L&T board pay jumps two-fold in FY25, employee headcount shrinks 1.4%

Larsen & Toubro’s (L&T’s) board of directors saw a two-fold jump in remuneration in the financial year 2024-25 (FY25), with median pay rising to ₹27.6 crore from ₹13.6 crore the previous year, the company’s annual report shows.

 

The number of directors in FY25 reduced from seven to six.

 

The median remuneration for key managerial personnel (KMP) rose 7.7 per cent to ₹1.85 crore, with one executive listed under this category.

 

L&T’s total employee count, excluding the board and KMP, declined by 1.4 per cent to 56,458. However, the number of women employees rose 11.5 per cent to 4,965, while male employees declined 2.48 per cent to 51,493.

 

The median salary for male staff increased 15.6 per cent to ₹11.29 lakh, while that for female staff rose 5.6 per cent to ₹7.1 lakh. 

 

The company employed 2,091 permanent workers in FY25, up 0.57 per cent from the previous year. This included 2,084 male and 7 women workers. The median wage for male workers declined by 3.8 per cent to ₹9.4 lakh, while the median wage for women workers rose 11.1 per cent to ₹13.57 lakh.

 

Total staff expenses rose 13.6 per cent year-on-year to ₹46,769 crore in FY25, the company said, reflecting a combination of manpower ramp-up and salary revisions.

 

Staff cost as a percentage of revenue declined by around 30 basis points, supported by higher topline growth.

 

“The group continues to focus on productivity improvements, digitalisation and manpower optimisation across its businesses,” the company said.

 

The board-level pay hike comes amid a strong operational performance for the group. Order inflows for the year reached ₹3.57 trillion, up 18 per cent year-on-year, led by wins in infrastructure and energy. 

 

International orders, driven by sustained capex activity in the Gulf region, outpaced domestic wins for the second straight year. The company’s order book crossed Rs 5 trillion during the year, closing at ₹5.79 trillion, a 22 per cent increase from the previous year. International orders now make up 46 per cent of the total order book.

 

L&T posted revenues of ₹2.56 trillion in FY25, marking a 16 per cent growth. For the full year ended March 2025, the engineering conglomerate reported a net profit of ₹15,037 crore, up 15.1 per cent Y-o-Y.

 

“The global economic landscape remains unpredictable, shaped by rising policy uncertainties. Our company is closely monitoring these developments, especially given that a substantial part of our group’s business originates outside India,” said SN Subrahmanyan, chairman and managing director in the annual report.

 

L&T said it remains optimistic about the Middle East, citing continued investments in physical and digital infrastructure alongside efforts to monetise oil and gas assets. Steady order inflows from the region reinforce this confidence, the company noted.