Rs 6,12,761 crore order book: Civil construction company reports strong Q1FY26 results, Revenue surges 16% & PAT jumps 30%

DSIJ Intelligence-1 / 29 Jul 2025/ Categories: Mindshare, Trending

Rs 6,12,761 crore order book: Civil construction company reports strong Q1FY26 results, Revenue surges 16% & PAT jumps 30%

The stock is up by 18 per cent from its 52-week low and has given multibagger returns of 285 per cent in the last 5 years.

Larsen & Toubro (L&T), a prominent Indian infrastructure and technology conglomerate, has commenced FY26 with a robust financial performance for the quarter ended June 30, 2025. The company demonstrated strong growth across all key parameters, with order inflow surging by 33 per cent, revenue increasing by 16 per cent, and Profit After Tax (PAT) rising by 30 per cent. During this quarter, L&T secured orders worth Rs 94,453 crore at the Group level, driven by significant ordering momentum across diverse sectors including Thermal BTG, Renewables, Power Transmission & Distribution, Hydel, Non-Ferrous Metals, and both Offshore & Onshore Hydrocarbon businesses, as well as Commercial and Residential projects. International orders played a crucial role, accounting for 52 per cent of the total order inflow, amounting to Rs 48,675 crore. As of June 30, 2025, the Group's consolidated order book stood at Rs 612,761 crore, reflecting a 6 per cent growth over March 2025, with international orders contributing 46 per cent.

For the quarter, L&T reported consolidated revenues of Rs 63,679 crore, marking a 16 per cent year-on-year growth. This was attributed to healthy execution within its key Projects & Manufacturing (P&M) portfolio. International revenues for the period were Rs 32,994 crore, representing 52 per cent of the total revenues. The company's Consolidated Profit After Tax (PAT) for the quarter ended June 30, 2025, reached Rs 3,617 crore, demonstrating a substantial 30 per cent year-on-year increase. These results highlight L&T's strong operational performance and strategic positioning in both domestic and international markets.

Larsen & Toubro's diverse segments exhibited varied performance in Q1FY26. The Infrastructure Projects segment saw moderate order inflow growth of 2 per cent to Rs 41,024 crore, with international orders at 69 per cent, and customer revenues grew by 7 per cent to Rs 28,757 crore, maintaining an EBITDA margin of 5.7 per cent. The Energy Projects segment achieved over 100 per cent order inflow growth, reaching Rs 31,420 crore due to multiple BTG packages, and robust customer revenue growth of 47 per cent to Rs 12,470 crore, though its EBITDA margin declined to 7.3 per cent from 8.7 per cent. Hi-Tech Manufacturing's order inflow declined by 49 per cent to Rs 1,889 crore, but customer revenues jumped 75 per cent to Rs 3,227 crore, with an EBITDA margin of 15.1 per cent. The IT & Technology Services segment recorded a 10 per cent year-on-year growth in customer revenues to Rs 12,619 crore, with an EBITDA margin of 19.5 per cent. Financial Services saw an 8 per cent growth in income from operations to Rs 3,971 crore, driven by retail business, and its loan book grew by 5 per cent to Rs 102,314 crore. Development Projects experienced a 6 per cent decline in customer revenues to Rs 1,242 crore. The "Others" segment, including Realty and Industrial Valves, reported a modest 1 per cent growth in customer revenues to Rs 1,393 crore, with a significantly higher EBITDA margin of 32.9 per cent.

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About the Company

Larsen & Toubro (L&T) is a massive Indian conglomerate with its fingers in many pies. Their core business is engineering, procurement and construction (EPC) solutions across various sectors like infrastructure, power, hydrocarbon (oil & gas) and defence. They also manufacture custom-designed machinery for these industries and even have a real estate arm. L&T is a major player in IT services through subsidiaries like L&T Infotech and Mindtree and provides financial services like rural and housing finance through L&T Finance Holdings. They even handle development projects involving infrastructure, toll management and power generation.

The company has a market cap of Rs 4.81 lakh crore and has been maintaining a healthy dividend payout of 33 per cent. Life Insurance Corporation of India (LIC) owns a 13.60 per cent stake in the company as of June 2025. The company has a robust order book valued at Rs 6,12,761 crore as of June 30, 2025. The stock is up by 18 per cent from its 52-week low and has given multibagger returns of 285 per cent in the last 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.