Defense and construction company Larsen and Toubro (L&T) reported healthy July-September quarter earnings on all fronts for the financial year 2021-22 (Q2FY22), as the company returned to pre-Covid level business with a positive outlook.

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On a consolidated basis, L&T’s net profit after tax (excluding exceptional items and discontinued operations) for the quarter grew by 56 per cent to Rs 1,723 crore on a YoY basis, while it registered 12 per cent YoY growth in Q2 revenues to Rs 34,773 crore for the September-end quarter.

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The company in its results statement said, “The increase in revenue is attributed to project execution momentum with an easing of regional lockdowns on progressive vaccination coverage and industry-leading growth in the IT&TS portfolio.”

While the profit growth is mainly driven by improved margins from the projects and manufacturing portfolio as the pandemic-induced stress in previous periods progressively wanes out, it added.

The Company bagged orders worth Rs 42,140 crore during the quarter ended September 30, 2021, registering a robust growth of 50per cent over the corresponding period of the previous year. 

Similarly, L&T said, “Orders were received in various segments like Oil & Gas, Metros, Rural Water Supply, Minerals and Metal, Public Space and Power Transmission and Distribution."

Segment Wise

 The infrastructure segment secured orders of Rs 12,108 crore, during the quarter ended September 30, 2021, registering a decline of 17 per cent over the corresponding quarter of the previous year.

The Power segment recorded an order inflow of Rs 143 crore for the quarter ended September 30, 2021, reflecting stagnation of fossil fuel power plant prospects, given the ESG concerns.

The Heavy Engineering segment recorded an order inflow of Rs 648 crore during the quarter ended September 30, 2021, a growth of 101 per cent YoY with spurt of orders in Refinery and Oil & Gas.

Defence Engineering segment recorded order inflow of Rs 441 crore during the quarter ended September 30, 2021, registering decline of 67% over the corresponding quarter of the previous year.