Earnings Call Presentation
Q4 / FY24
08th May, 2024
India's first Coastal Road
with underground tunnel
Disclaimer
L&T Tech Park, Bengaluru
This presentation contains certain forward looking statements concerning L&T's future business prospects and business profitability, which are subject to a number of risks and uncertainties and the actual results could materially differ from those in such forward looking statements.
The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, competition (both domestic and international), economic growth in India and the target countries for exports, ability to attract and retain highly skilled professionals, time and cost over runs on contracts, our ability to manage our international operations, government policies and actions with respect to investments, fiscal deficits, regulations, etc., interest and other fiscal costs generally prevailing in the economy. Past performance may not be indicative of future performance.
The company does not undertake to make any announcement in case any of these forward looking statements become materially incorrect in future or update any forward looking statements made from time to time by or on behalf of the company.
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Key Highlights
Yashobhoomi (India International Convention and Expo Centre), New Delhi
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Robust performance in a volatile global macro backdrop
- 3 trillion+
Order Inflow
in FY24
31% y-o-y growth
- 2.2 trillion
Revenue Growth
in FY24
21% y-o-y growth
12.0%
NWC / Revenue
as on
31st March 2024
Successfully completed first ever Buyback
FY24
Financial
Performance
- ₹ 4.8 trillion
Order Book
as on
31st March 2024
- 131 billion
Reported PAT
in FY24
25% y-o-y growth
14.9%
ROE
in FY24
IDPL Divestment concluded on 10th April 2024
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Atal Setu, Mumbai
Statue of Oneness, Omkareshwar
Critical booster segments for Chandrayaan 3
Landmark Projects
of FY24
India's first 3D-Printed Post Office, Bengaluru
Shri Ram Janmabhoomi Mandir, Ayodhya
Mumbai Coastal Road Project
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Key Financial Indicators
(Amount in ₹ bn) | ||||||
Q4 FY23 | Q4 FY24 | (y-o-y) | Particulars | FY23 | FY24 | (y-o-y) |
761 | 721 | -5% | Order Inflow | 2305 | 3028 | 31% |
Order Book | 3970 | 4758 | 20% | |||
583 | 671 | 15% | Revenue | 1833 | 2211 | 21% |
11.7% | 10.8% | EBITDA (%) | 11.3% | 10.6% | ||
40 | 43 | 8% | Recurring PAT | 104 | 130 | 25% |
40 | 44 | 10% | Overall PAT | 105 | 131 | 25% |
Particulars | FY23 | FY24 | ||||
Net Working Capital | 16.1% | 12.0% | ||||
ROE (TTM) (%) | 12.2% | 14.9% |
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Group Performance
Offshore Jackets for a project in KSA
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Q4 / FY24 Order Inflow/Order Book
(Amount in ₹ bn)
Order Inflow | Order Book | ||||||||
5% | 31% | 20% | |||||||
Q4 FY24 | FY24 | 1118 | |||||||
469 | 252 | 721 | 1397 | 1631 | 3028 | 1809 | |||
3970 | 4758 | ||||||||
Q4 FY23 | FY23 | 2852 | 2949 | ||||||
401 | 360 | 761 | 1440 | 865 | 2305 | ||||
31-Mar-23 | 31-Mar-24 | ||||||||
Domestic | International |
- Record Order Inflow of Rs 3 trillion in a year
- International orders constitute 38% of the Mar'24 Order Book (PY at 28%)
- Robust prospects pipeline @ ₹ 12.1 trillion for FY25 (up 24% y-o-y)
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Group Performance - Revenue to EBITDA
Remarks for the quarter
Q4 FY23 | Q4 FY24 | % Var | ₹ Billion | FY23 | FY24 | % Var |
583.4 | 670.8 | 15% | Revenue | 1833.4 | 2211.1 | 21% |
39% | 44% | International Rev. | 38% | 43% | ||
379.7 | 446.3 | 18% | MCO Exp.* | 1105.9 | 1403.1 | 27% |
15.2 | 14.2 | -7% | Fin. Charge Opex** | 60.3 | 57.1 | -5% |
99.8 | 107.3 | 7% | Staff Costs | 372.1 | 411.7 | 11% |
20.3 | 30.7 | 51% | Sales & Admin. | 87.6 | 104.2 | 19% |
515.0 | 598.4 | 16% | Total Opex | 1625.9 | 1976.2 | 22% |
68.3 | 72.3 | 6% | EBITDA | 207.5 | 234.9 | 13% |
11.7% | 10.8% | EBITDA % | 11.3% | 10.6% | ||
• Strong execution momentum in Infrastructure, Precision Engineering & Systems and Realty drive revenue growth
- MCO expense variation is reflective of activity levels and revenue mix
- Staff costs increase due to resource augmentation and salary hike across businesses
- SG&A reflective of linear expenses attributable to execution ramp up, higher credit cost in FS and lower FX gains. PY had benefit of consolidation of Nabha profits
- Manufacturing, Construction and Operating expenses
**Finance cost of financial services business and finance lease activity
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Group Performance - EBITDA to PAT
Q4 FY23 | Q4 FY24 | % Var | ₹ Billion | FY23 | FY24 | % Var |
68.3 | 72.3 | 6% | EBITDA | 207.5 | 234.9 | 13% |
(8.1) | (9.3) | 14% | Fin. Cost | (32.1) | (35.5) | 11% |
(8.5) | (10.2) | 20% | Depreciation | (35.0) | (36.8) | 5% |
7.4 | 10.4 | 41% | Other Income | 29.3 | 41.6 | 42% |
(14.6) | (14.2) | -3% | Tax Expense | (44.8) | (49.5) | 10% |
0.1 | 0.1 | -19% | JV/Associates PAT Share | (0.9) | (0.2) | -76% |
(4.7) | (6.2) | 31% | Non-controlling Int. | (20.2) | (24.9) | 23% |
39.9 | 43.0 | 8% | Recurring PAT | 103.7 | 129.7 | 25% |
0.0 | 0.9 | Exceptionals (net of tax | 1.0 | 0.9 | ||
and NCI) | ||||||
39.9 | 44.0 | 10% | Reported PAT | 104.7 | 130.6 | 25% |
*The Company, on April 10, 2024, has concluded the sale of its stake in L&T Infrastructure Development Projects
Limited (L&T IDPL). As on March 31, 2024, the investment in the joint venture is classified as "Held for Sale".
Remarks for the quarter
- Finance cost commensurate with level and price of borrowing
- Higher other income reflective of improved yields
- Share of JV / Associate PAT primarily comprises results of Power and Hydrocarbon JVs*
-
Exceptional Items (net of tax) for the quarter includes (a) Gain on divestment of stake in
L&T Transportation Infrastructure Limited of ₹ 61 crore and (b) Reversal of impairment of investment in L&T IDPL of ₹ 33 crore - Recurring PAT growth reflective of improved activity levels and lower tax expense
₹ 100 crore = ₹ 1 bn
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Larsen & Toubro Limited published this content on 08 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 May 2024 13:40:05 UTC.