L&T Semiconductor eyes $500 mn revenue by FY31, says CEO Sandeep Kumar

Larsen & Toubro's semiconductor arm is targeting $500 million in annual revenue by fiscal 2031, Chief Executive Sandeep Kumar said in an interview published Thursday. Kumar told Mint that the company has started generating commercial revenue but remains in early stages, with current revenue at less than 10% of the fiscal 2031 target. He said nearly 70% to 80% of the projected revenue is expected to come from exports. Incorporated in November 2023, L&T Semiconductor Technologies focuses on chip design for sectors including power, automobiles, security products and data centers. The company generated 13.52 crore rupees in operating revenue in fiscal 2026, its second full year of operations. Achieving the target would require revenue to more than triple annually over the next four fiscal years. Kumar said the first proprietary chip products have been supplied to clients and revenue from those products will scale up within six months. L&T invested 541.97 crore rupees in the subsidiary during fiscal 2026, bringing cumulative investment to 859 crore rupees. Kumar said the company remains cautious on server chips due to long investment cycles. Industry executives said the government's upcoming Semicon 2.0 incentive programme may support fabless companies, though market selection matters more than subsidies.