Larsen & Toubro Ltd's Q4FY18 consolidated net profit rises 4.72% yoy to Rs3,167.47cr : Beats Estimates

The company’s consolidated revenue stood at Rs40,678.10cr, up 11.09% yoy.

May 28, 2018 11:05 IST India Infoline Research Team

Larsen & Toubro Ltd Q4FY18

Consolidated Results Q4FY18: (Rs. in cr)

Q4FY18 YoY (%)
Revenue 40,678.10 11.1
EBITDA 5,390.47 23.0
EBITDA Margin (%) 13.3 128
Net Profit (adjusted) 3,167.47 4.7
***EBITDA margin change is bps
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Buy

Reco. Price

1380

Last updated on

15-May-2018



Larsen & Toubro Ltd reported Q4FY18 numbers above the consensus estimates. Revenue from operations grew by 11.1% yoy to Rs40,678.1cr as against Rs36,618.74cr (Net of excise duty) in Q4FY17. The company’s EBITDA margin has increased by 128bps yoy to 13.3% as against 12% in Q4FY17. The company's reported EBITDA grew by 23%yoy to Rs5,390.47cr as against Rs4,382.41cr, beating the consensus estimate by 7.6%. The company’s net profit grew by 4.7% yoy to Rs3,167.47cr as against Rs3,024.61cr last year, beating the estimate by 5.8%.


• The International revenue during the year at Rs39,699cr constituted 33% of the total revenue.
• The company won fresh orders worth Rs152,908cr at the group level during the year ended March 31, 2018 registering a growth of 7% over the previous year.
• The order intake for the quarter ended March 31, 2018 at Rs49,557cr grew by 5% yoy. International order inflow during the quarter at Rs8,678cr constituted 18% of the order inflow for the quarter.
• Consolidated order book of the group stood at Rs263,107cr as at March 31, 2018, with international order book constituting 24% of the total order book.
• Infrastructure segment secured fresh orders of Rs87,277cr during the year ended March 31, 2018, registering a growth of 11%. The EBITDA margin of the segment during the year ended March 31, 2018 was marginally lower at 10% compared to previous year, with cost pressures in a few international projects.
• Power Segment secured fresh orders of Rs2,414cr for the year ended March 31, 2018 lower by 16% yoy, with international orders constituting 86% of the total order inflow. The segment EBITDA margin for the year ended March 31, 2018 was at 3.4%, marginally lower compared to 3.5% recorded in previous year.
• Heavy Engineering Segment secured fresh orders valued Rs5,848cr during the year ended March 31, 2018. The EBITDA margin of the segment declined to 17.1% for the year ended March 31, 2018 against the margin of 20% in the previous year, reflecting the stage of execution of the projects in the order book portfolio.
• Hydrocarbon Segment secured fresh orders valued Rs15,811cr during the year ended March 31, 2018, a decline of 15% compared to previous year, with reduction in international orders. The segment recorded improvement in the EBITDA margin to 7.7% for the year ended March 31, 2018 against 6.8% in the previous year, with close out of legacy international projects and improved operational efficiencies.



Technical View:

Larsen & Toubro Ltd ended at Rs. 1,377.60, up by 33.8 points or 2.52% from its previous closing of Rs. 1,343.80 on the BSE.
The scrip opened at Rs. 1,347.05 and touched a high and low of Rs. 1,383.80 and Rs. 1,345.05 respectively. A total of 22,67,692 (NSE+BSE) shares were traded on the counter. The stock traded below its 50 DMA.

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