L&T Q4 net increases 10% to Rs 3,621 cor firm announces shares of Rs 22.

L&T Q4 net increases 10% to Rs 3,621 cor firm announces shares of Rs 22.

The company, which has a presence across infrastructure, hydrocarbons, power and heavy engineering among other segments, bagged orders worth Rs 73,941 crore in Q4, a growth of 46% over last year. International orders contributed 44% to the total order inflow, it said, with the infra segment booking a huge order from the Middle East.

L&T admitted that volatility in the price of crude oil and other commodities owing to geopolitical uncertainties was pushing up input prices.

Predictably, earnings before interest tax depreciation and amortisation (Ebitda) margins weakened in all segments due to cost pressures. The company also said that delayed claim certification in projects had hurt margins.

“The resultant supply chain disruptions could pose a threat to the growth plans of the country in the short-term,” it said.

Story Highlights

  • A Bloomberg consensus estimate had pegged revenue and net profit for the quarter at Rs 53,018 crore and Rs 3,483 crore respectively.

  • Segment-wise, the infrastructure vertical got Rs 45,054 crore in orders. While the hydrocarbon division received Rs 7,402 crore in orders, power got Rs 207 crore in orders, heavy engineering got Rs 720 crore and defence engineering got Rs 5,377 crore in orders in Q4.

The overall Ebitda margin fell to 12.3% in Q4 versus 13.3% a year ago. Infrastructure segment margins were impacted by nearly 230 basis points to 9.2 percent from 11.5% a year ago. And hydrocarbon segment margins fell 9.7% from 12.5% a year ago.

L&T’s board of directors recommended a final dividend of Rs 22 per share. On Thursday, L&T’s stock price was down 3%, closing trade at Rs 1,524.35 per share on the BSE.

The company said that it continued to focus on winning targeted orders and efficient execution of its large order book. It said that a robust order book, strong balance sheet, a well-diversified business portfolio and proven execution capabilities would enable the company to steer through the current challenging environment.