L&T Q2 profit grows 33% to ₹5,202 crore, sees record order intake

What happened

Larsen & Toubro reported a 33% year-on-year rise in net profit to ₹5,202 crore for the second quarter of FY 2027, with record quarterly order inflow of ₹1.47 lakh crore and operating revenue growth.

Confirmed

Global impact / market context

Record order intake of ₹1.47 lakh crore gives the company a larger backlog of future work, supporting revenue visibility. Profit growth came partly from lower finance costs and better working capital efficiency, which means the company tied up less cash in day-to-day operations.

Analyst inference

Over half of new orders came from hydrocarbon and offshore energy, with most of those from international markets. This shifts the business mix toward overseas energy projects, which can raise revenue but also adds exposure to geopolitical and currency risks in those regions.

Analyst inference

What to watch

1. L&T's chairman said the strong quarter came amid an everchanging geopolitical landscape and reflected customer confidence in securing large, complex orders across sectors and geographies. Confirmed
2. Finance chief R Shankar Raman said there are project opportunities worth ₹10 lakh crore in the pipeline, which is the pool of potential future contracts the company is tracking. Confirmed
3. Watch whether the record order inflow converts into revenue on schedule. Delays in executing large overseas energy contracts could slow cash collection and pressure working capital, which is the cash tied up in operations. Analyst inference

Evidence

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