Larsen and Toubro (L&T) moves a step closer to achieving its order forecast for this fiscal, the first in six years as the engineering and construction major has won ‘large’ orders from multiple domestic clients across various States in India.
Off late, the company has stopped giving the exact value of the contract, but as per its project classification, the value of the contracts were in "large" category is in the range of ₹2,500 to ₹5,000 crore.
L&T, is on track to close the financial year with at least ₹1.68 lakh crore worth of fresh orders, meeting the target set at the start of the fiscal.
L&T’s buildings and factories business has secured a order for the construction of Campus Development of IIT Hyderabad Package 3A at Kandi, Telangana. Another order has been secured from an Indian Real Estate development company for the construction of “Asset 13 project” at Aerocity, New Delhi, said a company statement.
Company’s metallurgical and material handling business has secured an order from BHEL for Ash Handling Plant (AHP) to be installed at NTPC, Patratu Thermal Power Plant (3x660 MW) located in Jharkhand while its GeoStructure business has secured an order from CMRL for the Central Square underground space development.
The company with order inflow of ₹1,52,908 crore in FY18 had given guidance of 10-12% growth in order inflow this year. Company’s order book stood at ₹1,20,296 crore as on December 31, 2018 and has so far received orders exceeding ₹30,000 and needs another ₹20,000 crore of orders to close this fiscal.
“This year L&T is likely meet the order growth of 10% given the government is still awarding projects, contrary to concerns of order slowdown ahead of the elections. Many fresh orders are coming from state governments,” Paras Bothra, President, Equity Research, Ashika Group told The Hindu.
L&T shares on BSE closed up 2.76% at ₹1351.25 in a stable Mumbai market on Thursday.