L&T share price jumps over 4%, here’s why

The infrastructure major firm secured a major order from a steel producer on Tuesday. This led the Larsen and Toubro (L&T) shares rally on the equity indices.

During the intraday trade, shares of the company surged 4.14% to ₹3,422.90 apiece on BSE.

The project will be set up as part of a major order bagged by a leading steel player earlier, the company said.

The scope of work includes design-build pellet and DRI plants encompassing engineering, supply, erection and construction works based on globally acclaimed technologies. The project will be set up by the Minerals & Metals (M&M) business vertical of L&T.

Pellets are iron ore concentrate which are used to manufacture steel. DRI is a steel-making process.

“This reflects M&M’s leadership position in successful execution of complex iron & steel plant projects in the MENA region. It further demonstrates the unwavering commitment of M&M in delivering steel plant projects conforming to international standards in quality, safety, and ontime completion,” said Mr D K Sen, Executive Committee Member and Advisor to the CMD, L&T.

L&T achieved consolidated revenue of ₹64,668 crore for the quarter ended December 31, 2024, registering a year-on-year growth of 17%. This was on the back of strong order book and ramp-up in execution momentum across its Projects & Manufacturing (P&M) businesses. The company posted a revenue of ₹55,100 crore in the year-ago period.

It posted a consolidated profit after tax (PAT) of ₹ 3,359 crore, up 14% compared to the corresponding quarter of the previous year. L&T's earnings before interest, tax, depreciation, and amortisation (EBITDA) increased by 8.6% year-on-year to ₹6,255 crore during the reporting quarter.

The company received its highest-ever quarterly orders of ₹ 116,036 crore at the group level, registering a substantial YoY growth of 53%. International orders at ₹62,059 crore during the quarter comprised 53% of the total order inflow.