Larsen & Toubro Limited · NSE:LT

Larsen & Toubro — Q1 FY12 Earnings Presentation

25 slides from Larsen & Toubro's earnings presentation, Aug 8, 2011

  1. Slide 1: Analyst Presentation – Q1 FY12

    LARSEN & TOUBRO LIMITED Analyst Presentation – Q1 FY12 8th August 2011

  2. Slide 2: Disclaimer

    Disclaimer This presentation contains certain forward looking statements concerning L&T’s future business prospects and business profitability, which are subject to a number of risks and uncertainties and the actual results could materially differ from those in such forward looking statements. The r

  3. Slide 3: Presentation Outline

    Presentation Outline Q1 FY12 Performance Summary Segmental Analysis Performance of Key Subsidiaries Outlook 8th August 2011 3

  4. Slide 4: Presentation Outline

    Presentation Outline Q1 FY12 Performance Summary Segmental Analysis Performance of Key Subsidiaries Outlook 8th August 2011 4

  5. Slide 5: Performance Highlights – Q1 FY12

    Performance Highlights – Q1 FY12 Recurring PAT EBITDA Margins Order Book Sales 12% 90 Order bps Inflow 26% 21% 4% 8th August 2011 5

  6. Slide 6: Order Inflow & Order Book – Q1 FY12

    Order Inflow & Order Book – Q1 FY12 Sectoral Break-up Infrastructure Power  Roads & Bridges Order Inflow ` 161.90 Bn  Generation  Ports & Harbours  Equipment  Airports  Electrification / 22%  Railways Transmission &  Buildings & 49% 11% Distribution Factories  Urban Infra 10%  Water 8% Hyd

  7. Slide 7: Order Inflow & Order Book – Q1 FY12

    Order Inflow & Order Book – Q1 FY12 Geographical Break-up Customer Profile 3% 9% 6% 18% 17% 7% 20% 38% 84% 91% 62% 45% Order Inflow Order Book Order Inflow Order Book Domestic Middle East Others 8th August 2011 7

  8. Slide 8: Performance Summary - Topline

    Performance Summary - Topline % ` Billion Q1 FY12 Q1 FY11 FY11 Change Order Inflows 161.90 156.24 4% 797.69 --- Export Order Inflows 26.26 17.61 79.61 Order Book 1,361.72 1,078.16 26% 1,302.17 Net Sales / Revenue from 94.83 78.31 21% 439.40 Operations --- Export Revenue 10.59 10.47 46.61 Level of Or

  9. Slide 9: Performance Summary – Operational Costs

    Performance Summary – Operational Costs Q1 FY12 Q1 FY11 Particulars % to Total % to Total ` Bn ` Bn Net Rev. Net Rev. Mfg, Cons. & Opex (MCO) 73.08 77.0% 60.39 77.1% Staff Costs 7.66 8.1% 5.64 7.2% Sales, adm. & other Exp. 2.82 3.0% 2.23 2.9% Total Opex 83.56 88.1% 68.26 87.2% MCO expenses are comme

  10. Slide 10: Performance Summary – Profitability

    Performance Summary – Profitability % ` Billion Q1 FY12 Q1 FY11 FY11 Change EBITDA 11.26 10.05 12% 56.52 EBITDA Margins 11.9% 12.8% -0.9% 12.9% Interest Expenses (1.61) (1.29) 25% (6.66) Depreciation (1.68) (1.14) 47% (5.99) Other Income 2.96 2.15 38% 11.85 Provision for Taxes (3.47) (3.11) 12% (18.

  11. Slide 11: Performance Summary – Balance Sheet

    Performance Summary – Balance Sheet Incr / ` Billion Jun -11 Mar-11 (Decr) Net Worth 227.11 218.46 8.65 Non-Current Liabilities 70.59 64.06 6.53 Current Liabilities 279.79 288.47 (8.68) Total Sources of Fund 577.49 570.99 6.50 Fixed (Non-Current) Assets 75.72 74.16 1.56 Other Non- Current Investment

  12. Slide 12: Presentation Outline

    Presentation Outline Q1 FY12 Performance Summary Segmental Analysis Performance of Key Subsidiaries Outlook 8th August 2011 12

  13. Slide 13: Segmental Break-up – Q1 FY12

    Segmental Break-up – Q1 FY12 Machinery & Industrial Net Revenues Products Others 6.9% 2.1% Engineering Electrical & (6.7%) (1.5%) & Electronics Construction 6.9% 84.1% (8.6%) (83.2%) Machinery & EBITDA Industrial Others Engineering Products 3.9% & 10.9% (3.1%) Construction (10.7%) Electrical & 79.2%

