The News International Team
Larsen and Toubro (L&T) disappointed street on Monday with the third quarter profit falling 14.6 percent year-on-year to Rs 1,060 crore on standalone basis.
Profit was expected at Rs 1,255 crore on revenue of Rs 15,973 crore for the quarter, according to the average of estimates of analysts polled by CNBC-TV18.
Net sales grew 4.2 percent to Rs 14,995 crore during October-December quarter from Rs 14,388 crore in same quarter last year.
Operating profit dropped 6.3 percent year-on-year to Rs 1,569 crore and margin declined 110 basis points to 10.5 percent in the quarter gone by, which both were lower than expectations of Rs 1,826 crore and 11.4 percent, respectively.
Consolidated net profit increased 9 percent to Rs 867 crore and revenue rose 9.7 percent to Rs 23,878 crore during the quarter. Analysts had expected profit of Rs 1,075 crore on revenue of Rs 22,850 crore.
Operating profit grew 9.8 percent Y-o-Y to Rs 2,890 crore and margin remained unchanged at 12.1 percent for the quarter. Analysts had estimated operating profit at Rs 2,697 crore and margin 11.8 percent for the same period.
The engineering and construction major secured fresh orders worth Rs 34,580 crore in October-December quarter, registering an impressive increase of 19 percent over a year-ago period.
“The international order inflow during the quarter at Rs 6,300 crore constituted 18 percent of the total order inflow. The major orders were secured by infrastructure segment,” said the company in its filing.
While addressing press conference, however, R Shankar Raman (chief financial officer) says L&T has slashed order flow guidance to 15-20 percent from 20 percent.
The scrip of Larsen and Toubro closed at Rs 1,556.30, down Rs 128.05, or 7.60 percent on the Bombay Stock Exchange.
More to come..