Consolidated net sales (including other operating income) of Larsen & Toubro for the quarter ended Sep 2024 has increased 20.64% to Rs 61554.58 crore. Operating profit margin has declined from 13.80% to 12.86%, leading to 12.45% rise in operating profit to Rs 7,917.05 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 8.75% to 10.00%. Purchase of finished goods cost fell from 0.67% to 0.53%. Employee cost decreased from 20.33% to 18.47%. Other expenses rose from 56.35% to 58.23%. Selling and administration expenses rose from 18.05% to 23.07%. Stores consumed for sales fell from 2.01% to 1.69%. Expenses from contract fell from 15.32% to 14.62%. Construction development cost rose from 23.13% to 27.46%. Other direct service cost fell from 10.81% to 10.07%. Other income fell 2.80% to Rs 1101.27 crore. PBIDT rose 10.34% to Rs 9018.32 crore. Provision for interest rose 7.35% to Rs 2439.39 crore. PBDT rose 11.49% to Rs 6578.93 crore. Provision for depreciation rose 12.52% to Rs 1023.84 crore. Profit before tax grew 11.30% to Rs 5,555.09 crore. Share of profit/loss was 39% lower at Rs -13.97 crore. Provision for tax was expense of Rs 1442.28 crore, compared to Rs 1135.52 crore. Effective tax rate was 26.03% compared to 22.80%. Minority interest increased 12.95% to Rs 703.55 crore. Net profit attributable to owners of the company increased 5.36% to Rs 3,395.29 crore. Sales of Infrastructure Projects segment has gone up 29.53% to Rs 32,352.30 crore (accounting for 51.86% of total sales). Sales of IT & Technology Services segment has gone up 6.34% to Rs 11,960.56 crore (accounting for 19.17% of total sales). Sales of Financial Services segment has gone up 24.40% to Rs 3,836.58 crore (accounting for 6.15% of total sales). Sales of Development Projects segment has gone down 25.37% to Rs 1,382.92 crore (accounting for 2.22% of total sales). Sales of segment has gone down 5.06% to Rs 1,792.51 crore (accounting for 2.87% of total sales). Sales of Hi-Tech Manufacturing segment has gone up 6.60% to Rs 2,175.94 crore (accounting for 3.49% of total sales). Sales of Energy Projects segment rose 30.70% to Rs 8,879.84 crore (accounting for 14.23% of total sales). Inter-segment sales came down from Rs 860.29 crore to Rs 826.07 crore. Profit before interest, tax and other unallocable items (PBIT) has jumped 9.49% to Rs 6,007.90 crore. PBIT of Infrastructure Projects segment rose 49.70% to Rs 1,550.19 crore (accounting for 25.80% of total PBIT). PBIT of IT & Technology Services segment rose 9.39% to Rs 2,079.82 crore (accounting for 34.62% of total PBIT). PBIT of Financial Services segment rose 17.97% to Rs 939.53 crore (accounting for 15.64% of total PBIT). PBIT of Development Projects segment fell 78.58% to Rs 135.81 crore (accounting for 2.26% of total PBIT). PBIT of segment rose 28.69% to Rs 383.74 crore (accounting for 6.39% of total PBIT). PBIT of Hi-Tech Manufacturing segment fell 10.30% to Rs 209.69 crore (accounting for 3.49% of total PBIT). PBIT of Energy Projects segment rose 20.66% to Rs 709.12 crore (accounting for 11.80% of total PBIT). PBIT margin of Infrastructure Projects segment rose from 4.15% to 4.79%. PBIT margin of IT & Technology Services segment rose from 16.90% to 17.39%. PBIT margin of Financial Services segment fell from 25.82% to 24.49%. PBIT margin of Development Projects segment fell from 34.22% to 9.82%. PBIT margin of segment rose from 15.79% to 21.41%. PBIT margin of Hi-Tech Manufacturing segment fell from 11.45% to 9.64%. PBIT margin of Energy Projects segment fell from 8.65% to 7.99%. Overall PBIT margin fell from 10.58% to 9.63%.
