Larsen & Toubro Reports 15.6% Profit Growth in Q2, Secures Significant New Orders

Infrastructure major Larsen & Toubro (L&T) has reported its financial results for the quarter and half-year ended September 30, 2025. The company announced a consolidated net profit of ₹3,926 crore for the September quarter, a 15.6% rise compared to the same period last year. However, this profit figure was slightly below the analyst estimate of ₹3,990 crore. Consolidated revenue for the quarter increased by 10.4% to ₹67,983 crore, also falling short of the ₹69,950 crore expectation. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew 7% year-on-year to ₹6,806.5 crore, with EBITDA margins holding steady at 10%.

For the first half of the fiscal year, L&T reported a consolidated Profit After Tax (PAT) of ₹7,543 crore, showing a 22% growth. Total consolidated revenues for the half-year reached ₹131,662 crore, up 13% year-on-year.

A key highlight was the robust order inflow. The company secured fresh orders worth ₹115,784 crore in the September quarter, marking a 45% year-on-year increase. For the half-year, order wins totaled ₹210,237 crore, up 39% year-on-year, with significant contributions from sectors like Public Spaces, Commercial Buildings, Metro, Renewables, and Hydrocarbons. International orders constituted 65% of the quarterly inflow and 59% of the half-yearly inflow. The consolidated order book stood strong at ₹667,047 crore as of September 30, 2025, a 15% increase from March 2025.

Impact: The strong order book and inflow indicate excellent future revenue visibility, which is positive for the company's long-term prospects, even though quarterly results slightly missed estimates. Investors will likely focus on the robust order pipeline. Impact Rating: 7/10

Difficult Terms: - Consolidated Net Profit: The total profit of a company and its subsidiaries after deducting all expenses and taxes. - Revenue: The total income generated from sales before deducting expenses. - EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization): A measure of a company's operating performance. - EBITDA Margins: EBITDA expressed as a percentage of revenue, indicating operational efficiency. - Order Book: The total value of contracts received by a company for work yet to be completed. - Profit After Tax (PAT): The net profit remaining after all taxes have been paid. - Year-on-year (YoY): A comparison of a metric from the current period to the same period in the previous year.