Rs 6,12,800 Crore Order Book: Power transmission company wins STATCOM and SCADA orders with growing emphasis on Grid stability and resilience

DSIJ Intelligence-1 / 17 Sep 2025/ Categories: Mindshare, Trending

Rs 6,12,800 Crore Order Book: Power transmission company wins STATCOM and SCADA orders with growing emphasis on Grid stability and resilience

The stock is up by 33.82 per cent from its 52-week low and has given multibagger returns of over 300 per cent in the last 5 years.

Larsen & Toubro's (L&T) Power Transmission & Distribution (PT&D) business has secured "large" orders, valued between Rs 2,500 crore and Rs 5,000 crore, for grid infrastructure projects in India and the UAE. In India, the company will undertake a project to revamp the power distribution system in two towns, which includes implementing a Supervisory Control and Data Acquisition (SCADA) system and converting overhead electrical lines to underground cables. In the UAE, L&T will design, supply, and construct two Static Synchronous Compensator (STATCOM) systems at existing 400 kV substations. These STATCOMs are crucial for maintaining grid stability by providing instantaneous and automated reactive power compensation, which helps to stabilise voltage and improve power quality.

These new contracts also include an additional order from Oman for the construction of a 400/132 kV grid station and a related 400 kV transmission line segment. The projects collectively underscore L&T's role in developing robust and modern electrical grid infrastructure. The company’s continued success in securing such orders highlights its expertise in supporting the energy transition and sustainability objectives of its clients by providing advanced solutions for grid resilience and reliability. This strengthens L&T's commitment to building future-ready grid infrastructure that supports the energy transition and sustainability goals of its valued customers.

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.

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According to Quarterly Results, the net sales increased by 11 per cent to Rs 74,392.28 crore and net profit increased by 25 per cent to Rs 5,497.26 crore in Q4FY25 compared to Q4FY24. Looking at its annual results, the net sales increased by 16 per cent to Rs 2,55,734.45 crore and the net profit increased by 15 per cent to Rs 15,037.11 crore in FY25 compared to FY24.

The company has a market cap of over Rs 5 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 6,12,800 crore as of June 30, 2025. The stock is up by 33.82 per cent from its 52-week low and has given multibagger returns of over 300 per cent in the last 5 years.

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