For year-to-date (YTD) results analysis. Net sales (including other operating income) of Larsen & Toubro for half year ended Sep 2024 has increased 17.96% to Rs 116674.4 crore. Sales of Infrastructure Projects segment has gone up 25.67% to Rs 59,531.75 crore (accounting for 50.44% of total sales). Sales of IT & Technology Services segment has gone up 5.90% to Rs 23,517.30 crore (accounting for 19.93% of total sales). Sales of Financial Services segment has gone up 22.89% to Rs 7,500.61 crore (accounting for 6.36% of total sales). Sales of Development Projects segment has gone down 13.95% to Rs 2,710.24 crore (accounting for 2.30% of total sales). Sales of Others segment has gone down 22.32% to Rs 3,290.00 crore (accounting for 2.79% of total sales). Sales of Hi-Tech Manufacturing segment has gone up 2.15% to Rs 4,095.66 crore (accounting for 3.47% of total sales). Sales of Energy Projects segment rose 28.89% to Rs 17,380.21 crore (accounting for 14.73% of total sales). Inter-segment sales came down from Rs 1,656.16 crore to Rs 1,351.37 crore. Profit before interest, tax and other unallocable items (PBIT) has jumped 10.99% to Rs 11,415.84 crore. PBIT of Infrastructure Projects segment rose 45.85% to Rs 2,750.28 crore (accounting for 24.09% of total PBIT). PBIT of IT & Technology Services segment rose 4.52% to Rs 3,991.28 crore (accounting for 34.96% of total PBIT). PBIT of Financial Services segment rose 23.27% to Rs 1,861.85 crore (accounting for 16.31% of total PBIT). PBIT of Development Projects segment fell 62.61% to Rs 283.09 crore (accounting for 2.48% of total PBIT). PBIT of Others segment fell 0.93% to Rs 674.47 crore (accounting for 5.91% of total PBIT). PBIT of Hi-Tech Manufacturing segment fell 2.38% to Rs 476.60 crore (accounting for 4.17% of total PBIT). PBIT of Energy Projects segment rose 20.39% to Rs 1,378.27 crore (accounting for 12.07% of total PBIT). PBIT margin of Infrastructure Projects segment rose from 3.98% to 4.62%. PBIT margin of IT & Technology Services segment fell from 17.20% to 16.97%. PBIT margin of Financial Services segment rose from 24.75% to 24.82%. PBIT margin of Development Projects segment fell from 24.04% to 10.45%. PBIT margin of Others segment rose from 16.07% to 20.50%. PBIT margin of Hi-Tech Manufacturing segment fell from 12.18% to 11.64%. PBIT margin of Energy Projects segment fell from 8.49% to 7.93%. Overall PBIT margin fell from 10.23% to 9.67%. Operating profit margin has declined from 13.50% to 12.82%, leading to 12.02% rise in operating profit to Rs 14,962.87 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 9.16% to 9.71%. Purchase of finished goods cost fell from 0.67% to 0.58%. Employee cost decreased from 20.40% to 19.18%. Other expenses rose from 56.27% to 57.77%. Selling and administration expenses rose from 17.91% to 20.39%. Stores consumed for sales fell from 2.21% to 1.70%. Expenses from contract rose from 15.27% to 15.61%. Construction development cost rose from 22.95% to 25.14%. Other direct service cost fell from 10.81% to 10.57%. Other income fell 11.26% to Rs 2021.91 crore. PBIDT rose 8.63% to Rs 16984.78 crore. Provision for interest rose 3.50% to Rs 4731.28 crore. Loan funds rose to Rs 126,183.49 crore as of 30 September 2024 from Rs 122,108.75 crore as of 30 September 2023. Inventories rose to Rs 7,274.90 crore as of 30 September 2024 from Rs 6,623.86 crore as of 30 September 2023. Sundry debtors were higher at Rs 51,143.23 crore as of 30 September 2024 compared to Rs 47,977.25 crore as of 30 September 2023. Cash and bank balance declined from Rs 18,020.09 crore as of 30 September 2023 to Rs 17,297.02 crore as of 30 September 2024. Investments rose to Rs 48,703.65 crore as of 30 September 2024 from Rs 40,844.99 crore as of 30 September 2023 . PBDT rose 10.75% to Rs 12253.5 crore. Provision for depreciation rose 16.17% to Rs 2021.76 crore. Fixed assets increased to Rs 20,671.78 crore as of 30 September 2024 from Rs 20,200.70 crore as of 30 September 2023. Intangible assets declined from Rs 25,658.53 crore to Rs 25,172.90 crore. Profit before tax grew 9.74% to Rs 10,231.74 crore. Share of profit/loss was 69.26% higher at Rs -9.4 crore. Provision for tax was expense of Rs 2678.82 crore, compared to Rs 2351.77 crore. Effective tax rate was 26.21% compared to 25.31%. Minority interest increased 11.18% to Rs 1,362.51 crore. Net profit attributable to owners of the company increased 8.14% to Rs 6,181.01 crore.
