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| Photo Credit: REUTERS
Larsen & Toubro Ltd (L&T) reported second quarter consolidated net profit for the interval ended September 30, 2023 surged 44.56% to ₹3,222.63 crore as in contrast with ₹2,228.97 crore within the 12 months earlier on a 19% development in income, monetisation of land belongings, and rise in treasury earnings.
Consolidated income at ₹51,024 crore, a 19.31% development, was primarily aided by improved execution of the big order e book and accelerated progress within the Projects and Manufacturing portfolio, R. Shankar Raman, Wholetime Director & CFO, L&T mentioned in a convention name.
International income through the quarter at ₹21,898 crore constituted 43% of the whole income and a bulk of the order got here from Saudi Arabia, Mr. Raman mentioned. He, nevertheless, mentioned that the Israel-Palestine battle had no influence on the corporate’s execution within the area and order influx.
“Our strong operating and financial performance this quarter exhibits the resilience of the company’s business model despite the on-going volatile geo-political situation,” Chairman and Managing Director S. N. Subrahmanyan mentioned in an announcement
“All our businesses – Projects, Manufacturing and Services have grown. During the quarter, we received the highest ever order inflows in the history of the company. This shows the faith our customers place in us and is a reflection of our capability to perform and deliver projects on time,” he mentioned.
“The company now tops the list of international EPC contractors working in the MENA region in terms of value for projects under execution. This is a testament to our capabilities as a diversified conglomerate present across various geographies,” he added.
“In the near term, we remain cautiously optimistic, considering the recent geopolitical developments. However, we do expect sustained buoyancy of Services and Indian Government’s thrust on capex to continue,” he additional mentioned.
During the quarter the corporate acquired orders value ₹ 89,153 crore on the group stage, reporting a development of 72% Year-on-Year (YoY).
The orders had been acquired throughout various segments like onshore verticals of the Hydrocarbon enterprise, Urban Transit methods, Transmission & Distribution in addition to Residential & Commercial Space, the corporate mentioned.
International orders at ₹59,687 crore through the quarter comprised 67% of the whole order influx, it added.
The consolidated order e book is at ₹4,50,734 crore as on September 30, 2023, with worldwide orders having a share of 35%.
The segments that carried out effectively through the quarter included Energy Projects with EBITDA margin at 9.5%, in contrast with 8.5% a 12 months earlier; Realty, Industrial Valves, Construction (*63*) & Mining Machinery and Rubber Processing Machinery with EBITDA margin at 20% in contrast with 17.5% a 12 months earlier; Financial Services Segment with PBT growing to ₹796 crore in contrast with ₹613 crore a 12 months earlier, and Development Projects Segment with EBITDA of ₹ 634 crore in contrast with a lack of ₹12 crore a 12 months earlier.
While Infrastructure Projects phase reported decrease EBITDA margin at 5.4% vis-à-vis 6.6% a 12 months earlier, Hi-Tech Manufacturing Segment posted EBITDA margin at 14.9% in contrast with 18.5% a 12 months in the past, and IT & Technology Services (IT&TS) Segment reported EBITDA margin at 20.2% in contrast with 21.4% a 12 months earlier.
