L&T Q3 preview: Analysts eye up to 35% jump in profit; check key factors

Key monitorables during L&T's earnings, analysts said, include a ramp-up in domestic ordering, conversion of prospect pipeline, private sector ordering, margin performance, and working capital cycle

L&T Q3FY26 results preview: Civil construction player Larsen & Toubro (L&T) is scheduled to announce its financial results for the third quarter of the financial year 2025–26 (Q3FY26) on Wednesday, January 28, 2026.

L&T Q3FY26: Profit expectations

Brokerages tracked by Business Standard, on average, expect L&T to report healthy results in Q3FY26. They estimate the company’s profit to rise up to 35.4 per cent Year-on-Year (Y-o-Y) to ₹4,548.1 crore, while they forecast the company's revenue to grow up to 16.1 per cent to ₹75,100 crore.

 

Meanwhile, analysts expect earnings before interest, taxes, depreciation, and amortisation (Ebitda) to increase up to 23.6 per cent Y-o-Y to ₹7,700 crore in Q3FY25.

 

L&T Q3FY26: Key things to watch

Key monitorables during L&T’s earnings, analysts said, include a ramp-up in domestic ordering, conversion of the prospect pipeline, private sector ordering, margin performance, and the working capital cycle.  ALSO READ | Paytm Q3 Results Preview: Revenue seen up 6% QoQ; opex control to aid profit

Here’s what brokerages are expecting in Q3FY26 from L&T:

Motilal Oswal Financial Services (MOFSL): Analysts at MOFSL expect consolidated revenue growth of 16 per cent Y-o-Y, led by 17 per cent Y-o-Y growth in the Core Engineering & Construction (E&C) segment.

 

“We expect the Ebitda margin to expand 50 bp Y-o-Y to 8.1 per cent for Core E&C, and 50 bp Y-o-Y to 10.3 per cent at the consolidated level. We will also look out for execution ramp-up in Saudi projects and trends in the GCC order pipeline,” analysts at MOFSL said in a research note.

 

They expect the company’s revenue to grow 16.1 per cent Y-o-Y to ₹75,100 crore in Q3FY26, Ebitda to rise 23.6 per cent Y-o-Y to ₹7,700 crore, and PAT (adjusted) to reach ₹4,300 crore, up 27.9 per cent Y-o-Y.

 

Kotak Institutional Equities (KIE): Analysts at KIE expect 16 per cent Y-o-Y growth in core EPC and in consolidated revenues, as they bake in strong growth in overseas execution and improving growth trends domestically. The order inflow announcements are limited for the quarter to date.

 

“We expect core E&C business Ebitda margin at 7.9 per cent versus 7.6 per cent Y-o-Y and 7.8 per cent qoq, as we factor in the absence of cost overruns in the hydrocarbon segment (Q-o-Q ) and sustained improvement in infrastructure segment margins (Q-o-Q). Higher growth in the energy segment versus the infrastructure segment will also support margin recovery,” wrote the analysts at KIE in a research note.  ALSO READ | TVS Motor Q3 Results Preview: PAT may zoom upto 64.2% YoY; other key figures inside 

Analysts expect the company’s revenue to grow 15.7 per cent Y-o-Y to ₹74,850.1 crore in Q3FY26, Ebitda to rise to ₹7,527.9 crore, up 20.4 per cent Y-o-Y, and PAT (adjusted) at ₹4,401.4 crore, up 31 per cent Y-o-Y.

 

JM Financial: Brokerage firm JM Financial, in its research note, forecast L&T to report revenue of ₹74,552.4 crore in Q3FY26, a 15.3 per cent increase Y-o-Y, with Ebitda at ₹7,662.3 crore, up 22.5 per cent Y-o-Y, and net income at ₹4,548.1 crore, up 35.4 per cent Y-o-Y.

  ================================= 

(Disclaimer: The views and investment tips expressed by the brokerages in this article are their own and not those of the website or its management. Business Standard advises users to check with certified experts before taking any investment decisions.)