Larsen & Toubro (L&T) reported a 5.36 per cent jump in consolidated net profit for the quarter ended on September 30. The company clocked a profit of ₹3,395 crore as against 3,222 crore registered in the same quarter last year. 

Sequentially, there was a 18 per cent increase in profit from ₹2,785 crore reported in September. 

Total revenue from operations grew 20.63 per cent to ₹61,554 crore in September (₹51,024 crore). Revenue from operations increased 11.67 per cent from ₹55,119 crore in June. 

Driving India’s growth

“We have delivered yet another quarter of strong financial performance despite the continuing global macro-economic volatility. We have a record order book ₹5 lakh crore+ that is a testimony to our proven competence in the domains of engineering, construction, manufacturing, and project management. Our new transformative investments in green energy, data centers, digital platform and semiconductor design will, besides improving our digital and sustainability footprint, compliment our current business portfolio. India’s growth story remains intact on the back of continued public capex spends and a visible recovery in private investments as well. We expect the Middle East Capex momentum to remain healthy,” said SN Subrahmanyan, MD & CEO, L&T. 

The consolidated order book of the group as on September 30, is at ₹5,10,402 crore registering a growth of 7 per cent over March, with international orders  accounting for 40 per cent. 

Domestic orders

L&T stated that during the quarter the domestic order accounted for one-third of the contribution while two-thirds of order inflow came from international orders. The company further stated that it is expanding its international presence to Central Asia.

The Mumbai-headquartered firm announced it won an order of up to ₹10,000 crore in West Aisa and Africa for expanding and strengthening the electricity grids at high-voltage levels. 

The growth during the quarter was driven by the infrastructure segment that witnessed a revenue of ₹32,351 crore, a 29.5 per cent year-on year growth. The segment secured revenue uptick of 19 per cent with 27,179 crore reported in June quarter. 

The energy segment reported a 30.6 per cent year-on-year increase in revenue to ₹8,879 crore. 

Further, the company stated that its rubber processing business was impacted due to the slowdown in automobile industry. 

“We expect the domestic order to pick up in H2. With favorable market conditions, sustenance of investment and military de-escalation in Europe and West Asia, we are looking at H2 with hope and optimism. We are also working on debt restructuring of the Hyderabad metro asset. By monetisation of land at the Hyderabad metro we will reduce debt,” said R Shankar Raman, Chief Financial Officer, L&T.