Larsen & Toubro: Q1FY27: Exhibiting resilience to ME disruptions; guidance maintained

研报英文原文证据摘录

Larsen & Toubro: Q1FY27: Exhibiting resilience to ME disruptions; guidance maintained

Global Research

29 July 2026ab

First Read

EquitiesLarsen & Toubro

Q1FY27: Exhibiting resilience to ME disruptions; India

guidance maintained Industrial, Diversified

12-month rating Neutral

12m price target Rs4,250.00

How did the results compare vs expectations?

L&T reported Q1FY27 core revenue/EBITDA growth of 3%/3% YoY (including realty), a

4% revenue miss but a 4% EBITDA beat vs UBSe. Excluding the realty, core revenue Price (28 Jul 2026) Rs3,832.75

grew 2% YoY, while EBITDA declined 2% YoY, with 25bps margins decline RIC: LART.BO BBG: LT IB

(EBITDA margins 7%). Order inflows remained healthy at Rs 873bn (+14% YoY),

Trading data and key metrics

supported by ultra-mega offshore wind award from Europe.

52-wk range Rs4,417.15-3,341.90

What were the most noteworthy areas in the results? Market cap. Rs5,270b/US$55.0b

a) Core order intake grew 14% YoY, driven by a large offshore wind ultra-mega order; Shares o/s 1,375m (ORD)

excluding this, both domestic and Middle East inflows remained subdued amid deferred Free float 86%

conventional energy orders. Domestic intake was led by healthy private sector demand Avg. daily volume ('000) 2,245

(power, B&F, etc.), with private orders accounting ~40% of the domestic order book (vs. Avg. daily value (m) Rs8,951.8

~35–40% YoY). b) Execution remained weak in both domestic and Middle East, leading Common s/h equity (03/26E) Rs1093b

to 2.2% decline in international revenue, impacted by back-ended infrastructure project P/BV (03/26E) 4.8x

execution (-2% for international infrastructure ) and supply-chain delays in green energy Net debt to EBITDA (03/26E) 3.5x

projects (-16% in international operations). c) Core EBITDA margins were down 26bps