of ourCompany with effect from August 10, 2015 as an AdditionalDirector.

Corporate Overview - Board of DirectorsOur DNAStatutory ReportsFinancial StatementsS. N. SubrahmanyanNon-Executive DirectorS. N. Subrahmanyan is a Non-ExecutiveDirector of our Company. He has obtaineda graduate degree in civil engineering fromthe Kurukshetra University, Haryana andhas completed a post-graduate course inbusiness administration from SymbiosisInstitute of Business Management, Pune.Mr. Subrahmanyan has over 30 yearsof experience in the infrastructure andconstruction industry. He joined the L&Tgroup in 1984. He is a member of theGoverning Council of the ConstructionSkill Development Council of India. He isalso a member of the Board of Governorsof the National Institute of ConstructionManagement and Research.Mr. Subrahmanyan is a Fellow of theInstitution of Civil Engineers - UnitedKingdom. He was the Chairman of theCII Gulf Committee for the Financial Year2012 and was a member of the WorkingCommittee, Projects Exports PromotionCouncil. Mr. Subrahmanyan was awardedthe “Leadership Award” by the QatarContractors Forum in 2014. He was ranked36th in the “2014 Construction Week Power100” in the global construction sector ina survey by international publication theConstruction Week, in its issue dated June22, 2014. In 2012, he was awarded withthe “Outstanding Contribution to Industry(Infrastructure)” by the Construction WeekMagazine. He was appointed as Director ofour Company on January 10, 2015.R. Shankar RamanNon-Executive DirectorR. Shankar Raman is a Non-ExecutiveDirector of our Company. He is a qualifiedChartered Accountant. He has over 28 yearsof experience in various capacities in thefield of finance. Mr. Shankar Raman joinedthe L&T group on November 14, 1994 forincorporating L&T Finance Limited. He wasappointed as the Chief Financial Officer ofL&T in September 2011 and subsequentlyelevated to the board of directors of L&Ton October 1, 2011. He presently overseesthe finance functions in L&T. Mr. ShankarRaman holds the position of director inseveral companies within the L&T group.He was ranked amongst the top threeCFOs in Asia by the Institutional Investormagazine in the infrastructure sector in2013 and in the industrials sector in 2014and 2015. In 2013, Mr. Shankar Ramanwon CNBC TV18’s ‘CFO of the Year Award’and Business Today’s Best CFO Award forConsistent Liquidity Management underLarge Companies category. He ceased to bethe Director of our Company on September26, 2015 and was re-appointed on October28, 2015 as an Additional Director.Samir DesaiIndependent DirectorSamir Desai is an Independent Director ofour Company. He has obtained a postgraduate degree in electrical engineeringfrom the Illinois Institute of Technology.He also holds a post-graduate degreein business administration from LoyolaUniversity, Chicago. Mr. Desai has over30 years of experience in management.Prior to joining our Company, he workedat Motorola for over 30 years and has alsoserved as a Chief Information Officer atMotorola. He has also served as generalmanager of iDEN Networks & Devices.He was appointed as a Director of ourCompany on January 27, 2007.13

