Tuesday, August 9, 2011

L&T Q1 net up 12% driven by healthy order inflow

Larsen & Toubro has reported a 12% Y-o-Y) growth, in its profits at Rs 746 crore for the April-June quarter of FY12. Sales of the engineering and construction giant grew 21% at Rs 9,778.7 crore on the back of healthy order book and superior execution of jobs.

Analysts on average had expected L&T’s s net profit at Rs 765 crore and on revenue of Rs 9,717 crore, according to CNBC-TV18 poll.

The company received new orders to the tune of Rs 161.90 billion during the quarter with most orders coming from infrastructure, power generation, mineral and metals and hydrocarbon sectors, L&T said in a statement.

However, the EBITDA margin stood at 11.88% against 12.77%, mainly due to high input cost.

Going forward, global economic concerns, spiraling inflation and hardening interest rates remain a worry, stated the company, “Speedy implementation of various initiatives by the government for industrial and infrastructure development holds the key to an accelerated growth momentum,” quoted the release from the company

Meanwhile, shares of engineering conglomerate reversed early losses and rose 2% at Rs 1,674, after the company posted a 12% rise in quarterly profit.

Source: www.moneycontrol.com

Thanks,
Gaurav Agarwal
Head Dealer
DENIP Consultants Pvt Ltd

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