Larsen and Toubro Q4 results: Net profit dips 3%, revenue rises to ₹82,762 crore YoY; recommends final dividend of ₹38 for FY26

Larsen and Toubro (L&T) on Tuesday, May 5, reported a 3% decline in its consolidated net profit at ₹5,326 crore for the quarter ending March 31 of the financial year 2025-26. The infrastructure major had seen a profit of ₹5,497 crore in the same quarter of the previous fiscal year.

The firm said the total consolidated PAT for the year of ₹16,084 crore includes a one-time material provision of ₹1,155 crore (net of tax & NCI) towards employee benefits arising from the implementation of the new labour codes which has been classified under Exceptional Item.

L&T’s revenue from operations for the quarter under review was at ₹82,762 crore, marking a growth of 11.3% from ₹74,392 crore reported in the fourth quarter of FY25. The firm’s international revenues stood at ₹43,747 crore, contributing 53% of the total revenues.

For Q4 FY26, the company’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) jumped 5% year-on-year (YoY) to ₹8,610 crore as against ₹8,202 crore in Q4 FY25. Its margin contracted at 10.4% in contrast to 11.03% YoY.

The company achieved consolidated revenues of ₹285,874 crore for the year ended March 31, 2026, registering a YoY growth of 12% driven by steady execution progress across businesses. International revenues during the year stood at ₹153,738 crore, constituting 54% of total revenues, reflecting improved execution in the Overseas Projects & Manufacturing portfolio.

The Group’s consolidated order book as of March 31, 2026, stood at an all-time high of ₹ 740,327 crore, reflecting a 28% growth over March 2025. International orders constituted 52% of the overall order book.

During the quarter, L&T said it has secured several high-value order wins across sectors, including commercial & residential buildings, roads & runways, urban transport, transmission & distribution and the hydrocarbon onshore businesses. International orders stood at ₹ 59,994 crore, contributing 67% of the total order inflow.

Dividend details

Along with its earnings, the company’s board has recommended a final dividend of ₹38 per share of face value ₹2 each for the financial year ended March 31, 2026, compared with ₹34 per share in the previous year. The dividend will be paid after shareholder approval at the ensuing Annual General Meeting, tentatively by June 10, 2026.

L&T has fixed May 22, 2026, as the record date to determine the eligibility of shareholders for the proposed final dividend.

Management commentary

Commenting on the results, S N Subrahmanyan, chairman and managing director, said: “The year concluded on a strong note, supported by good financial performance across segments. Order inflow for the year exceeded a record ₹4 lakh crore—a clear reflection of our strategy, built on a strong domestic base complemented by a significant international presence, enabling the company to exploit global opportunities.”

“During the year, we have executed agreements for divesting our full stakes in Nabha Power Limited and L&T Metro Rail (Hyderabad) Limited. We expect the closure of these transactions by 30th June 2026. This aligns with our stated strategy to exit from the Concessions portfolio,” Subrahmanyan added.

On Tuesday, L&T shares closed at ₹4,054.50 apiece on the National Stock Exchange, falling 1.13%. The earnings were announced after the market hours.