L&T Q3 preview: Cons PAT may surge 39% YoY on strong execution; FY24 guidance eyed

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Key Points

Strong execution in the mainstay infrastructure segment, healthy order inflows, and lower input costs are likely to drive a robust double-digit growth in the December quarter earnings of engineering behemoth Larsen & Toubro...

The company is seen reporting a 39% year-on-year (YoY) growth in consolidated net profit for the quarter to Rs 3,362 crore, according to the average of estimates given by seven brokerages...

This growth will be led by a 17% increase in the consolidated revenue to Rs 54,255 crore and a 21% rise in operating profit to Rs 6,137 crore...

Analysts expect order inflows to be robust at around Rs 610-650 billion and working capital to improve due to receipt of customer advances on large international orders secured in the first half of the current financial year...

We expect L&Ts P&M (Projects and Manufacturing) order inflows to grow by 9.3% YoY on a strong base to Rs 500 billion, led by robust wins in hydrocarbons..

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