Engineering and construction conglomerate Larsen & Toubro (L&T) on Monday registered a 29.5 per cent jump in consolidated net profit to Rs 3,025 crore in the fourth quarter ending March 31, 2017.
The company, which said government's thrust on key infrastructure sectors will be a strong driver for stable economic growth, had clocked a consolidated net profit of Rs 2,335 crore in the corresponding quarter of the previous financial year (FY).
"The consolidated gross revenue in the January-March 2017 quarter totalled Rs 36,828 crore, recording an increase of 12 per cent on a y-o-y basis," the company said.
The order intake for the quarter at Rs 47,289 crore grew by 9.6 per cent year-on-year (y-o-y) and international order inflow during the quarter at Rs 9,044 crore constituted 19 per cent of the order inflow for the quarter.
Consolidated Order Book of the group stood at a robust level of Rs 261,341 crore as at March 31, 2017, higher by 5 per cent on a y-o-y basis. International Order Book constituted 27 per cent of the total Order Book.
The engineering giant said economic recovery in the country is expected to steadily improve in the current year, backed by structural reforms and overcoming the short-term effects of demonetisation.
"The government has emphasised its commitment to GST, increased private sector participation in defence business, higher allocation to infrastructure segments, and is moving ahead on key initiatives such as better tax compliance, restructuring the troubled power distribution sector, tackling NPAs of banks and plugging revenue leakages through measures like Aadhaar and Jan Dhan bank accounts," it said.
Implementation of GST is expected to have far reaching effects by bringing large parts of the informal economy into the formal system where compliance and accountability standards are of a higher order, it said.
It added that the government's thrust on key infrastructure sectors such as transportation, power, affordable housing, smart cities will be strong driver for stable economic growth.
For the entire year, the company's consolidated PAT stood at Rs 6,041 crore, higher by 43 per cent y-o-y.
Its Board of Directors have recommended for the approval of shareholders, the issue of bonus equity shares in the ratio of 1:2 [one bonus equity share of Rs 2 each for every two equity shares of Rs 2 each held].
The company said its Infrastructure Segment achieved customer revenue of Rs 52,924 crore for the year registering a y-o-y growth of 8 per cent on progress of jobs under execution.
"Execution impediments such as delayed payments and clearances, work front availability and right of way issues impacted execution progress during the year," it said.
Power Segment recorded customer revenue of Rs 6,939 crore during the year ended March 31, 2017, registering a growth of 8 per cent over the previous year with progress in coal and gas based projects under execution.
Heavy Engineering Segment recorded Customer Revenue of Rs 3,149 crore, registering a y-o-y growth of 2.2 per cent over the previous year.
While Electric and Automation Segment recorded customer revenue of Rs 4,969 crore during the year ended March 31, 2017, registering a marginal growth of 0.6 per cent y-o-y, Hydrocarbon Segment recorded customer revenue of Rs 9,602 crore registering a y-o-y growth of 12 per cent over the previous year.
Financial Services Segment recorded Customer Revenue of Rs 8,545 crore during the year ended March 31, 2017, registering a y-o-y growth of 11 per cent and Developmental Projects Segment registered Customer Revenue of Rs 4,028 crore during the year ended March 31, 2017.
Shares of the company closed 0.04 per cent up at Rs 1,788 on BSE.