L&T Q2 net up 15% at Rs 798 cr
Engineering major Larsen & Toubro Ltd. (L&T) today reported a 15% increase in its net profit for the quarter ended September 2011 at Rs 798 crore compared to Rs 694 crore reported in the corresponding quarter last year.
Net sales for the quarter stood at Rs 11,245 crore, up 19.3% from Rs 9,422 crore and the total order book of the company stood at Rs 1.42 lakh crore.
Gross revenues during the reporting quarter stood at Rs 11,375 crore, up 20% year-on-year due to a "healthy order book and superior execution track record".
However, the EBITDA margin dipped slightly to 10.44% as against 10.78% a year ago.
The company's order book for the quarter was down 21% but on yearly basis it grew 23%.
The current slowdown in investment momentum witnessed in almost all sectors of the economy is constraining growth opportunities, L&T said.
"Intensifying competition, high inflation, elevated interest rates, volatile financial markets and delayed policy intervention are posing considerable challenge for the decision makers," it added.
L&T said that in the medium-term, it sees itself in a strong position to maintain revenue growth trajectory and stay prepared to benefit from opportunities when they materialise.
L&T revised order inflow guidance to 5% from 15% but maintains revenue guidance at 20-25% for FY12.
L&T's stock dipped 0.3% to Rs 1,380 on Bombay Stock Exchange at 1430 hours.