Mumbai, Jan 28 (IANS) Engineering and construction major Larsen & Toubro (L&T) on Wednesday reported a 4 per cent decline in its consolidated net profit to Rs 3,215 crore for the quarter ended December 31, 2025, (Q3 FY26) mainly due to a one-time exceptional expense linked to new labour laws, even as revenue and order inflows remained strong.

The company said it made a one-time material provision of Rs 1,191 crore, net of tax and non-controlling interest, towards employee benefits arising from the implementation of new labour codes.

This expense was classified under exceptional items and weighed on the reported profit for the quarter.

Excluding this one-time impact, L&T’s performance was much stronger. The company posted a recurring profit after tax of Rs 4,406 crore in the December quarter — marking a sharp year-on-year growth of 31 per cent.

Revenue for the quarter rose 10 per cent to Rs 71,450 crore, supported by steady execution across businesses in its Projects and Manufacturing portfolio.

L&T’s operating performance also improved, with EBITDA rising 19 per cent year-on-year to Rs 7,417 crore in Q3 FY26.

Order momentum remained a key highlight for the company. The consolidated order book stood at Rs 7.33 lakh crore as of December 31, 2025 — reflecting a robust 30 per cent growth compared to December 2024. International orders made up 49 per cent of the total order book.

Chairman and Managing Director S N Subrahmanyan described the quarter as a landmark period for the company.

He said L&T recorded its highest-ever quarterly order inflow, with orders in the Projects and Manufacturing portfolio crossing the Rs 1 lakh crore mark for the first time.

As a result, the company’s total order book has now moved beyond Rs 7 lakh crore.

Segment-wise, the Infrastructure Projects business reported order inflows of Rs 61,876 crore during the quarter, registering a 26 per cent year-on-year growth.

International orders accounted for 55 per cent of this inflow, driven by large contracts in power transmission, distribution and renewable energy.

The Energy Projects segment secured fresh orders worth Rs 46,049 crore, up 19 per cent from a year ago.

This was supported by ultra-mega orders in hydrocarbon, offshore wind and CarbonLite solutions, with international markets contributing 43 per cent of the segment’s total order inflow.

–IANS

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