L&T gains as company aims at revenue of Rs 2 lakh crore by 2021

L&T rose 2.29% to Rs 1,460.55 at 14:51 IST on BSE after company's Chairman A. M. Naik said that the company's goal is to achieve revenue of Rs 2 lakh crore by 2021 without compromising on profit margins.

Meanwhile, the S&P BSE Sensex was up 146.74 points, or 0.53%, to 27,928.99

On BSE, so far 1.56 shares were traded in the counter, compared with average daily volume of 1.80 lakh shares in the past one quarter. The stock hit a high of Rs 1,462 and a low of Rs 1,421 so far during the day. The stock hit a 52-week high of Rs 1,655 on 28 August 2015. The stock hit a 52-week low of Rs 1,016.60 on 12 February 2016. The stock had underperformed the market over the past 30 days till 26 August 2016, falling 9.45% compared with Sensex's 1.51% fall. The scrip also underperformed the market in past one quarter, falling 3.17% as against Sensex's 4.23% rise.

The large-cap company has an equity capital of Rs 186.47 crore. Face value per share is Rs 2.

Shares of L&T declined 2.02% to settle at Rs 1,427.85 on Friday, 26 August 2016, after the company presented to the stock exchanges a copy of Chairman Naik's speech made at the company's Annual General Meeting in Mumbai on that day.

Naik said at the company's Annual General Meeting that the company's goal is to achieve revenue of Rs 2 lakh crore ($30 billion) by 2021 without compromising on profit margins. L&T's net revenue from operations stood at Rs 1.02 lakh crore in the year ended 31 March 2016 (FY 2016) based on consolidated financial performance.

Naik said that economic conditions are starting to turn in favour of the company. Naik said that the opening of the defence sector will lead to business opportunities worth Rs 13 lakh crore over the next 10 years. He also said that there is estimated business opportunity of Rs 50000 crore over 10 years in nuclear power sector. Naik also said that L&T will tap business opportunity in government's Smart City projects and realty segment. Naik said that there are a number of projects in the road, ports, airports, railway sectors in pipeline with a total estimated value of over Rs 14 lakh crore. Naik said that L&T is also strengthening its operations in the Gulf, Africa and South East Asia.

L&T's consolidated net profit rose 45.5% to Rs 609.60 crore on 9.07% growth in total income to Rs 22176.22 crore in Q1 June 2016 over Q1 June 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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