Mumbai, October 29, 2025 :
The Positive Momentum Continues
Order Inflow ↑39%, Revenue ↑13%, PAT ↑22%
Larsen & Toubro secured orders worth ₹ 210,237 crore registering y-o-y growth of 39% for the half-year ended September 30, 2025. During the half-year, big-ticket order wins were in Public Spaces, Commercial Buildings, Metro, Hydel & Tunnel, Transmission & Distribution, Renewables, Non-Ferrous Metals, Thermal BTG, and Offshore and Onshore businesses in the Hydrocarbon sector. International orders at ₹ 124,236 crore during the half-year constituted 59% of the total.
On a quarterly basis, orders worth ₹ 115,784 crore were received at the Group level during the quarter ended September 30, 2025. The Company registered a y-o-y growth of 45% aided by a strong order momentum across a broad spectrum of businesses. The quarter saw order wins in businesses such as Public Spaces, Data Centres, Commercial Buildings, Metro, Hydel & Tunnel, Transmission & Distribution, Renewables, and both Offshore and Onshore businesses in the Hydrocarbon sector. International orders stood at ₹ 75,561 crore, accounting for 65% of the total order inflow.
The consolidated order book of the Group as on September 30, 2025, was at ₹ 667,047 crore, a growth of 15% over March 2025. International orders comprise 49% of the order book.
The Company achieved consolidated revenues of ₹ 131,662 crore recording a y-o-y growth of 13% on a half-year basis. International revenues during the half-year at ₹ 71,217 crore constituted 54% of the total revenue.
For the quarter ended September 30, 2025, consolidated revenue at ₹ 67,984 crore registered a y-o-y growth of 10%. International revenues during the quarter were at ₹ 38,223 crore, constituted 56% of the total revenue.
The Company, for the half-year ended September 30, 2025, posted a consolidated Profit After Tax of ₹ 7,543 crore, registered a y-o-y growth of 22%.
Similarly, for the quarter ended September 30, 2025, consolidated Profit After Tax (PAT) at ₹ 3,926 crore, registering a y-o-y growth of 16%.
Commenting on the results, S N Subrahmanyan, Chairman and Managing Director, said:
“The Company has reported a well-rounded financial performance across all parameters. Our ability to repeatedly secure large orders, across segments and geographies is a true testimony to the Company’s leadership position in the EPC domain. The consistent execution across a diverse portfolio highlights our strength in effectively navigating local / global challenges. We continue to witness higher capex spends, in both our primary geographies of India and the Middle East, and remain fairly optimistic about order prospects.
We reached an in-principle understanding with the Government of Telangana for the divestment of our stake in L&T Metro Rail (Hyderabad) Limited (L&TMRHL). This is in line with our stated objective under Lakshya 2026 to exit the public concessions portfolio.
To ensure long-term sustainable growth in a rapidly evolving business environment, efforts are ongoing to streamline and grow the emerging technology-led businesses, so to complement our core businesses in the domains of engineering, construction, manufacturing and project management. Our IT&TS portfolio continues to perform well. Lastly, L&T Finance’s strategy to focus on the retail lending space through innovative products and tech-enabled operations has resulted in improved performance of the company”.
Note:
The key parameters of the Group and Segment Performance for the quarter and half-year ended September 30, 2025, are shown in Annexure 1.
Segment composition is provided in Annexure 2.
Infrastructure Projects Segment
The Infrastructure Projects segment secured order inflow of ₹ 52,686 crore during the quarter ended September 30, 2025, registering a growth of 6% over the corresponding quarter of the previous year despite the high base effect. International orders constituted 48% of the total order inflow of the segment during the quarter aided by receipt of major orders in the Building & Factories, Heavy Civil Infrastructure, Power Transmission & Distribution and Renewables businesses.
The segment order book stood at ₹ 394,706 crore as on September 30, 2025, with the share of international orders at 43%.
For the quarter ended September 30, 2025, customer revenues were at ₹ 31,759 crore, registering a y-o-y decline of 1%, primarily due to slower progress in water related projects. The extended monsoon conditions also dampened the revenue growth. International revenues constituted 47% of the total customer revenues of the segment during the quarter.
The EBITDA margin of the segment during the quarter ended September 30, 2025, was at 6.3%, compared to 6.0% in the corresponding quarter of the previous year. Margin improvement has been primarily driven by execution efficiency.
Energy Projects Segment
The Energy Projects segment secured orders valued at ₹ 38,156 crore during the quarter ended September 30, 2025, registering more than 100% growth on y-o-y basis. The growth in order inflow was driven by the receipt of ultra-mega orders in both the Onshore and Offshore businesses in the Hydrocarbon sector. International order inflow constituted 98% of the total order inflow during the quarter.
The segment order book stood at ₹ 214,496 crore as on September 30, 2025, with the international order book constituting 71% of the total.
For the quarter ended September 30, 2025, the customer revenues stood at ₹ 13,082 crore, registering a robust growth of 48% y-o-y led by an execution ramp up in international projects of the Hydrocarbon business. International revenues constituted 78% of the total customer revenues of the segment during the quarter.
