L&T April-June Profit Jumps 30% On Revenue Growth

Larsen & Toubro Ltd. posted a 30% on-year rise in consolidated net profit for the April–June quarter at ₹36.2 billion, led by strong growth in revenue across key segments. Total revenue from operations rose 16% to ₹636.8 billion, driven by energy projects, infrastructure, and hi-tech manufacturing.

EBITDA grew 13% on year to ₹63.18 billion, though margins narrowed to 9.9% from 10.2% a year ago. The hi-tech manufacturing margin fell sharply by 230 basis points to 15.1%, while energy projects and infrastructure segments saw mild declines to 7.3% and 5.7%, respectively.

Order inflow surged 33% to ₹944.5 billion in the quarter, with international contracts forming 52% of the total. The consolidated order book stood at ₹6.13 trillion as of Jun. 30, up 6% from Mar. 31. Overseas orders made up 46% of this.

The infrastructure segment, contributing 45% to revenue, posted a 6.9% increase to ₹287.6 billion, with 40% coming from international markets. Order inflow in this segment was up just 2.4% at ₹410.2 billion.

Revenue from energy projects jumped 47% to ₹124.7 billion, driven by execution of international hydrocarbon projects, which made up 71% of the segment’s revenue. Orders in this segment rose nearly fourfold to ₹314.2 billion.

The hi-tech manufacturing segment recorded a 75% jump in revenue to ₹32.3 billion, supported by better execution in heavy and precision engineering. Overseas clients contributed 25% to this. However, orders fell 49% to ₹18.9 billion due to absence of large orders seen last year.

The IT and technology services segment, which includes LTI Mindtree and LTTS, posted a 9.7% revenue rise to ₹126.2 billion. EBITDA margin fell slightly to 19.5%. The financial services arm, L&T Finance Ltd., saw revenue rise 8.4% to nearly ₹4 billion.

Revenue from the development projects segment fell 6% on year to ₹12.4 billion, largely due to lower generation at the Nabha thermal power plant. Segment EBIT dropped 2.7% to ₹1.43 billion.

Chairman and Managing Director S.N. Subrahmanyan said new-age businesses like semiconductors, data centres, and digital platforms are progressing well and the company is on track to meet its financial goals.