Larsen & Toubro (LT) Q3 24/25 earnings summary

Executive summary

• Achieved record quarterly order inflow of INR 1.16 trillion (₹116,036 crore), up 53% year-over-year, with order book at INR 5.64 trillion (₹564,223 crore), up 20% year-over-year.

• Group revenues for Q3 FY25 grew 17% year-over-year to INR 647 billion (₹64,668 crore), with international revenues constituting 51%.

• Consolidated PAT for Q3 FY25 rose 14% year-over-year to INR 33.6 billion (₹3,359 crore), reflecting increased activity and improved treasury operations.

• International orders constitute 42% of the order book; strong execution in Infrastructure, Energy, and Hi-Tech Manufacturing segments.

• Notable strategic moves include acquisition of Intelliswift for $110 million and a 21% stake in E2E Networks to enhance digital and AI capabilities.

Financial highlights

• Q3 FY25 consolidated revenue: INR 647 billion (₹64,668 crore), up 17% year-over-year; 9M FY25: INR 1,813 billion (₹181,342 crore), up 18%.

• Q3 FY25 EBITDA at INR 62.5 billion (₹6,255 crore), margin at 9.7%, flat year-over-year.

• Net working capital to revenue improved to 12.7% from 16.6% year-over-year.

• Return on equity (TTM) at 16.1%, up 90 basis points year-over-year.

• Order inflow for 9M FY25: INR 2,670 billion (₹267,018 crore), up 16% year-over-year.

Outlook and guidance

• Expects to surpass 10% order inflow growth guidance for FY25, with strong Q4 pipeline.

• Revenue growth guidance for FY25 set at 15%, with potential upside given 18% growth in nine months.

• EBITDA margin guidance for P&M businesses maintained at 8.2% for FY25.

• Indian GDP growth projected at 6.5–6.8% for FY25; infrastructure spending expected to rise post-elections.

• Middle East and GCC regions expected to continue infrastructure and energy investments.