Annual Report 2015-16Board of DirectorsM. M. ChitaleIndependent DirectorM. M. Chitale is an Independent Director ofour Company. He has obtained a graduatedegree in commerce from the Universityof Mumbai. He is a qualified CharteredAccountant. He has over 40 years ofexperience as a Chartered Accountant inpractice. Mr. Chitale has been a fellowmember of the ICAI and has served asthe President of ICAI in the year 1997-98.He was also associated as a member ofgoverning council of Banking Codes andStandards Board of India. Mr. Chitalewas also the Chairman of the EthicsCommittee of the Stock Exchange, Mumbai.He was a member of Advisory Board onBank, Commercial and Financial Frauds.He was also a member of the group forAmalgamation of Urban Co-operativeBanks. He was a member of the WorkingGroup on Restructuring of Weak PublicSector Banks appointed by RBI (VermaCommittee) and the Committee onProcedures and Performance Audit ofPublic Services appointed by RBI (Dr.Tarapore Committee) as well. He wasappointed as the Chairman of NationalAdvisory Committee on AccountingStandards. He was appointed as a Directorof our Company on October 17, 2011.14Vedika BhandarkarIndependent DirectorVedika Bhandarkar is an IndependentDirector of our Company. She hasobtained her graduate degree in sciencefrom the Mohanlal Sukhadia University,Udaipur and completed a two-year postgraduate programme in managementfrom the Indian Institute of Management,Ahmedabad. She has over 25 yearsof experience in the financial servicesindustry. Prior to joining our Company, sheheld the position of the Managing Directorand Vice-Chairman, India, of Credit SuisseSecurities (India) Private Limited (“CreditSuisse”). She has served as the head ofIndian investment banking and globalmarkets solution group, India, at CreditSuisse from July 2010 to February 2015.She has also worked with JP Morgan IndiaPrivate Limited in India as the ManagingDirector from May 1998 to July 2010.She was appointed as a Director of ourCompany with effect from March 16, 2015.Arjun GuptaIndependent DirectorArjun Gupta is an Independent Director ofour Company. He has obtained a graduatedegree (Phi Beta Kappa) and a postgraduate degree in computer science fromWashington State University and a postgraduate degree in business administrationfrom Stanford University. He was also anAdvanced Leadership Fellow from HarvardUniversity and a 2001 Henry Crown Fellowfrom the Aspen Institute. Prior to movingto USA, he had obtained a graduate degreein economics (Honors) from St. Stephen’sCollege, Delhi University. Mr. Gupta is themanaging partner of TeleSoft Partners, aspecial situations venture capital firm hefounded in 1997. He has over 27 yearsof experience working with technologycompanies in venture capital, consultingand engineering roles. Mr. Gupta wasranked by Forbes Magazine in the Top100 technology venture investors on the2006, 2007, 2008 and 2009 Midas Lists. Heserves on the boards of various companiesin USA such as Calient Technologies Inc.,Jumpstart Games Inc. (formerly KnowledgeAdventure) and Nexant Inc.; and he is anadvisor of DocuSign. He was appointed asan Additional Director of our Company onOctober 28, 2015.

Corporate Overview - Board of Directors Key Leadership TeamOur DNAStatutory ReportsFinancial StatementsKey Leadership TeamCorporateVertical HeadsChief Executive Officer & Managing DirectorSanjay JalonaChief Business Officer – Insurance & Testing, AmericasAnil VaziraniChief Operating OfficerAftab UllahChief Business Officer – BFS, AmericasHarsh NaiduChief Financial OfficerAshok Kumar SonthaliaChief Business Officer – Tech, Media, CRP & Digital, AmericasSiddharth BohraGlobal Human Resources HeadManoj BiswasChief Business Officer – Manufacturing & ERP, AmericasRohit KediaCompany SecretarySubramanya BhattChief Business Officer – EuropeMakarand DeolalkarChief Marketing OfficerPeeyush DubeyChief Business Officer – Nordic RegionSarbajit DebChief Business Officer – Emerging MarketsRajat Mathur15

Annual Report 2015-16Corporate InformationBoard of DirectorsCommittee PositionsA. M. NaikNon-Executive ChairmanAudit CommitteeM. M. ChitaleIndependent Director (Chairman)Corporate Social Responsibility CommitteeS. N. SubrahmanyanNon-Executive Director (Chairman)Samir DesaiIndependent DirectorSanjay JalonaChief Executive Officer &Managing DirectorSanjay JalonaChief Executive Officer &Managing DirectorS. N. SubrahmanyanNon-Executive DirectorR. Shankar RamanNon-Executive DirectorSamir DesaiIndependent DirectorM. M. ChitaleIndependent DirectorVedika BhandarkarIndependent DirectorArjun GuptaIndependent DirectorS. N. SubrahmanyanNon-Executive DirectorVedika BhandarkarIndependent DirectorNomination and Remuneration CommitteeSamir DesaiIndependent Director (Chairman)Registered Office of our CompanyL&T HouseBallard EstateMumbai - 400 001Tel: (91 22) 6752 5656Fax: (91 22) 6752 5893E-mail: investor@lntinfotech.comWebsite: www.lntinfotech.comS. N. SubrahmanyanNon-Executive Director (Chairman)A. M. NaikNon-Executive ChairmanS. N. SubrahmanyanNon-Executive DirectorAshok Kumar SonthaliaChief Financial OfficerM. M. ChitaleIndependent DirectorIPO CommitteeStakeholders’ Relationship CommitteeA. M. NaikNon-Executive Chairman (Chairman)S. N. SubrahmanyanNon-Executive Director (Chairman)S. N. SubrahmanyanNon-Executive DirectorVedika BhandarkarIndependent DirectorSanjay JalonaChief Executive Officer &Managing DirectorCorporate Office of our CompanyL&T Technology Centre, Gate No. 5,Saki Vihar Road, Powai, Mumbai - 400 072Tel: (91 22) 6776 6776Fax: (91 22) 2858 1130Auditors to our CompanyM/S Sharp & TannanCorporate Identification Number:U72900MH1996PLC104693Registration Number: 10469316Risk Management CommitteeSanjay JalonaChief Executive Officer &Managing DirectorSanjay JalonaChief Executive Officer &Managing DirectorCorporate InformationM. M. ChitaleIndependent DirectorBankers to our CompanyCitibank N.A.Standard Chartered BankBarclays Bank PLCICICI Bank LimitedThe Hongkong and Shanghai BankingCorporation LimitedRegistrar & Share Transfer AgentLink Intime India Private Limited