The segment’s EBITDA margin stood at 7.3% for the quarter ended September 30, 2025, compared to 8.9% in the corresponding quarter of the previous year. The margin decline is due to project variation at closure stage.
Hi-Tech Manufacturing Segment
The segment secured orders valued at ₹ 2,582 crore for the quarter ended September 30, 2025, a 34% decline over the corresponding quarter of the previous year primarily attributable to the deferral of orders. Export orders constituted 18% of the total order inflow of the segment during the quarter.
The order book of the segment was at ₹ 39,064 crore as on September 30, 2025, with the share of export orders at 11%.
For the quarter ended September 30, 2025, customer revenues were at ₹ 2,754 crore, registering a growth of 33% y-o-y attributable to improved execution in both the Heavy Engineering and Precision Engineering & Systems businesses. International revenues constituted 25% of the total customer revenues for the segment during the quarter.
The EBITDA margin of the segment was at 14.7% for the quarter ended September 30, 2025, which was higher compared to the previous year at 12.8%. The increase in segment margin is primarily attributable to improved operational profitability in the portfolio.
IT & Technology Services (IT&TS) Segment
The segment recorded customer revenues of ₹ 13,274 crore for the quarter ended September 30, 2025, registering a y-o-y growth of 13%, largely in line with improved spending in the IT&TS sector. International billing contributed 92% of the total customer revenues.
The EBITDA margin for the segment was lower at 20.2% for the quarter ended September 30, 2025 as compared to 21.0% in the corresponding quarter of the previous year. The shift is largely attributable to incremental costs incurred towards the newly incubated businesses and subdued margin in L&T Technology Services.
Financial Services Segmen
The segment recorded income from operations at ₹ 4,166 crore during the quarter ended September 30, 2025, registering y-o-y growth of 9% primarily attributable to higher disbursements in the retail finance segment.
The total Loan Book, as of September 2025, at ₹ 107,096 crore grew by 10% as compared to ₹ 97,762 crore in March 2025. The Retail Loan Book now constitutes 98% of the total Loan Book as on September 30, 2025.
The segment PBT for the quarter ended September 30, 2025 at ₹ 989 crore, is higher than the corresponding quarter of the previous year at ₹ 940 crore. The increase is largely due to higher disbursements contributing to increase in Net Interest Margin and Fees.
Development Projects Segment
The segment reported customer revenues of ₹ 1,533 crore during the quarter ended September 30, 2025, registering a y-o-y growth of 10%.
The segment EBIT for the quarter ended September 30, 2025, at ₹ 87 crore, is lower than that of the corresponding quarter of the previous year at ₹ 125 crore. The decline is largely attributable to a prudent provision made for an unfavourable outcome in a sub-judice matter in Nabha Power. Nevertheless, improved profitability in L&TMRHL, due to fare revision, partially softened the impact.
“Others” Segment
“Others” segment comprises (a) Realty (b) Industrial Valves (c) Construction Equipment & Mining Machinery and (d) Rubber Processing Machinery.
Customer revenues of the segment during the quarter ended September 30, 2025 is ₹ 1,416 crore, registering a de-growth of 14% y-o-y primarily due to lower handover of residential units in the Realty business.
Export sales constituted 19% of the total customer revenues of the segment during the quarter, primarily attributable to the Industrial Valves business.
The EBITDA margin for the segment was higher at 31.3% for the quarter ended September 30, 2025, compared to 25.1% in the corresponding quarter of the previous year, aided by a sale of commercial property in the Realty business.
Outlook
India’s economic outlook remains resilient, as healthy domestic fundamentals facilitate navigation of the global geopolitical and macroeconomic situations.
The country’s GDP growth is projected to remain robust between 6.5%-7.0% in FY2026, supported by retail and government consumption, steady capex and an expanding services sector. With consumer price inflation having moderated, there appears to be adequate space for a reduction in policy rates. Together, these factors are expected to justify India’s position as one of the world’s fastest-growing major economies.
The global economy continues to face growth challenges due to increasing trade protectionism and persisting regional conflicts. Global GDP growth is projected lower at ~3.0% as ongoing policy uncertainties, including trade and tariff policies, impacts investment and supply chains.
The GCC economy is likely to remain stable led by a rebound in oil output, stable inflation, and continued investment in non-oil sectors. The current policy and environment remain positive.
Against this economic backdrop, the Company has the necessary capability and flexibility to continuously rebalance its approach and strategy to benefit under the ever-changing business environment. The Company remains focussed on tapping the emerging opportunities, invest and grow its new businesses, and ensure long-term sustainable growth for its stakeholders.
Background:
Larsen & Toubro is a USD 30 billion Indian multinational engaged in EPC Projects, Hi-Tech Manufacturing, and Services, operating across multiple geographies. A strong, customer–focussed approach and the constant quest for top-class quality have enabled L&T to attain and sustain leadership in its major lines of business for eight decades.
Financial Results Q2 2025-26