L&T: Infra segment gaining momentum

Q1 results, helped by better execution in core infrastructure segment, match expectations

The June quarter (Q1) is critical for L&T because it sets the tone for the rest of the year. In the past few years though, the Q1 results have belied expectations, thus making it tough for the Street to gauge the growth trajectory. Thankfully, the June 2017 quarter wasn’t the same. With revenues at Rs 23,990 crore, growing by 10 per cent year-on-year, and net profit at Rs 1,028 crore, up 50 per cent, these numbers came ahead of expectations. Net profit attributable to shareholders of L&T came at Rs 892 crore, up 46 per cent year-on-year.

The comforting factor is