L&T gains after winning export orders

L&T rose 0.24% to Rs 1,569 at 10:24 IST on BSE after its joint venture companies L&T-MHPS Boilers Private and L&T-MHPS Turbine Generators Private Limited won export orders worth a combined $71.30 million.

The announcement was made during trading hours today, 5 July 2016.

Meanwhile, the BSE Sensex was down 39.48 points, or 0.14%, to 27,239.28.

On BSE, so far 62,000 shares were traded in the counter compared with average daily volume of 2.07 lakh shares in the past one quarter. The stock hit a high of Rs 1,575 and a low of Rs 1,555.95 so far during the day. The stock hit a 52-week high of Rs 1,886.25 on 17 July 2015. The stock hit a 52-week low of Rs 1,016.60 on 12 February 2016. The stock had outperformed the market over the past 30 days till 4 July 2016, rising 7.13% compared with 1.62% rise in the Sensex. The scrip had also outperformed the market in past one quarter, rising 30.98% as against Sensex's 9.63% rise.

The large-cap company has an equity capital of Rs 186.40 crore. Face value per share is Rs 2.

L&T through its joint venture companies L&T-MHPS Boilers (LMB) and L&T-MHPS Turbine Generators (LMTG) has secured export orders worth a combined $71.30 million from Mitsubishi Hitachi Power Systems (MHPS). LMB contract includes supply of pressure parts for a power generation plant in Indonesia and contains furnace header, panel, coils and piping. LMB is currently executing nine export orders for the supply of pulverisers and pressure parts for various MHPS projects in Japan and Indonesia. LMB has already executed eight MHPS export orders for the supply of pressure parts, pulverisers and engineering services to Middle East, Africa and South East Asia.

L&T holds the majority 51% stake in LMB. Mitsubishi Hitachi Power Systems, Japan owns 49% stake in the joint venture. LMB has its manufacturing facility at Hazira, Gujarat, for the manufacture of pressure parts and coal pulverisers for supercritical steam generators having capacity of 5,000 MW per annum.

LMTG contract includes supply of turbines for the same power generation plant in Indonesia plant. After having manufactured the first 800 megawatts (MW) steam turbine in India, LMTG has this opportunity to execute 1,000 MW supercritical steam turbines order. The latest order takes LMTG's tally of export orders to 22 units out of which 11 are presently being executed.

LMTG is a joint venture company of L&T, Mitsubishi Hitachi Power Systems and Mitsubishi Electric Corp. with scope for engineering, design, manufacturing, supervision of erection and commissioning of supercritical/ultra-supercritical turbines and generators. LMTG manufactures these equipment in its world class factory at Hazira with an annual capacity of 4,000 MW.

L&T's consolidated net profit rose 18.6% to Rs 2453.64 crore on 18.51% rise in net sales to Rs 32812.24 crore in Q4 March 2016 over Q4 March 2015.

L&T is a major Indian multinational engaged in technology, engineering, construction, manufacturing and financial services. It operates in more than 30 countries worldwide.

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