Larsen & Toubro Management Guidance Tracker
48 forward-looking guidance items tracked across 12 quarters.
Growth
Management maintained guidance for 10-12% order inflow growth for the full year, despite strong Q1 performance.
Q3 FY24Order inflow growth of 20%+ for FY24ActiveRevised upward from earlier 12% guidance, driven by strong 9-month inflows and robust prospects pipeline of ₹6.27 trillion.
Q4 FY24Order inflow growth of ~10% in FY25TrackedManagement expects 10% growth in group order inflows over FY24's INR 3 trillion, factoring in H1 softness due to elections and a large base.
Q1 FY25Order inflow growth of 10% for FY25ActiveManagement reaffirmed the 10% order inflow growth guidance for FY25, despite a 10% drop in the prospects pipeline, citing a 22-23% conversion rate.
Q2 FY25Group order inflow growth of 10% for FY25ActiveManagement reaffirmed guidance of 10% growth in consolidated order inflows for FY25, implying ~INR 3.3 lakh crore.
Q3 FY25Order inflow growth to surpass 10% for FY25Active9M FY25 order inflows up 16% YoY; strong Q4 pipeline of INR 5.51 trillion expected to exceed the 10% guidance.
Q4 FY25Order inflow growth of 10% for FY25ActiveManagement reaffirmed the 10% order inflow growth guidance despite a 10% drop in the prospects pipeline, citing a 22-23% conversion rate as achievable.
Q1 FY26Group order inflows growth of 10% for FY26TrackedManagement expects group order inflows to grow 10% year-on-year for the full fiscal year.
Q2 FY26FY26 order inflow growth to exceed 10% guidanceActiveManagement is confident of exceeding the full-year guidance of 10% growth in group order inflows, citing strong H1 momentum and robust prospects pipeline.
Q3 FY26Order inflow guidance to be exceededActive9M order inflow growth of 30% YoY; management expects to exceed the 10% full-year guidance.
Q4 FY26FY27 order inflow growth 10%-12%TrackedGroup order inflows expected to grow 10%-12% in FY27, supported by a prospects pipeline of INR 17.8 trillion.
Q4 FY26Lakshya 2031: 12%-15% revenue CAGR, 16%-17% ROETrackedOver five years, L&T targets order inflow CAGR of 10%-12%, revenue CAGR of 12%-15%, and ROE of 16%-17%.
Revenue
Revenue growth guidance maintained at 12-15% for FY24, with Q1 revenue growth of 34% providing a strong start.
Q2 FY24Order inflow and revenue to outperform initial guidanceActiveManagement expects to exceed the initial FY24 guidance of 10-12% order inflow growth and 12-15% revenue growth, but keeps guidance open-ended due to geopolitical uncertainties.
Q3 FY24Revenue growth in high-teens for FY24ActiveRevised upward from earlier 15% guidance, supported by strong execution momentum and large order book.
Q4 FY24Revenue growth of ~15% in FY25TrackedGuided for 15% revenue growth driven by record order book and healthy execution momentum.
Q1 FY25Group revenue growth of 15% for FY25ActiveManagement reiterated the 15% group revenue growth guidance, with H2 expected to be stronger due to domestic execution ramp-up.
Q2 FY25Group revenue growth of 15% for FY25ActiveRevenue guidance of 15% YoY growth for the group is maintained.
Q3 FY25Revenue growth to exceed 15% for FY25ActiveGroup revenues for 9M FY25 grew 18% YoY; strong order book supports upside to the initial 15% growth guidance.
Q4 FY25Revenue growth of 15% for FY25ActiveGroup revenue growth guidance of 15% maintained, with domestic execution expected to pick up in H2 after a subdued Q1 due to elections and heat.
Q1 FY26Group revenue growth of 15% for FY26TrackedGroup revenues are expected to grow 15% year-on-year for FY26.
Q2 FY26FY26 revenue growth guidance maintained at 15%ActiveGroup revenue growth guidance of 15% for FY26 is maintained, with stronger H2 execution expected.
Q3 FY26FY26 revenue growth guidance of 15% retainedActiveManagement is confident of achieving 15% full-year revenue growth, with Q4 execution ramp-up expected.
