Larsen & Toubro (L&T) shares gained over 5 per cent on Monday after the engineering and construction giant reported a 19 per cent rise in consolidated net profit at Rs 1,034.8 crore for the quarter ended December 31.
At 11.43 am, L&T shares were trading were trading 4.20 per cent up at Rs 1148.50. The scrip opened at Rs 1125.00 and touched a high and low of Rs 1159.00 and 1120.00, respectively, in trade so far. Later, the scrip closed 1.81 per cent up at Rs 1122.15.
So far, around 2.27 lakh shares of Larsen & Toubro exchanged hands on the BSE as compared with two-week average daily volume of 3.12 lakh shares.
The company had clocked a net profit of Rs 866.5 crore in the year-ago period, it said in a BSE filing. Total income firm rose by 8 per cent to Rs 25,829.3 crore in the October-December quarter this fiscal from Rs 23,847.9 crore during the same quarter in 2014-15.
The firm’s total expenses were, however, higher at Rs 23,799.2 crore from Rs 21,641.2 crore during the reported quarter.
The International revenue during the quarter at Rs 9,066 crore constituted 35 per cent of the total revenue.
On outlook, the company said: “Domestic economy continues to face headwinds to growth despite favourable macroeconomic factors. Tight liquidity and weak global cues have kept the markets tentative.”
It however, said that improved fiscal position at Central and State levels, moderated inflation, softer interest rates, increased allocations on plan expenditure, accelerated reforms and business enabling policy initiatives are expected to better the investment climate in India.
“Given its large order book, execution capabilities and proven track record, the firm stays prepared to harness the business prospects as they emerge. The company is focusing on profitable execution and is confident of its growth in the near to medium term,” it added.
L&T won orders worth Rs 38,528 crore at the group level during the quarter ended December 31. The International order inflow during the quarter at Rs 11,115 crore constituted 29 per cent of the total order inflow.