L&T Q3 results: Net profit falls 4% to Rs 3,215 crore due to one-time cost, revenue rises 10%

L&T Q3 results: Net profit falls 4% to Rs 3,215 crore; revenue rises 10%

• L&T Q3 net profit fell 4% to Rs 3,215 crore despite strong overseas contracts
• Revenue rose 10% to Rs 71,450 crore; order book grew 30% to Rs 7,33,161 crore
• 49% of orders were international; P&M inflow exceeded Rs 1 lakh crore

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Engineering major Larsen & Toubro on January 28 reported 4% decline in consolidate net profit at Rs 3,215 crore for the quarter ended December 31, 2025 as muted domestic infrastructure inflows weighed on order intake despite stronger overseas contract wins.

The firm made a one-time material provision of Rs 1,191 crore (net of tax & NCI) towards employee benefits arising from the implementation of the new labour codes which has been classified under Exceptional Items.

The company posted a Recurring Profit After Tax (PAT) of Rs 4,406 crore for the quarter ended December 31, 2025, registering an YoY growth of 31%.

The firm's revenue rose 10% to Rs 71,450 crore in Q3FY26, "driven by steady execution progress across the various businesses within the Projects & Manufacturing (P&M) portfolio".

Thus, the company missed estimates as a Moneycontrol poll of six brokeragesm pegged Larsen & Toubro’s consolidated revenue for Q3FY26 at Rs 75,011 crore and profit after tax at Rs 4,524 crore.

The Group’s consolidated order book as on December 31, 2025, stood at Rs 7,33,161 crore, reflecting a 30% growth over December 2024. International orders constituted 49% of the overall order book.

S N Subrahmanyan, Chairman and Managing Director, said: “We have witnessed another landmark quarter for the Company as we posted our highest ever quarterly order inflow. For the first time, the quarterly order inflow in our Projects & Manufacturing (P&M) portfolio has exceeded the Rs 1 lakh crore mark - a clear reflection of our capabilities and the inherent strength of our business model. Consequently, the order book of the Company has surpassed the Rs 7 lakh crore-mark."

On January 28, L&T's shares closed 0.24% higher at Rs 3,797 apiece. The firm's EBITDA rose 19% to Rs 7,417 crore in Q3FY26.

"The Union Budget 2026–27 is expected to increase outlays for technology, defence and urban revitalization. Continued policy stability and the expansion of flagship initiatives are expected to serve as key catalysts for economic growth. Furthermore, the private sector’s capital expansion witnessed in 2025 – supported by large-scale greenfield investments and favourable funding conditions - provides a solid foundation for sustained macroeconomic momentum," the firm said in a stock exchange filing.

The Infrastructure Projects segment recorded an order inflow of Rs 61,876 crore for the quarter ended December 31, 2025, registering a YoY growth of 26%. International orders accounted for 55% of the total order inflow for the quarter aided by receipt of high-value orders in the Power Transmission & Distribution and Renewables businesses.

The Energy Projects segment secured order inflows of Rs 46,049 crore for the quarter ended December 31, 2025, registering a YoY growth of 19% with receipt of ultra mega orders in the Hydrocarbon - Offshore Wind and CarbonLite Solutions businesses. International order inflows constituted 43% of the total order inflow during the quarter.