Financial Analysis of L&T

Download as pdf or txt
Download as pdf or txt
You are on page 1of 10

FINANCIAL ANALYSIS OF L&T

INTRODUCTION

Larsen & Toubro (L&T) is a multinational conglomerate headquartered in


Mumbai, India.
It was founded by Henning Holck Larsen and Soren kristian Toubro, who
were two Danish engineers taking refuge in India.
It is one of the world's largest engineering and construction companies, with
operations in over 60 countries.
L&T has a diversified portfolio of businesses, including engineering,
construction, manufacturing, information technology, and financial services.
As of March 31, 2022, the L&T Group comprises 93 subsidiaries, 5 associate
companies, 27 joint ventures and 35 jointly held operations, operating across
basic and heavy engineering, construction, realty, manufacturing of capital
goods, information technology, and financial services.
SUBSIDIARIES

L&T Construction: L&T Electrical & Automation: L&T Infrastructure Engineering:


Building construction, products and Roads,Tunnels, Bridges, Airports,
and infrastructure development. services Metros

L&T Technology Services: L&T Heavy Engineering:


IT services, Machine tools, L&T Finance Holdings:
software development forgings, castings, and equipment. Financial services

L&T Defense: L&T Hydrocarbon Engineering:


L&T Infotech:
Weapons, ammunition, and EPC services for the oil and gas
IT service market
naval systems sector
GROWTH OF L&T

In the financial year 2022-23,


L&T's revenue was ₹1.9 trillion
(US$24billion) and its net profit
was ₹40.8 billion (US$520 million)
The stock has been trading at 14%
CAGR in 10 years.
L&T Construction and Technology
services have been the most
profitable subsidiaries in terms of
revenue.
PARTICULARS JUNE 2023 JUNE 2022 consolidated statement of profit and loss for
the quarterly year ended June 30,2023

46.5% year-on-year (YoY) growth in


consolidated net profit for the quarter ended
June 2023 to Rs 2,493 crore.
The net profit as on June 2023, stood at
Rs.3060cr as against Rs.2229cr as on June
2022, thereby witnessing an increament.
Total Revenue rose 17.3% during the fiscal
consolidated statement of total asset and total liabilities( quarterly)
particulars june 30 2023 mar31 2023 june30 2022

The total asset as on June 2023 stood at


Rs.3,15,660cr as against Rs.2,26,597cr
on June 2022, and thereby witnessing
an increament of Rs.10,937cr.
The total Liabilities as on June 2022
stood at Rs.2,18,970cr as against
Rs.2,19,530cr on June 2023, and
thereby witnessing an increament of
Rs.10,937cr.
As on June 30,2023 the total Asset sttod
at Rs.3,26,597cr and Liabiilities at
Rs.2,19,530cr in which asset exceeds
the liabilities over 1,07,067cr
The share price of L&T
Stood at Rs.3660
(as on Aug 2023)

l&T share price was Rs


2,659.90 as on 14 Aug,
2023,. L&T share price
was up by 0.81% based on
previous share price of
Rs. 2638.5. In last 1 Month,
L&T
share price moved up by
7.59%.
FINANCIAL RATIOS
EARNINGS PER SHARE (EPS)
IT IS A MEASURE OF HOW MUCH PROFIT A COMPANY GENERATES PER SHARE
THE EARNINGS PER SHAE OF THE COMPANY STANDS AT Rs.17.74 AS OF JUNE 2023 AND THE EPS STOOD AT
Rs.12.11 LAST YEAR (JUNE 2022)

EARNINGS BEFORE INTEREST AND TAX (EBIT)


EBIT IS A COMMON MEASURE OF A COMPANY'S OPERATING PROFITABILITY.
THE EARNINGS BEFORE INTEREST AND TAX MARGIN OF THE COMPANY STANDS AT 10.57% AS OF JUNE 2023
AND THE EBIT STOOD AT 12.01% THE PREVIOUS YEAR.

PROFIT AFTER TAX (PAT)


IT IS THE PROFIT AMOUNT OF THE COMPANY RETAINED AFTER MEETING ALL ITS OPERATIONAL AND NON-
OPERATIONAL EXPENSES.
THE PAT MARGIN AS OF JUNE 2022 STOOD AT Rs.1,702cr AND Rs. 2493cr AS OF JUNE 2023
CURRENT RATIO
IT IS A MEASURE OF A COMPANY'S ABILITY TO PAY ITS DEBTS AND PAYABLES.
THE CURRENT RATIO OF THE COMPANY STOOD AT 1.31 AS OF JUNE 2022 AND 1.37
AS OF JUNE 2023

DEBT EQUITY RATIO


IT SHOWS HOW MUCH DEBT A COMPANY HAS COMPARED TO ITS ASSETS.
THE DEBT EQUITY RATIO AS ON JUNE 2022 STOOD AT 1.50 AS COMPARED TO JUNE
2023 AT 1.33

DEBT RATIO
IT IS CALCULATED BY DIVIDING TOTAL DEBT BY TOTAL ASSET.
THE DEBT RATIO AS OF JUNE 2022 STOOD AT 6.43 AND DECLINES TO 5.20 AS ON
JUNE 2023
THANK YOU

DEEPIKA T

You might also like