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Larsen & Toubro lifts order book as it targets FY27 growth
Core orders rose 16% year-on-year to ₹86,400 crore in Q1, and the order book grew 27% to ₹7.5 trillion as management said execution will accelerate.
Engineering firm Larsen & Toubro expects its execution momentum to improve after a soft first quarter, aiming to stay on track with its FY27 targets despite supply-chain disruptions tied to the West Asia conflict, according to LiveMint Markets. In Q1FY27, L&T’s core engineering revenue rose 2% year-on-year to ₹46,191 crore, while EBITDA margin in the core engineering business fell by 20 basis points to 7%, reflecting slower project execution and profitability pressure.
The company said it expects to recover time and cost overrun claims from clients, potentially limiting its net impact if customers accept cost escalations. Profitability was also hit by an expected credit loss provision of about ₹250 crore linked to water and select infrastructure projects, the outlet reported. Order inflows were the main bright spot, with core business orders increasing 16% year-on-year to ₹86,400 crore and the total order book expanding 27% to ₹7.5 trillion. LiveMint Markets also noted L&T secured a ₹15,000 crore offshore wind power order from Europe and reported an end-June opportunity pipeline of about ₹15 trillion, with management expecting project awards in West Asia to pick up from the second quarter.