Q4 FY26FY27 revenue growth 10%-12%TrackedRevenue growth guided at 10%-12% for FY27, with softer H1 due to supply chain disruptions and recovery in H2.
Margins
Full-year EBITDA margin guidance for projects and manufacturing segment remains at 9%, with first half expected to be subdued due to legacy projects.
Q2 FY24P&M margin guidance revised to 8.5%-9%TrackedProjects & manufacturing EBITDA margin for FY24 is now expected in the range of 8.5%-9%, down from the initial 9% guidance, due to delayed margin recognition on new jobs.
Q2 FY24Margin trajectory to improve from FY25TrackedManagement expects margins in the projects & manufacturing portfolio to improve from the next financial year onwards, as legacy jobs conclude and new jobs ramp up.
Q3 FY24P&M EBITDA margin band of 8.25%-8.5% for FY24ActiveTrimmed from earlier 8.5%-9% band due to postponement of margin recognition on new jobs into FY25.
Q4 FY24P&M margin around 8.25% in FY25TrackedProjects & Manufacturing margin expected to be similar to FY24's 8.25%, with mix and competitive pressures offset by volume growth.
Q1 FY25P&M margin target of 8.2-8.25% for FY25ActiveManagement maintained the P&M margin guidance of 8.2-8.25% for FY25, with Q1 margins at 7.6% (up 20 bps YoY).
Q2 FY25P&M portfolio margin around 8.2-8.25% for FY25ActiveManagement expects P&M EBITDA margin to remain around the FY24 level of 8.2-8.25%.
Q3 FY25P&M EBITDA margin guidance maintained at 8.2% for FY25ActiveDespite 7.6% margin in 9M, management expects Q4 margin to be higher to achieve full-year target.
Q4 FY25P&M margin target of 8.2-8.25% for FY25ActiveProjects & Manufacturing margin guidance maintained; Q1 margins improved 20 bps to 7.6%, with infrastructure margins up 70 bps.
Q1 FY26P&M margin target of 8.3%-8.5% for FY26TrackedProducts and manufacturing portfolio EBITDA margin is targeted in the 8.3%-8.5% range for the full year.
Q2 FY26FY26 P&M EBITDA margin target of 8.5%ActiveManagement is reasonably confident of achieving the full-year P&M EBITDA margin target of 8.5%, with H1 margin at 8.4% and H2 execution pickup expected.
Q3 FY26Projects & manufacturing margin target of 8.5% for FY26Active9M PM margin at 7.9% is in line with the full-year target of 8.5%, despite hydrocarbon margin softness.
Q4 FY26FY27 PP&M margin stable at 7.8%TrackedProjects, Products & Manufacturing segment margin expected to remain stable at 7.8% in FY27.
Other
Net working capital to revenue guidance maintained at 16-18% for the current year.
Q2 FY24NWC to sales ratio guidance unchanged at 16%-18%ActiveNet working capital to revenue ratio for FY24 is expected to remain in the 16%-18% range, supported by continued focus on collections.
Q3 FY24NWC to sales ratio around 16.6% (±30bps) for FY24ActiveRevised from 16%-18% band, reflecting sustained working capital discipline.
Q4 FY24NWC to revenue at ~15% in FY25TrackedWorking capital intensity expected to increase from 12% to 15% as legacy collections normalize.
Q2 FY25Net working capital to revenue target of ~15% by March 2025ActiveNWC/sales ratio expected to be around 15% as of March 2025, improved from 16.7% in Sep 2023.
Q3 FY25Net working capital to revenue to remain around 12.7% by March 2025ActiveImproved from 16.6% in Dec 2023; management expects to sustain this level, better than the earlier 15% guidance.
Q1 FY26Net working capital to revenue guidance of 12% for March 2026TrackedNet working capital to revenue ratio is expected to be 12% as of March 2026.
Q2 FY26FY26 working capital guidance unchanged at ~12%ActiveNet working capital to revenue ratio is expected to be around 12% by March 2026, unchanged from prior guidance.
Q3 FY26Revised net working capital to sales target of ~10% for FY26ActiveImproved to 8.2% in Dec 2025; revised target from 12% to ~10% by March 2026.