L&T fell 0.29% to Rs 1,650.60 at 09:25 IST on BSE after consolidated net profit fell 27.11% to Rs 2070 crore in Q4 March 2015 on the higher base net profit of Rs 2840 crore in Q4 March 2014, which included a one-time write back.
The result was announced on Saturday, 30 May 2015.
Meanwhile, the S&P BSE Sensex was down 5.18 points or 0.02% at 27,823.26
On BSE, so far 40,098 shares were traded in the counter as against average daily volume of 2.07 lakh shares in the past one quarter.
The stock hit a high of Rs 1,675 and a low of Rs 1,642.10 so far during the day. The stock had hit a record high of Rs 1,892.95 on 4 March 2015. The stock had hit a 52-week low of Rs 1,400 on 8 October 2014.
The large-cap company has equity capital of Rs 186.01 crore. Face value per share is Rs 2.
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On a consolidated basis, Larsen & Toubro (L&T)'s gross revenue rose 3.8% to Rs 28275 crore in Q4 March 2015 over Q4 March 2014, registering a modest growth as certain sectoral constraints slowed down the pace of execution.
On a consolidated basis, L&T's net profit fell 2.79% to Rs 4765 crore in the year ended March 2015 over the year ended March 2014, mainly due to challenges faced during execution of international projects in the hydrocarbon sector. Infrastructure and Services businesses of the group, however, recorded healthy increase in the PAT, thereby limiting year on year (y-o-y) decline in overall net profit for the year at 2.8%. Moreover, net profit of the previous year included a one-time write back of Rs 664 crore on account of amortization charge of toll road projects. Neutralizing this high base effect, the net profit for the year ended March 2015 shows an increase.
L&T said it was successful in garnering fresh orders worth Rs 155367 crore at consolidated level during the year ended March 2015, recording an impressive y-o-y growth of 22%. The order inflow growth was driven by domestic orders across businesses. The International orders during the year at Rs 39116 crore constituted lower share at 25% of the order inflow, as the company was selective in pursuing international opportunities. The company said that 55% of the total order inflow during the year was secured by the Infrastructure segment.
The order intake for Q4 March 2015 was also higher at Rs 47582 crore recording a y-o-y growth of 39%. International order inflow during the quarter was at Rs 11364 crore constituted 24% of the order inflow for the quarter.
Consolidated order book of the group stood at Rs 232649 crore as at 31 March 2015, higher by 28% on a y-o-y basis. International order book constituted 26% of the total order book.
In its outlook, L&T said that subdued investment climate during the year 2014-15 limited opportunities for capital goods and infrastructure sector in India. Initiatives which could potentially trigger investment interest in core sectors were time consuming. The government is expected to address the policy hurdles by accelerating decision making and by enhancing the ease of doing business.
Meanwhile, the global recovery has been slow. Sharp decline in oil prices and persisting geo-political uncertainties in the Middle East Region have impacted the investment momentum. Several currencies have depreciated against the the US dollar causing changes in the competitive landscape, L&T added.
Though demand in short-term remains impacted, the reform process in India is expected to gain ground in the medium term. Faster implementation of crucial projects and de-bottlenecking of stalled projects will help revive the growth momentum. The Government's focus on infrastructure development, manufacturing of defence equipment, fast tracking power and mining sector reforms and providing thrust to Make in India programme are positive indicators for the company. Further, progress on major reforms like land acquisition and GST should significantly improve the sentiment, L&T said.
The company is well placed to benefit early as sustainable growth opportunities emerge over the next few years, L&T added.
L&T is a major Indian multinational engaged in technology, engineering, construction, manufacturing and financial services, with global operations. Its products and systems are marketed in over 30 countries worldwide.
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