Order book The consolidated order book of the group as on September 30, 2024, is at ? 510,402 crore registers a growth of 7% over March 2024, with the share of international orders at 40%. The Company received orders of ? 80,045 crore at the group level during the quarter ended
September 30, 2024, registering a sequential growth of 13% and a y-o-y degrowth of 10%. The corresponding quarter of the previous year had the benefit of receipt of two
international ultra-mega orders in the Hydrocarbon business. During the quarter, multigeography orders were received across different segments like Renewables, Transmission &
Distribution, Roads & Runways, Urban Transit, Nuclear Power, Hydel & Tunnel, Minerals &
Metals, Factories, Precision Engineering and the Offshore vertical of Hydrocarbon business.
International orders at ? 50,083 crore during the quarter comprised 63% of the total order
inflow.
On a cumulative basis, the order inflow for the half-year ended September 30, 2024 stood
at ? 150,982 crore. International orders at ? 82,680 crore during the half-year constituted
55% of the total.
Management Comments :
Commenting on the results, S.N. Subrahmanyan, Chairman and Managing Director said: “ We have delivered yet another quarter of strong financial performance despite the continuing global macro economic volatility. The projects & manufacturing businesses of the Company continue to perform well. We have a record order book ? 5 lakh crore+ that is a testimony of our proven competence in the domains of engineering, construction, manufacturing, and project management. Our new transformative investments in Green Energy, Data Centers, Digital Platforms and Semiconductor Design will, besides improving our Digital and Sustainability footprint, compliment our current business portfolio as well. 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. The Company remains committed on delivering a sustained performance of growth.”
Others Equity capital increased from Rs 274.88 crore as of 30 September 2023 to Rs 275.00 crore as of 30 September 2024. Per share face Value remained same at Rs 2.00. Cash flow from operating activities decreased to Rs 268.61 crore for YTD ended September 2024 from Rs 4,181.13 crore for YTD ended September 2023. Cash flow used in acquiring fixed assets during the YTD ended September 2024 stood at Rs 1,965.43 crore, compared to Rs 1,872.29 crore during the YTD ended September 2023.
| Larsen & Toubro : Consolidated Results | | | Quarter ended | Year to Date | Year ended |
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| Particulars | 202409 | 202309 | Var.(%) | 202409 | 202309 | Var.(%) | 202403 | 202303 | Var.(%) |
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| Net Sales (including other operating income) | 61,554.58 | 51,024.04 | 20.64 | 116,674.40 | 98,906.41 | 17.96 | 221,112.91 | 183,340.70 | 20.60 | | OPM (%) | 12.86 | 13.80 | -94 bps | 12.82 | 13.50 | -68 bps | 13.21 | 14.61 | -140 bps | | OP | 7,917.05 | 7,040.37 | 12.45 | 14,962.87 | 13,356.73 | 12.02 | 29,208.55 | 26,779.72 | 9.07 | | Other Inc. | 1,101.27 | 1,132.98 | -2.80 | 2,021.91 | 2,278.54 | -11.26 | 4,158.03 | 2,929.17 | 41.95 | | PBIDT | 9,018.32 | 