Corporate Overview - Corporate Information Key Financial HighlightsOur DNAStatutory ReportsFinancial StatementsKey Financial HighlightsRevenue(USD Million)Revenue fromContinuing OperationsProfit After Tax fromContinuing Operations( Million)( 8746.62013-142014-152015-16Earnings Per Sharefrom ContinuingOperations (Diluted)( )2013-142014-152015-162013-142014-15Total 2013-142014-152015-162013-142014-152015-1617

Annual Report 2015-16Corporate Social ResponsibilityAs responsible corporate citizens, we share our success with oursociety and communities we live and work with. The thrust areasof our CSR initiatives are Employability through IT and soft skillsEducation, Women Empowerment and the Environment.Generate recurringincome for150women1,14418youth passed outcomputer centres wereset up for youth27computer centres were setup in schools for teaching3,401school children enrolled inIT curriculum18Employabilityand EducationWomenEmpowermentToday, we have 45 locations from where weimpart computer skills – the primary thrustarea. This year, 1,144 youth passed outfrom 18 centres set up and dedicated foryouth for employability and 123 who wereinclined to take jobs, were placed. Another27 computer centres were set up in schoolsfor teaching 3,401 school children ITcurriculum. Volunteers and partner NGOstaught Science, English, Mathematics inadditional 11 schools-cum-study covering17,098 children. Our projects would scaleup during the subsequent years.We have created infrastructure to generaterecurring income for 150 women. We alsoassisted 2,800 women to generate incomethroughout the year from sale of theirproducts.Assisted2,800women to generate income

Corporate Overview - Corporate Social ResponsibilityOur DNAStatutory ReportsFinancial StatementsReconstructing18schools in Sadras region1Step Chennai, providedschool kits to1,209students in government schoolsChennaiFlood ReliefFreshInitiativesEnvironment andSustainability1. We have helped in reconstructing18 schools in Sadras region. This wouldensure students go back to school andstudy.During the last quarter of FY16, we havelaunched a few scalable digital literacyprojects in partnership with leadingNGOs and educational content providerfocussed on using digital technology.The programmes are designed such thatthey are scalable allowing us to reachthe outskirts of Tier I, II, III, IV cities. Butthe focus is on measurement of impactoutcomes.1. Green Initiative-Achieved United StatesGreen Building Council’s LEED - GoldGreen Building Certification for Powaioffice on 1st February, 2016. Thisproject helped in energy and watersavings, waste and e-waste streamliningand management, switching to greencertified products and consumables, andaiding employee comfort.2. We have helped in reconstructingGandhi Study Centre – a unique studycentre of Gandhian values wherethousands come to study.3. Women Empowerment for Ruralwomen in Thiruvallur District.We provided sewing machines and alsotraining for a year that would help themgain their livelihood back.4. 1Step Chennai provided school kits to1,209 students of government schools.2.

'Business-to-IT connect' Message from the Founder Chairman Mr. A. M. Naik, Founder Chairman, was conferred the Order of the Dannebrog as Knight First Class by Her Majesty, Queen Margrethe of Denmark. The knighthood is royal acknowledgement of Mr. Naik's role in fostering Indo-Danish ties in the fields of business, commerce and culture.