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L&T inches up after new order win

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Capital Market
Last Updated : Sep 02 2013 | 1:00 PM IST

L&T rose 0.74% to Rs 727.60 at 11:50 IST on BSE after the company said the water and renewable energy business of L&T Construction has secured new orders worth Rs 1141 crore in August 2013 in various business segments.

The announcement was made during trading hours today, 2 September 2013.

Meanwhile, the BSE Sensex was up 176.65 points, or 0.95%, to 18,796.37/

On BSE, 1.04 lakh shares were traded in the counter compared with average volume of 3.08 lakh shares in the past one quarter.

The stock hit a high of Rs 730.50 and a low of Rs 724.10 so far during the day. The stock hit a 52-week low of Rs 678.10 on 28 August 2013. The stock hit a 52-week high of Rs 1,146.34 on 29 October 2012.

The stock had underperformed the market over the past one month till 30 August 2013, sliding 14.98% compared with the Sensex's 3.77% decline. The scrip had also underperformed the market in past one quarter, falling 24.06% as against Sensex's 7.89% fall.

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The large-cap company has an equity capital of Rs 185.05 crore. Face value per share is Rs 2.

L&T announced that the water & renewable energy business of L&T Construction, a leading player in the water infrastructure and renewable energy sectors in India, has secured new orders worth Rs 1141 crore in August 2013 in various business segments.

The water supply & distribution business, secured an order from the Public Health Engineering Department, Rajasthan for an integrated drinking water supply project linking towns and villages in Rajasthan. The scope includes supply and laying of transmission pipelines, construction of clear water reservoirs and pumping stations.

Another turnkey order was received from the Public Health Engineering Department, West Bengal for the design, construction and commissioning of a 52 millions of gallons per day (MGD) water treatment plant, the company said in a statement.

The company also strengthened its position in Tamil Nadu by securing a water supply project for Cuddalore Municipality from the Tamil Nadu Water Supply & Drainage Board, the statement added.

In the waste water business, orders have been secured from Delhi Jal Board for the supply and laying of internal and peripheral sewer lines in various parts of Delhi.

The industrial water systems business has received a turnkey engineering, procurement & construction (EPC) order from an infrastructure provider for constructing plant water systems for an upcoming project near Raichur, Karnataka, the statement said.

The water & renewable energy business caters to turnkey infrastructure projects including water supply & distribution, desalination plants, waste water networks, water & waste water treatment plants, industrial water systems and lift irrigation systems. In the field of renewable energy, the business provides best-in-class EPC services for projects on photovoltaic and concentrated solar power plants, wind power plants, micro-grid systems, smart-grid systems and integrated security solutions. The business is playing an important role in creating a water-surplus, energy-secure and green future.

L&T's net profit declined 12.46% to Rs 756.03 crore on 5% growth in gross revenue to Rs 12704 crore in Q1 June 2013 over Q1 June 2012. L&T attributed the decline in net profit to unfavorable job mix, lower margin accruals and lower other income.

L&T's revenue from international business jumped 68% to Rs 3378 crore in Q1 June 2013 over Q1 June 2012.

L&T's order inflow jumped 28% to Rs 25159 crore in Q1 June 2013 over Q1 June 2012. International order inflow jumped 2.28 times at Rs 3617 crore in Q1 June 2013 over Q1 June 2012. International orders constituted 14% of the total order inflow in Q1 June 2013. The major orders during the year came from Building & Factories, Transportation Infrastructure, Hydrocarbon and Heavy Civil Infrastructure businesses, L&T said.

With a healthy order book, strong balance sheet, wide ranging capabilities and international presence, the company is optimistic about its prospects as both the Indian and global economies work towards their recovery, L&T said. On the international front, the company continues to focus on good prospects in various countries in the Middle East and select markets in CIS region, Africa and South Asia, L&T said.

L&T is a $14 billion technology, engineering, construction, manufacturing and financial services conglomerate with global operations.

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First Published: Sep 02 2013 | 11:58 AM IST

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