L&T shares surge ~3% after bagging multiple large orders in India

29 Jul 2024 , 12:31 PM

On Monday, 29 July, Larsen and Toubro announced that its power transmission and distribution company has received contracts ranging from 2,500 Crore to 5,000 Crore to create grid elements for clean energy transition.
L&T considers orders in the ₹2,500 Crore to ₹5,000 Crore range as ‘large’.

The company received the orders in India and other areas. In India, the company got orders to build two 765 kV double circuit transmission line packages that will transport power from the Jaisalmer / Barmer Renewable Energy Zone in Rajasthan to substations in Madhya Pradesh for interconnection.

In Saudi Arabia, the company received orders to construct 380 kV substations and overhead line segments. Saudi Arabia has been improving its 380 kV network in the central region in order to provide a reliable and efficient power supply.

Meanwhile, in the UAE, the company secured orders to build a 220 kV substation and three 132 kV substations. L&T added that adding these substations to the network will assist utilities keep up with rising electricity consumption in Dubai and Abu Dhabi.

Last week, L&T announced a consolidated profit after tax (PAT) or net profit of roughly ₹2,786 Crore in the June quarter of the financial year 2024-25 due to increased revenues. The net profit was lower than street estimates of ₹2,873 Crore, but increased by 12% year on year (YoY) from Rs 2,493 reported in the same period last year.

At around 11.58 AM, Larsen & Toubro was trading 2.47% higher at ₹3,770.70 per piece, against the previous close of ₹3,679.90 on NSE. The counter touched an intraday high and low of ₹3,784.90, and ₹3,686.60, respectively.

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