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L&T gains on concluding sale of E&A biz

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Capital Market
Last Updated : Sep 01 2020 | 11:31 AM IST

Larsen & Toubro (L&T) rose 1.34% to Rs 958 after the company said it completed divestment of the electrical & automation business to Schneider Electric.

L&T on Monday (31 August) announced the closure of the strategic divestment of its Electrical & Automation (L&T E&A) business to Schneider Electric, a global player in energy management and automation.

The divestment deal, announced in May 2018, is in line with L&T's stated goal of unlocking value for future growth. L&T continuously evaluates its business portfolio and takes capital allocation decisions from a long-term perspective. Its exit from the electrical & automation business is a part of the strategic portfolio review process.

On a consolidated level, L&T reported a 67.3% decline in net profit to Rs 645.07 crore in Q1 June 2020 from Rs 1972.52 crore in the same period last year. Net sales stood at Rs 21,259.97 in Q1 FY21, declining 28.3% from Rs 29,635.95 crore in Q1 FY20.

L&T is an Indian multinational engaged in technology, engineering, construction, manufacturing and financial services.

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First Published: Sep 01 2020 | 9:49 AM IST

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