L&T Achieves 30-35% Of Overall Order Inflow Guidance In First Half Of FY25
Larsen & Toubro's total order inflows for the second quarter stands in the range of Rs 28,000 to 47,500 crore.
Shares of Larsen & Toubro Ltd. have remained in focus after the Indian construction giant bagged new orders worth Rs 10,000 to 15,000 crore in the Middle East, for expanding and strengthening the electricity grids at high voltage levels.
In the past quarter, the company clocked in order inflows worth Rs 70,900 crore, registering an 8% growth YoY, while its order book saw a 19% growth at Rs 4.9 lakh crore at the end of June quarter.
Notably, the company's order prospects dipped in the quarter ended June 30, 2024, from about Rs 12 lakh crore in fiscal 2024 to Rs 9 lakh crore for fiscal 2025. This is with Rs 6 lakh crore remaining for the nine months of the current fiscal, largely due to a drop witnessed in the Hydrocarbon segment.
The company continues to hold on to its order inflow growth guidance of 10% for fiscal 2025, along with targeted revenue growth of 15% and margins at 8.25%. This implies an overall order inflow of Rs 3.33 lakh crore, as compared to Rs 3.03 lakh crore of order inflows in fiscal 2024.
How Order Inflows Shaped Up In Q2
The total order inflows for the second quarter stands in the range of Rs 28,000 to 47,500 crore, which implies total order inflow of Rs 98,900 crore to Rs 1.18 lakh crore in first half of fiscal 2025.
On the upper range, this indicates that the company has achieved 35.4% of its overall order inflow guidance of Rs 3.33 lakh crore for the current financial year.
The management mentioned that they lost out on certain orders resulting in decline in prospect pipeline in the first quarter. But it is confident of achieving 22-23% hit rate on pipeline going forward.
