L&T targets Rs 2 lakh crore revenue by 2021

Infrastructure major L&T is aiming to touch Rs 2 lakh crore revenue by 2021 without compromising its margin, a top company official said on Friday.

"Our goal is to achieve a revenue of Rs 2 lakh crore ($30 billion at current exchange rates) by 2021 -- without compromising on our margins and achieving an order inflow in excess of Rs 2.5 lakh crore per annum," company's Group Executive Chairman A.M. Naik said while addressing shareholders at the company's 71st Annual General Meeting.

In view of the target, the company has identified "select growth businesses" in its broad spectrum to sharpen its business focus.

"We have identified select growth businesses in your company's broad portfolio. These include IT, Technology Services, Defence, Smart World and Water Management," he said.

"Our strategic plan involves re-allocation of resources -- both talent and capital -- to businesses with visible value creation potential," he said, adding that as most of these are also asset-light businesses, the initiative will be in line with its larger objective of building an asset-light organisation.

He said the opening up of the defence sector would lead to business opportunities of Rs 13 lakh crore over the next 10 years.

"With the resolution of issues relating to fuel supply and a clearer understanding on nuclear liability issues, the nuclear power sector is expected to grow significantly in the years ahead," he said adding that the estimated opportunity from this sector over the next 10 years is up to Rs 50,000 crore.

The company envisaged that in infrastructure -- roads, ports, airports, railway corridors -- there are over a thousand projects in the pipeline with a total estimated value of over Rs 14 lakh crore.

--IANS

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