L&T shares rally over 15% in 6 months; check latest development that is likely to aid stock price

Recently, the company has won several work projects. For instance, on Monday, September 15, L&T said it has bagged a large order for the Mumbai-Ahmedabad bullet train project.

The company classifies a contract worth ₹2,500-₹5,000 crore as a large order.

L&T said its Transportation Infrastructure business has secured the order from National High Speed Rail Corporation Ltd (NHSRCL) to construct 156 route km (RKM) of high-speed ballastless track (Package T1) for the Mumbai-Ahmedabad High Speed Rail (MAHSR) corridor.

In August 2025, L&T Chairman and Managing Director SN Subrahmanyan said that the infra giant was deepening its push into data centres and defence manufacturing while keeping an eye on emerging opportunities in nuclear and thermal power.

The engineering and construction conglomerate has invested around ₹2,200 crore in data centres, with 32 megawatts (MW) already operational.

This includes a 30 MW site in Kanchipuram, Tamil Nadu — one of the largest of its kind in India.

In July 2025, L&T said its arm will set up the nation's largest green hydrogen plant at Indian Oil Corporation's Panipat Refinery in Haryana.

The project aligns with the National Green Hydrogen Mission, which aims to position India as a global hub for green hydrogen production and technology.

The plant, to be set up by Larsen & Toubro's wholly owned arm L&T Energy GreenTech Ltd, will supply 10,000 tonnes of green hydrogen per year to Indian Oil Corporation Ltd (IOCL) for 25 years, supporting the Centre's National Green Hydrogen Mission.

L&T: Latest development apart from order wins

Apart from order wins, one development that is likely to aid the company and the stock price is its desire to offload its stake, over 90%, in the L&T Hyderabad Metro Rail project to either the state or central government through a new Special Purpose Vehicle (SPV), citing operational and accumulated losses.

In a letter addressed to the Ministry of Housing and Urban Affairs (MoHUA), L&T Metro Rail last month also said the Telangana government, despite repeated follow-ups, has not provided the expected financial assistance, and the delay is further aggravating the financial duress of the concessionaire and making the situation necessarily difficult to manage.

"However, under these circumstances. We remain open to offer our equity stake in the existing metro network for purchase by the GoTG (government of Telangana) / Gol (government of India) through the new SPV and take over Phase l and its O&M together with Phase ll-A and Phase ll-B to attain the intended objective,” the letter said.

The firm said it faced several structural, financial and regulatory challenges resulting in substantial cost and time overruns due to delays on account of various reasons beyond the control of the concessionaire, viz., property acquisition, right of way, changes in alignment, utility shifting, etc.

According to the latest annual report of L&T Metro Rail, the revenue from operations and other income for the financial year 2024-25 was ₹1,108.54 crore as against ₹1,399.31 crore for the previous financial year, registering a decrease of 21%.

The loss before and after tax was ₹625.88 crore for the financial year under review as against the loss before and after tax of ₹555.04 crore for the previous financial year, according to a PTI report.

This move, as per market analysts, will be positive for the company, as it was one of the overhangs. Hence, exiting a loss-making entity will help the L&T stock log a fresh leg of the rally.

L&T Q1 FY26 Results

Larsen & Toubro, the country's largest infrastructure developer, on Tuesday, July 29, reported a net profit of ₹3,617 crore for the first quarter of the current financial year (Q1 FY26), marking an increase of 30% from the ₹2,786 crore logged in the same period last year.

The Mumbai-based company's revenue from operations advanced 15% to ₹63,679 crore in Q1 from ₹55,120 crore seen in the year-ago period.

Its operating profit margin, however, slipped 30 basis points to 9.92% from 10.2% in the year-ago period.

In the first quarter of the current financial year, Larsen & Toubro received orders worth ₹94,453 crore at the group level.

"During the quarter, orders were received across multiple businesses like Thermal BTG, Renewables, Power Transmission & Distribution, Hydel, Non-Ferrous Metals, Offshore & Onshore businesses of Hydrocarbon, and Commercial and Residential projects. International orders stood at ₹ 48,675 crore, accounting for 52% of the total order inflow," the Mumbai-based company said in a regulatory filing.

The consolidated order book of the group as of June 30, 2025, was at ₹612,761 crore, a growth of 6% over Mar’25. The share of international orders is 46%, L&T said.