L&T Q2 Results Preview: Profit to rise 2%; margin may remain steady

The country's starring infra institution Larsen and Toubro (L&T) is acceptable to study its fiscal results for the July-September 4th aboriginal contiguous aft marketplace hours. Zee Business probe estimates the institution to signifier a decent show supported by astir mid double-digit maturation successful the company's E&C concern of 14 per cent.

Also, the company's net volition beryllium aided fixed the beardown execution successful the export markets during the 4th nether review, added the probe inputs. The task execution is already seeing an betterment successful Saudi and different Gulf nations.

Analysts expect the engineering to operation conglomerate's consolidated nett to emergence 2 per cent on-year to Rs 3,288 crore versus Rs 3,222 crore during the aforesaid play past year. The revenue, nevertheless is expected to ascent 13 per cent year-on-year (YoY) to Rs 57,522 crore successful examination to Rs 51,024 crore reported successful Q2FY24.

In presumption of operational performance, the company's net earlier interest, tax, depreciation and amortisation (Ebitda) is seen to timepiece 10 per cent maturation to Rs 6,187.5 crore, from Rs 5,632 crore successful the year-ago period. EBITDA borderline successful opposition is expected to diminution by 20 bps oregon 0.2 per cent to 10.8 per cent during the reporting quarter.

Margins and guidance outlook

Analysts judge that the company's borderline whitethorn stay dependable on-year owed to ongoing enactment connected immoderate bequest projects. Furthermore, the infra institution whitethorn support its FY25 guidance.

Key monitorables 

- Outlook connected Domestic Orders

- Capex inclination successful the Middle East

- labour shortage issue

-  Impact of rising alloy prices

L&T stock terms performance

In the past 1 year, L&T banal has risen 17 per cent underperforming Nifty's instrumentality of implicit 28 per cent during the aforesaid period.