8,173.35 | 10.34 | 16,984.78 | 15,635.27 | 8.63 | 33,366.58 | 29,708.89 | 12.31 | | Interest | 2,439.39 | 2,272.39 | 7.35 | 4,731.28 | 4,571.47 | 3.50 | 9,260.75 | 9,233.60 | 0.29 | | PBDT | 6,578.93 | 5,900.96 | 11.49 | 12,253.50 | 11,063.80 | 10.75 | 24,105.83 | 20,475.29 | 17.73 | | Depreciation | 1023.84 | 909.89 | 12.52 | 2021.76 | 1740.36 | 16.17 | 3682.33 | 3502.25 | 5.14 | | PBT | 5,555.09 | 4,991.07 | 11.30 | 10231.74 | 9323.44 | 9.74 | 20423.5 | 16973.04 | 20.33 | | Share of Profit/(Loss) from Associates | -13.97 | -10.05 | -39.00 | -9.4 | -30.58 | 69.26 | -22.62 | -94.25 | 76.00 | | PBT before EO | 5541.12 | 4981.02 | 11.24 | 10222.34 | 9292.86 | 10.00 | 20400.88 | 16878.79 | 20.87 | | EO Income | 0 | 0 | - | 0 | 0 | - | 93.61 | 135.99 | -31.16 | | PBT after EO | 5541.12 | 4981.02 | 11.24 | 10222.34 | 9292.86 | 10.00 | 20494.49 | 17014.78 | 20.45 | | Taxation | 1442.28 | 1135.52 | 27.01 | 2678.82 | 2351.77 | 13.91 | 4947.39 | 4484.16 | 10.33 | | PAT | 4098.84 | 3845.5 | 6.59 | 7543.52 | 6941.09 | 8.68 | 15547.1 | 12530.62 | 24.07 | | Minority Interest (MI) | 703.55 | 622.87 | 12.95 | 1362.51 | 1225.46 | 11.18 | 2487.99 | 2059.9 | 20.78 | | Net profit | 3395.29 | 3222.63 | 5.36 | 6181.01 | 5715.63 | 8.14 | 13059.11 | 10470.72 | 24.72 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 3395.29 | 3222.63 | 5.36 | 6181.01 | 5715.63 | 8.14 | 13059.11 | 10470.72 | 24.72 | | EPS (Rs)* | 24.69 | 23.44 | 5.36 | 44.95 | 41.57 | 8.14 | 94.54 | 75.54 | 25.15 | | | * EPS is on current equity of Rs 275.00 crore, Face value of Rs 2, Excluding extraordinary items. | | # EPS is not annualised | | bps : Basis points | | EO : Extraordinary items | | Figures in Rs crore | | Source: Capitaline Corporate Database |
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| Larsen & Toubro : Consolidated Segment Results | | | Quarter ended | Year to Date | Year ended |
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| % of (Total) | 202409 | 202309 | Var.(%) | % of (Total) | 202409 | 202309 | Var.(%) | % of (Total) | 202403 | 202303 | Var.(%) |
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| Sales | | Infrastructure Projects | 51.86 | 32,352.30 | 24,976.75 | 29.53 | 50.44 | 59,531.75 | 47,372.39 | 25.67 | 50.79 | 114,008.21 | 87,823.15 | 29.82 | | Power | 0.00 | 0.00 | 0.00 | - | | Metallurgical & Material Handling | 0.00 | 0.00 | 0.00 | - | | Heavy Engineering | 0.00 | 0.00 | 0.00 | - | | Electrical & Automation | 0.00 | 0.00 | 0.00 | - | | Hyderocarbon | 0.00 | 0.00 | 0.00 | - | | IT & Technology Services | 19.17 | 11,960.56 | 11,246.95 | 6.34 | 19.93 | 23,517.30 | 22,207.64 | 5.90 | 20.01 | 44,916.31 | 41,789.25 | 7.48 | | Financial Services | 6.15 | 3,836.58 | 3,084.08 | 24.40 | 6.36 | 7,500.61 | 6,103.72 | 22.89 | 5.84 | 13,108.62 | 12,574.92 | 4.24 | | Development Projects | 2.22 | 1,382.92 | 1,853.12 | -25.37 | 2.30 | 2,710.24 | 3,149.52 | -13.95 | 2.51 | 5,628.01 | 5,028.77 | 11.92 | | | 2.87 | 1,792.51 | 1,888.04 | -5.06 | 2.79 | 3,290.00 | 4,235.22 | -22.32 | 3.78 | 8,492.89 | 6,270.78 | 35.44 | | Hi-Tech Manufacturing | 3.49 | 2,175.94 | 2,041.14 | 6.60 | 3.47 | 4,095.66 | 4,009.41 | 2.15 | 3.90 | 8,765.29 | 7,160.87 | 22.41 | | Energy