Shares of Larsen & Toubro Ltd (L&T) rose nearly 2.5 percent on Wednesday after the company announced that it had secured a mega order for its hydrocarbon business. The large-scale order worth more than Rs 7,000 crore is the latest victory for L&T’s Hydrocarbon Business (LTEH) segment and is yet another show of customer confidence in their end-to-end design, fabrication, and installation capabilities.
Larsen & Toubro is an engineering, technology, construction and financial services company. It is one of the largest conglomerates in India with many divisions and businesses, including defence, IT and energy. In December 2022, the hydrocarbon segment had order inflow of Rs 20,440 crore, a 13 percent YoY drop. The same segment reported a revenue of Rs 14,100 crore for the same period, up 1 percent from the previous year, with improved EBITDA margin at 9.7 percent compared to 8.3 percent the previous year.
Subramanian Sarma is the Whole- Time Director and Senior Executive Vice-President at Larsen & Toubro. With over three decades of expertise across the hydrocarbon sector, Sarma has seen the company through its major successes including this latest order win. He commented that the out come was the result of their dedicated efforts towards developing and nurturing the LTEH’s comprehensive design-to-build capabilities.
The success of the Mega Order further reinforces L&T’s role in providing global design-to-build solutions for the hydrocarbon sector with regard to project management, quality assurance, health and safety, environmental sustainability and operational excellence. The company is well placed to benefit from this success in the times to come.