Larsen and Toubro · forward-looking guidance across the available source record.
Guidance tracker
Management reiterated confidence in achieving 10-12% order inflow growth for FY27, supported by healthy prospects pipeline of Rs 15.07 trillion and continued momentum in domestic private sector and international markets.
Revenue growth guidance of 10-12% maintained for FY27, though management indicated H1 FY27 would be subdued due to Middle East conflict and expects acceleration from H2 as execution normalizes.
Targeting PPM margin of around 7.8% for FY27, in line with revenue growth guidance. The margin trajectory assumes normal execution progress and no further escalation in geopolitical disruptions.
Maintaining FY27 working capital guidance of around 10% factoring in expected utilization of customer advances and increased vendor payments as execution accelerates in H2.
Management retained full-year revenue growth guidance of 15% citing expected Q4 execution ramp-up across all segments, particularly in the P&M portfolio where 9-month growth was 12%.
Full-year P&M margin guidance of 8.5% maintained despite Q3 margin softness in hydrocarbons. Legacy project cost overruns factored into guidance; margin expected to improve in 2-3 quarters as these projects conclude.
Based on 30% YoY growth in 9-month order inflows and healthy prospects pipeline, management stated they will exceed the original 10% order inflow guidance for FY26.
Original guidance of 12% revised sharply to 10% following stronger collection intensity and improved contractual terms, particularly from private sector orders which now constitute 36% of domestic order book.
Group order inflows expected to grow 10-12% in FY27, supported by a prospects pipeline of ₹17.8 trillion.
Revenue growth guided at 10-12% for FY27, with softer H1 due to supply chain disruptions and stronger H2.
Projects, Products & Manufacturing margin expected to remain stable at around 7.8% in FY27 on reclassified basis.
Over five years, L&T targets order inflow CAGR of 10-12%, revenue CAGR of 12-15%, and ROE of 16-17%.