Larsen & Toubro's Q1 FY 2025-26 Quarterly Results

Result Summary

• Larsen & Toubro reported a 4.5% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 16.1%.
• Its expenses for the quarter were down by 4.2% QoQ and up 15.2% YoY.
• The net profit decreased 13.9% QoQ and increased 25.4% YoY.
• The earnings per share (EPS) of Larsen & Toubro stood at 26.3 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Larsen & Toubro (L&T) is a major Indian multinational engaged in technology, engineering, construction, manufacturing, and financial services. It operates across various sectors, including infrastructure, power, heavy engineering, and defense, making it a diverse conglomerate. With its headquarters in Mumbai, L&T is known for its significant contributions to India's infrastructure development. The company is involved in designing and building some of the country's largest projects, including infrastructure for airports, metros, and industrial facilities. Recent developments include its continued expansion into international markets and investments in digital and sustainability initiatives, reflecting its commitment to innovation and growth.

Revenue

For Q1FY26, Larsen & Toubro reported a total income of ₹65,035.70 crores, a decline of 4.5% from the previous quarter (Q4FY25), which stood at ₹68,120.42 crores. However, when compared year-over-year (YoY) to Q1FY25, there is a notable increase of 16.1% from ₹56,040.46 crores. This YoY growth suggests a positive trajectory in the company's revenue generation over the year. The quarterly decline may be attributed to cyclical or seasonal factors, typical in industries with large project-based revenue streams.

Profitability

The company recorded a Profit Before Tax (PBT) of ₹5,859.53 crores in Q1FY26, which marks an 8.8% decrease from the previous quarter's ₹6,421.84 crores but reflects a significant 25.3% increase from ₹4,676.65 crores in Q1FY25. The Profit After Tax (PAT) for Q1FY26 was ₹4,318.17 crores, decreasing by 13.9% from Q4FY25's ₹5,013.17 crores, yet increasing by 25.4% from ₹3,444.68 crores in Q1FY25. The earnings per share (EPS) also followed a similar trend, with a decrease of 17.6% QoQ, from ₹31.90 to ₹26.30, but a YoY increase of 29.6% from ₹20.30 in Q1FY25.

Operating Metrics

Total expenses for Q1FY26 were ₹59,176.17 crores, a 4.2% reduction from the previous quarter's ₹61,792.19 crores, but a 15.2% increase from ₹51,363.81 crores in Q1FY25. The tax expense for the quarter was ₹1,533.96 crores, which is an 8.2% increase from Q4FY25's ₹1,418.30 crores and a 24.1% rise from ₹1,236.54 crores in Q1FY25. These figures indicate changes in operational dynamics and tax obligations over different periods. While the quarterly decrease in expenses aligns with the drop in total income, the YoY rise in expenses and tax reflects the broader scale of operations as compared to the prior year.