L&T construction business bags significant order from Coal India

Larsen & Toubro (L&T) on Thursday said its metallurgical and material handling arm secured a 'significant' order from Northern Coalfields, a subsidiary of Coal India (CIL).

The order is for a coal processing and load out package to be installed at the Dudhichua Mines located in Uttar Pradesh.

The scope of work involves EPC for a double stream coal sizing & transportation system covering semi mobile sizing system, high capacity specialty conveyors, and an automated loading system.

CIL envisions production to touch 1 Billion Tonne (Bt) by 2023-24 to meet the country's demand for coal, L&T said in a BSE filing.

The business has also secured new and add-on orders from its existing customers, L&T added.

According to L&T's classification, the valuation of the 'significant' lies between Rs 1,000 crore to Rs 2,500 crore.

L&T is an Indian multinational engaged in technology, engineering, construction, manufacturing and financial services.

On a consolidated level, L&T reported a 67.3% decline in net profit to Rs 645.07 crore in Q1 June 2020 from Rs 1,972.52 crore in the same period last year. Net sales stood at Rs 21,259.97 in Q1 FY21, declining 28.3% from Rs 29,635.95 crore in Q1 FY20.

The scrip shed 0.82% to Rs 914.40 on the BSE. It had traded in the range of 910 and 918.80 so far during the day.

On the technical front, the stock's RSI (relative strength index) stood 49.676. The RSI oscillates between zero and 100. Traditionally the RSI is considered overbought when above 70 and oversold when below 30.

The stock is currently trading below its 50-day, 100-day and 200-day simple moving average (SMA) placed at 914.33, 933.68 and 960.93, respectively.

Powered by Capital Market - Live News