Projects | 14.23 | 8,879.84 | 6,794.25 | 30.70 | 14.73 | 17,380.21 | 13,484.67 | 28.89 | 13.17 | 29,570.90 | 24,956.26 | 18.49 | | Total Reported Sales | 100.00 | 62,380.65 | 51,884.33 | 20.23 | 100.00 | 118,025.77 | 100,562.57 | 17.37 | 100.00 | 224,490.23 | 185,604.00 | 20.95 | | Less: Inter segment revenues | | 826.07 | 860.29 | -3.98 | | 1,351.37 | 1,656.16 | -18.40 | | 3,377.32 | 2,263.30 | 49.22 | | Net Sales | 100.00 | 61,554.58 | 51,024.04 | 20.64 | 100.00 | 116,674.40 | 98,906.41 | 17.96 | 100.00 | 221,112.91 | 183,340.70 | 20.60 | | PBIT | | Infrastructure Projects | 25.80 | 1,550.19 | 1,035.55 | 49.70 | 24.09 | 2,750.28 | 1,885.72 | 45.85 | 25.12 | 5,720.93 | 5,140.18 | 11.30 | | Power | 0.00 | 0.00 | 0.00 | - | | Metallurgical & Material Handling | 0.00 | 0.00 | 0.00 | - | | Heavy Engineering | 0.00 | 0.00 | 0.00 | - | | Electrical & Automation | 0.00 | 0.00 | 0.00 | - | | Hyderocarbon | 0.00 | 0.00 | 0.00 | - | | IT & Technology Services | 34.62 | 2,079.82 | 1,901.24 | 9.39 | 34.96 | 3,991.28 | 3,818.65 | 4.52 | 33.63 | 7,658.79 | 7,215.08 | 6.15 | | Financial Services | 15.64 | 939.53 | 796.40 | 17.97 | 16.31 | 1,861.85 | 1,510.44 | 23.27 | 13.30 | 3,028.41 | 2,258.78 | 34.07 | | Development Projects | 2.26 | 135.81 | 634.06 | -78.58 | 2.48 | 283.09 | 757.08 | -62.61 | 4.46 | 1,014.73 | 391.77 | 159.01 | | | 6.39 | 383.74 | 298.20 | 28.69 | 5.91 | 674.47 | 680.80 | -0.93 | 6.62 | 1,507.70 | 1,103.02 | 36.69 | | Hi-Tech Manufacturing | 3.49 | 209.69 | 233.77 | -10.30 | 4.17 | 476.60 | 488.20 | -2.38 | 5.01 | 1,139.77 | 995.24 | 14.52 | | Energy Projects | 11.80 | 709.12 | 587.72 | 20.66 | 12.07 | 1,378.27 | 1,144.80 | 20.39 | 11.86 | 2,700.63 | 2,066.69 | 30.67 | | Total PBIT | 100.00 | 6,007.90 | 5,486.94 | 9.49 | 100.00 | 11,415.84 | 10,285.69 | 10.99 | 100.00 | 22,770.96 | 19,170.76 | 18.78 | | Less : Interest | | 884.38 | 864.01 | 2.36 | | 1,745.74 | 1,715.37 | 1.77 | | 3,545.85 | 3,207.16 | 10.56 | | Add: Other un-allcoable | | 431.57 | 368.14 | 17.23 | | 561.64 | 753.12 | -25.42 | | 1,292.00 | 1,145.43 | 12.80 | | PBIT Margin(%) | | Infrastructure Projects | | 4.79 | 4.15 | 64.55 | | 4.62 | 3.98 | 63.92 | | 5.02 | 5.85 | -83.49 | | Power | | 0.00 | 0.00 | 0.00 | | Metallurgical & Material Handling | | 0.00 | 0.00 | 0.00 | | Heavy Engineering | | 0.00 | 0.00 | 0.00 | | Electrical & Automation | | 0.00 | 0.00 | 0.00 | | Hyderocarbon | | 0.00 | 0.00 | 0.00 | | IT & Technology Services | | 17.39 | 16.90 | 48.45 | | 16.97 | 17.20 | -22.35 | | 17.05 | 17.27 | -21.42 | | Financial Services | | 24.49 | 25.82 | -133.42 | | 24.82 | 24.75 | 7.64 | | 23.10 | 17.96 | 513.99 | | Development Projects | | 9.82 | 34.22 | -2,439.53 | | 10.45 | 24.04 | -1,359.27 | | 18.03 | 7.79 | 1,023.94 | | | | 21.41 | 15.79 | 561.38 | | 20.50 | 16.07 | 442.59 | | 17.75 | 17.59 | 16.27 | | Hi-Tech Manufacturing | | 9.64 | 11.45 | -181.62 | | 11.64 | 12.18 | -53.96 | | 13.00 | 13.90 | -89.51 | | Energy Projects | | 7.99 | 8.65 | -66.45 | | 7.93 | 8.49 | -55.95 | | 9.13 | 8.28 | 85.15 | | PBT | 100.00 | 5,555.09 | 4,991.07 | 11.30 | 100.00 | 10,231.74 | 9,323.44 | 9.74 | 100.00 | 20,517.11 | 17,109.03 | 19.92 |
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