L&T Q3 Results: Profit Up 17.24% On Execution In Projects, Manufacturing Segments

Larsen & Toubro Ltd.’s third-quarter profit rose on the back of strong order inflows and project execution.

The company has revised its FY24 order inflow guidance of 10-12% upwards to 20%, given the strong visibility of order inflow from domestic and international projects, said R Shankar Raman, whole time director and chief financial officer of L&T.

The company expects to exceed the revenue guidance of 12-15% as well. "We see the revenue guidance in high teens," Raman said.

The supply chain disruption in the Red Sea channel is a matter of concern as it's an important channel for logistics, Raman said. "We have started working on new routes and there will be discussions on additional costs and its compensation."

However, the growth momentum in the region continues as countries in the Middle East are now focused on investments to achieve decarbonisation targets, he said.

L&T had emerged as the largest EPC player in the Middle East and MENA region in the previous quarter, and several of its large projects come from that region.

However, these projects take time before they reach the execution stage. Hence, there is no impact to these projects at present, he said.

Shares of L&T closed 2.02% down on the BSE, as compared with a 1.11% fall in the benchmark Sensex.