Larsen & Toubro ( L&T ), a diversified conglomerate with interests spanning defense, infrastructure, power, construction, technology, and finance, intends to maintain its investments in the Middle East region while adopting a more comprehensive strategy.
The company’s management stated that its investments in the Middle East will not be confined to hydrocarbons but will also encompass infrastructure development to transform the region into a tourist destination.
Shankar Raman, CFO of L&T, mentioned during a management call on May 8 that the company will continue to focus on infrastructure development, energy generation, and downstream investments in petrochemicals and related sectors.
Looking ahead, Raman indicated that they will assess investments to determine which qualify as “fancy investments” and which are considered “must-have investments.”
As of March 2024, L&T’s total order book stood at Rs 4.75 lakh crore, with the Middle East contributing around 35 percent. Additionally, the Middle East accounted for approximately 22 percent of the company’s total revenue of Rs 2.2 lakh crore in the fourth quarter.
Despite a decline in international order inflows in Q4FY24 compared to the previous year, the management remains optimistic about international order inflows for 2024-25.
In Q4FY24, the company reported a consolidated net profit of Rs 4,396 crore, marking a 10 percent increase from the same quarter last year. Revenue from operations for the quarter grew by 15 percent to Rs 67,079 crore compared to the previous fiscal year.
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