Mumbai: Larsen & Toubro (L&T), India’s leading engineering and infrastructure conglomerate, has reported a robust financial performance for the half-year ended September 30, 2025 (H1 FY26), with order inflow rising 39% year-on-year to ₹2,10,237 crore. The company also posted a 13% growth in revenue and a 22% increase in profit after tax (PAT), reflecting strong execution and diversified order wins across sectors and geographies.
International orders contributed ₹1,24,236 crore, accounting for 59% of the total order inflow during the half-year. On a quarterly basis, L&T secured ₹1,15,784 crore in new orders in Q2 FY26, up 45% YoY, with international orders comprising 65% of the total.
Chairman and Managing Director S N Subrahmanyan stated, “Our ability to repeatedly secure large orders across segments and geographies is a testimony to L&T’s leadership in the EPC domain. We remain optimistic about future prospects, supported by strong capex momentum in India and the Middle East.”
L&T also reached an in-principle agreement with the Government of Telangana for divestment of its stake in L&T Metro Rail (Hyderabad) Ltd., aligning with its Lakshya 2026 strategy to exit public concessions. The company continues to invest in technology-led businesses and retail-focused financial services to drive long-term sustainable growth.
Segment Highlights – Q2 FY26:
Infrastructure Projects:
- Order inflow: ₹52,686 crore (+6% YoY)
- Revenue: ₹31,759 crore (–1% YoY)
- EBITDA margin: 6.3% (vs. 6.0%)
- Order book: ₹3,94,706 crore (43% international share)
Slower water project progress and extended monsoons impacted revenue growth.
Energy Projects:
- Order inflow: ₹38,156 crore (>100% YoY)
- Revenue: ₹13,082 crore (+48% YoY)
- EBITDA margin: 7.3% (vs. 8.9%)
- Order book: ₹2,14,496 crore (71% international share)
Growth driven by ultra-mega Hydrocarbon orders; margin decline due to project closure variations.
Hi-Tech Manufacturing:
- Order inflow: ₹2,582 crore (–34% YoY)
- Revenue: ₹2,754 crore (+33% YoY)
- EBITDA margin: 14.7% (vs. 12.8%)
- Order book: ₹39,064 crore
Growth led by improved execution in Heavy and Precision Engineering.
IT & Technology Services (IT&TS):
- Revenue: ₹13,274 crore (+13% YoY)
- EBITDA margin: 20.2% (vs. 21.0%)
92% of revenue came from international markets; margin impacted by new business incubation costs.
Financial Services:
- Revenue: ₹4,166 crore (+9% YoY)
- PBT: ₹989 crore (vs. ₹940 crore)
- Loan book: ₹1,07,096 crore (+10% since March 2025)
Retail loans now form 98% of the total loan book.
Development Projects:
- Revenue: ₹1,533 crore (+10% YoY)
- EBIT: ₹87 crore (vs. ₹125 crore)
Decline due to provision for a sub-judice matter in Nabha Power; partially offset by improved L&TMRHL performance.
Others Segment:
- Revenue: ₹1,416 crore (–14% YoY)
- EBITDA margin: 31.3% (vs. 25.1%)
Decline due to lower realty handovers; margin boost from commercial property sale.
Outlook:
India’s GDP is projected to grow between 6.5%–7.0% in FY26, supported by strong consumption, capex, and services expansion. With inflation moderating, policy rate cuts may be on the horizon. Globally, growth remains subdued (~3.0%) amid trade protectionism and geopolitical tensions. The GCC region is expected to remain stable with continued non-oil investments.
L&T remains confident in its ability to adapt and capitalize on emerging opportunities, with a focus on technology, sustainability, and stakeholder value creation.
