INSUBCONTINENT EXCLUSIVE:
ET Intelligence Group: Despite the usual sluggishness in infrastructure orders from the central government before the general elections,
Larsen and Toubro (LT) is expected to meet its annual order intake guidance considering the momentum of the past two months
Given the order inflow of Rs 1.2 lakh crore in the first nine months of FY19, the company needs to book another Rs 48,000 crore of orders in
the March 2019 quarter to meet the guidance.
According to JP Morgan, the declared order of the company is Rs 42,500 crore so far in the
March quarter and including unreported and services revenues treated as inflows, the total order inflows for March quarter are likely to be
Rs 56,800 crore, a growth of 13 per cent year-on-year
released on February 26, said order inflows this year may exceed the guidance by a fair margin and may be larger as the cycle builds up and
some sedate segments start to contribute.
LT has stopped disclosing the size of order received from the beginning of the March quarter
Instead, it provides a classification such as significant order range of Rs 1,000-2,500 crore, large orders of Rs 2,500-5,000 crore, major
orders of Rs 5,000-7,000 crore and mega orders above Rs 7,000 crore
Brokerages covering the order inflows compute the order estimates by assuming the midpoint of the classification range.
