Rs 4,50,700 crore order book: This multibagger civil construction company bags new orders worth Rs 15,000 crore from Middle East!
The stock is up by 70 per cent in 1 year and gave multibagger returns of 175 per cent in the last 3 years.
Larsen & Toubro Ltd (L & T Ltd) informed the company has bagged 2 orders approx. Rs 15,000 crore from the Middle East. Here are the details:
Order No – 1: The company’s construction arm has been chosen as the turnkey engineering, procurement and construction contractor to establish various systems related to renewable energy generation and utilities, for the AMAALA project in the Red Sea region, Saudi Arabia. The order is worth approx. Rs 10,000 crore.
AMAALA, a sprawling ultra-luxury haven on Saudi Arabia's pristine northwest coast, is teaming up with clean energy giants Masdar and EDF to build its future. Spanning breathtaking landscapes and ancient heritage, AMAALA will boast 25 hotels, 900 luxury residences, and world-class amenities, all powered by a fully integrated sustainable utility project led by the consortium. Larsen & Toubro joins the visionary team, ensuring this ambitious haven comes to life with cutting-edge construction expertise. Prepare to be enthralled by AMAALA's blend of luxury, sustainability, and timeless allure.
Order No – 2: L&T Construction's Power Transmission & Distribution arm scored big in the Middle East, securing orders for a UAE substation, a 100km+ Kuwaiti transmission line network, and additional ongoing substation projects, solidifying their regional grip on power infrastructure development. The order is worth approx. Rs 5,000 crore.
The company delivered strong Quarterly Results, demonstrating its continued growth trajectory. Revenue for Q2FY24 reached Rs 51,024.04 crore, representing a significant 19.32 per cent increase YoY. This growth was further reflected in the company's operating profit, which stood at Rs 8,173.45 crore, and its PAT, which reached Rs 3,855.55 crore, marking an impressive 36.76 per cent YoY surge.
The company's robust order book, valued at Rs 4,50,700 crore as of September 2023, underscores its strong market position and future growth prospects. This order book represents a 22 per cent increase from September 2022, with a well-balanced domestic and international mix, with 65 per cent of the orders coming from domestic clients and 35 per cent from international clients.
Today, the shares of Larsen and Toubro Ltd plunged 0.13 per cent to Rs 3,522.35 per share with an intraday high of Rs 3,536.95 and an intraday low of Rs 3,497.25. The stock’s 52-week high is Rs 3,559.75 and an its 52-week low of Rs 2,058.10
The company has been maintaining a healthy dividend payout of 37.20 per cent. The stock is up by 70 per cent in 1 year and gave multibagger returns of 175 per cent in the last 3 years. Investors must keep this Large-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
DSIJ's 'Large Rhino' service recommends blue chip stocks of Large Cap companies that have leadership positions in their category. If this interests you, do download the service details here.