  14. Slide 14: 'Engineering & Construction' Segment

    ‘Engineering & Construction’ Segment % ` Billion Q1 FY12 Q1 FY11 FY11 Change Total Order Inflows 144.16 138.45 4% 730.13 --- Exports 23.18 14.61 67.01 Total Order Book 1,337.39 1,055.12 27% 1,280.00 --- Exports 112.15 75.37 92.57 Total Net Revenues 79.77 65.12 22% 377.78 --- Exports 7.37 8.50 37.31

  15. Slide 15: 'Electrical & Electronics' Segment

    ‘Electrical & Electronics’ Segment % ` Billion Q1 FY12 Q1 FY11 FY11 Change Total Net Revenues 6.56 6.77 -3% 28.36 --- Exports 0.61 0.53 2.04 EBITDA 0.71 0.82 -13% 4.75 EBITDA Margins 10.8% 12.1% -1.3% 16.8% Net Segment Assets 12.78 11.09 15% 11.86 Dip in revenues – outcome of muted industrial demand

  16. Slide 16: 'Machinery & Industrial Products' Segment

    ‘Machinery & Industrial Products’ Segment % ` Billion Q1 FY12 Q1 FY11 FY11 Change Total Net Revenues 6.51 5.22 25% 26.66 --- Exports 0.97 0.31 2.16 EBITDA 1.31 1.20 9% 5.64 EBITDA Margins 20.1% 23.0% -2.9% 21.2% Net Segment Assets 5.60 1.76 218% 4.70 Sales growth driven by industrial machinery and v

  17. Slide 17: 'Others' Segment

    ‘Others’ Segment % ` Billion Q1 FY12 Q1 FY11 FY11 Change Total Net Revenues 1.99 1.20 66% 6.60 --- Exports 1.65 1.12 5.11 EBITDA 0.46 0.35 31% 1.30 EBITDA Margins 23.2% 29.4% -6.2% 19.7% Net Segment Assets 5.68 3.97 43% 5.43 Steady increase in North American & Europe revenues of Integrated Engineeri

  18. Slide 18: Presentation Outline

    Presentation Outline Q1 FY12 Performance Summary Segmental Analysis Performance of Key Subsidiaries Outlook 8th August 2011 18

  19. Slide 19: L&T Infotech

    L&T Infotech % ` Billion Q1 FY12 Q1 FY11 Change Total Income 7.37 5.66 30% Profit After Tax 0.95 0.81 18% PAT Margins 12.9% 14.2% -1.3% Revenue growth mainly from North American markets PAT Margins affected by expiry of STPI Tax benefits 8th August 2011 19

  20. Slide 20: Developmental Projects

    Developmental Projects Roads & Bridges Power  16 projects  5 projects  6677 Lane Km  2828 MW  Proj. Cost: ` 156 Bn  Proj. Cost: ` 211 Bn Ports Metro Rails Urban Infra  3 projects  1 project  12 projects  45 MTPA  71.16 Km  19.2 Million sq.ft  Proj. Cost: ` 57 Bn  Proj. Cost: ` 164 Bn 

  21. Slide 21: Presentation Outline

    Presentation Outline Q1 FY12 Performance Summary Segmental Analysis Performance of Key Subsidiaries Outlook 8th August 2011 21

  22. Slide 22: Factors Affecting Outlook

    FACTORS AFFECTING OUTLOOK Govt. Policy, Economy & Governance Execution Fiscal & Capability Monetary Policy Financial Strength & Investment Business Climate Strategy 8th August 2011 22

  23. Slide 23: Thank You

    Thank You 8th August 2011

  24. Slide 24: Annexure 1: Major Order Inflows in Q1 FY12

    Annexure 1: Major Order Inflows in Q1 FY12 Project Details ` Bn Domestic: Four Laning of 244 km stretch of NH 14 between Beawar & Pindwara, 17.10 Rajasthan for L&T BPP Tollway Private Limited EPC for 1 X 360 MW Gas based Combined Cycle Power Plant at Tamilnadu 14.00 for PPN Power Generating Co. Pvt.

  25. Slide 25: Annexure 2: Details of Other Income

    Annexure 2: Details of Other Income ` Billion Q1 FY12 Q1 FY11 Interest Income 1.36 0.65 Dividend from S&A Companies 0.56 0.49 Income from Other Investments 0.28 0.56 Profit on sale of investments 0.17 0.01 Miscellaneous Income 0.59 0.44 Total - Other Income 2.96 2.15 8th August 2011 25

Larsen & Toubro — Q1 FY12 Earnings Presentation on 6ix