L&T Q1 Preview: Revenue Boost Anticipated from Robust Middle East and Domestic Orders.

With a strong influx of orders from both the Middle East and the domestic market, Larsen & Toubro (L&T) is projected to see a rise in revenue in Q1 FY25.

Analysts attribute the company's growth to significant projects in the infrastructure, hydrogen, solar, and heavy engineering sectors.

“We expect L&T to report an 8 percent year-on-year growth in revenue. The EBITDA margin is anticipated to remain flat, while project execution might be affected by labor shortages,” stated Prabhudas Lilladher.

Previously, the Mumbai-headquartered company reported a 10 percent increase in consolidated net profit for the quarter ending March 31, with profits reaching ₹4,396 crore. Total revenue from operations grew by 15 percent to ₹58,335 crore during the March quarter.

“Consolidated revenue growth of 12 percent is expected, driven by a 14 percent year-on-year increase in E&C revenue. We will monitor the pipeline and the ramp-up of project execution in the Middle East, particularly in Saudi Arabia. We anticipate a core E&C EBITDA margin of 7.5 percent, which is flat year-on-year,” noted Motilal Oswal.

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