Larsen & Toubro net profit was up 18 per cent in the quarter ended December 31, 2011 at Rs 992 crore against Rs 841 crore registered in the same period last year. Net sales rose 23 per cent to Rs 13,999 crore (Rs 11,396 crore).

The company has booked higher other income of Rs 449 crore (Rs 251 crore) during the quarter under review.

Order inflow

Order inflow during the quarter was up 28 per cent at Rs 17,129 crore. Order book in the engineering and construction business stood at Rs 14,3341 crore.

Profit before interest and tax of the engineering and construction division was up at Rs 1,282 crore (Rs 1,057 crore).

E&C revenue

Revenue from engineering and construction division grew to Rs 12,465 crore (Rs 9,983 crore). The segment reported a healthy order inflow of Rs 15,283 crore with international orders constituting 10 per cent.

With focused execution and efficient project management, the E&C unit recorded an operating margin of 11.5 per cent against 11.6 per cent in the corresponding quarter last year.

Electrical, electronics division

Electrical and electronics gross revenue was at Rs 843 crore (Rs 797 crore) while PBIT was lower at Rs 76 crore (Rs 87 crore) due to lower industrial offtake, liquidity crunch in the domestic market and sluggish international demand, the company said.

Higher input costs not fully passed on to the customers, due to stiff competition kept the operating margins range bound at 10.9 per cent.

Machinery and industrial products revenue was at Rs 720 crore (Rs 681 crore) with an operating margin of 20.3 per cent.

The quarter witnessed project deferment, aggressive competition, slow reform process and sharp rupee depreciation. The recent increase in IIP numbers and easing of inflationary pressures, however, reflects some positive development, the company said.

Related Topics
comment COMMENT NOW