Larsen & Toubro Q3 Results: Profit Up 14%, Misses Estimates

Larsen & Toubro Ltd.'s consolidated net profit rose 14% in the third quarter of the current financial year, missing analysts' estimates.

India's largest engineering, procurement and construction company posted a profit of Rs 3,359 crore in the October-December period, according to an exchange filing on Wednesday. Analysts tracked by Bloomberg had a consensus estimate of Rs 3,771 crore.

L&T Q3 FY25 Earnings Highlights (Consolidated, YoY)

• Revenue from operations rose 17.3% to Rs 64,668 crore versus Rs 55,128 crore (Bloomberg estimate: Rs 64,742 crore).

• Ebitda rose 8.6% to Rs 6,255 versus Rs 5,759 crore (Estimate: Rs 6,779 crore).

• Ebitda margin contracted to 9.7% versus 10.4% (Estimate: 10.5%).

• Net profit up 14% to Rs 3,359 crore versus Rs 2,947 crore (Estimate: Rs 3,771 crore).

Orderbook Position

The company received orders worth Rs 1.16 lakh crore at the group level during the quarter ended Dec. 31, 2024, registering a YoY growth of 53%.

International orders at Rs 62,059 crore during the quarter comprised 53% of the total order inflow.

During the quarter, orders were received across multiple geographies and diverse sectors like thermal power, renewable, power transmission, precision engineering, minerals and metals, water, commercial buildings and hydrocarbon onshore.

On a cumulative basis, the order inflow for the nine months ended December 31, 2024 stood at Rs 2.67 lakh crore, registering a growth of 16% YoY.

The consolidated order book of the group stood at Rs 5.64 lakh crore, a growth of 19% over March 2024, with the share of international orders at 42%.

Segment Performance

Infrastructure Projects Segment

The infrastructure projects segment secured order inflow of Rs 49,070 crore, registering a growth of 14% YoY.

The Ebitda margin of the segment during the quarter has remained stable at 5.5%, compared to corresponding quarter of the previous year.

Energy Projects Segment

The energy projects segment secured orders valued at Rs 38,818 crore during the quarter, registering a growth of 100% plus YoY, aided by receipt of mega orders in both CarbonLite Solutions and Hydrocarbon businesses, respectively.

The Ebitda margin of the segment was at 8.3%, lower compared to corresponding quarter of the previous year at 9.7%, reflective of the stage of execution of jobs in the portfolio.

Hi-Tech Manufacturing Segment

The segment secured orders valued at Rs 8,423 crore, registering a growth of 100% plus over the previous year, with receipt of a key order in the precision engineering and systems business.

The Ebitda margin of the segment during the quarter was at 18.2%, against 16.7% recorded in the corresponding quarter of the previous year.