L&T net profit grows 37% in Q3, beating forecast
Strong execution in project and service businesses behind its better-than-expected performance
- Published 26.01.19, 1:38 AM
- Updated 26.01.19, 1:38 AM
- a min read
Larsen & Toubro (L&T) on Friday beat Street estimates to post a 37 per cent growth in consolidated net profit for the third quarter ended December 31, 2018. Net profit came in at Rs 2,042 crore compared with Rs 1,490 crore in the corresponding period of the previous year.
Analysts had expected the engineering & construction major to report a net profit in the region of Rs 1,600 crore. L&T attributed the better-than-expected performance to strong execution in project and service businesses.
During the reporting quarter, the company said, it secured orders worth Rs 42,233 crore at the group level.
International orders at Rs 11,454 crore accounted for around 27 per cent of the total order inflow. The consolidated order book of L&T stood at Rs 2,84,049 crore as of December 31, 2018, which marked a growth of 5 per cent over December 2017.
During the period, consolidated revenues came in at Rs 35,709 crore against Rs 28,747 crore in the year-ago period.
Commenting on the performance of its various divisions, the company said the infrastructure segment achieved customer revenue of Rs 18,206 crore for the quarter, thus showing a growth of 24 per cent over the same period last year.
The power segment continued to witness muted prospects because of limited opportunities in the face of over-capacity coupled with aggressive competition.
The heavy engineering segment secured orders of Rs 553 crore during the quarter and the international book constituted 10 per cent of the total order inflow.