L&T's Construction Arm Bags Order to Build Cricket Stadium in Varanasi

Larsen & Toubro's construction division has achieved remarkable milestones with two significant contracts, reflecting their commitment to excellence and global growth.

Cricket Stadium Marvel

L&T has won a prestigious contract from the Uttar Pradesh Cricket Association to construct a modern cricket stadium in Varanasi. The stadium will accommodate an impressive 30,000 spectators and The project involves building the main cricket ground according to International Cricket Council (ICC) standards. This includes setting up a big scoreboard, powerful floodlights, special corporate boxes, VIP lounges, office spaces, modern broadcasting facilities, areas for press conferences, a kitchen, and large dining spaces. A practice ground will also be included. The entire area being developed is 30.67 acres. While the exact project cost hasn't been shared, it falls within the range of 'significant' orders, which typically range from ₹1,000 crore to ₹2,500 crore.

Futuristic IT Parks

L&T is also making waves on the international stage with a contract from the Bangladesh Hi-Tech Park Authority. Their task involves constructing advanced IT parks at four different spots in Bangladesh. The funding for this ambitious project comes from the Export-Import Bank (EXIM Bank). 

The buildings, featuring seven stories each, will be erected in Cox’s Bazar, Chattogram, Cumilla, and Sylhet districts. L&T's responsibilities extend beyond construction – they will also set up crucial systems like cooling and ventilation, elevators, fire safety measures, plumbing, networking, security, and building management systems.

These ventures underline L&T's dedication to excellence, innovation, and global collaboration. The cricket stadium and IT parks are set to become landmarks, showcasing L&T's ability to bring dreams to life through construction.

Previous Order

Previously Larsen and Toubro (L&T) had won the bid for the construction and system procurement of the Hyderabad Airport Metro project, which aims to connect Mindspace Junction to Rajiv Gandhi International Airport (RGIA) at Shamshabad. This will make travel much faster for people.

In May 2023, the Hyderabad Airport Metro Limited (HAML) invited companies to bid for the project. After reviewing the bids, L&T and NCC were the only ones left competing, and L&T's bid was chosen.

The project is being funded by the state government. It involves building various things like bridges, underground structures, stations, tracks, and electrical and mechanical systems. The metro line will be 31 kilometers long in total, with most of it running above the ground (29.3 km) and a small section (1.7 km) running underground. There will be nine stations, including one underground near the airport terminal. They are also thinking about adding four more stations.

The decision on the contract was made by a group of experts, and their recommendation will now go to the Telangana state government. 

In response to the news, the stock price of L&T was trading at ₹2659.20, reflecting a 0.78% increase from Friday's closing. The share price of L&T has yielded a positive return of 27% year-to-date.

L&T Q1 Results: 

Larsen and Toubro (L&T), a prominent engineering and construction major, announced a consolidated net profit of ₹2,493 crore for the quarter ended June 2023. This reflects a substantial increase of 46.5% compared to the profit of ₹1,702.07 crore recorded in the same quarter of the previous year.

The company's revenue from operations during the quarter amounted to ₹47,882 crore, indicating a notable growth rate of 33.6% from the figure of ₹35,853 crore reported in the corresponding period a year ago. 

During the mentioned quarter, L&T's international revenues constituted 40% of the total. The company also revealed that its order inflow for the quarter ending June 30, 2023, reached ₹65,520 crore, marking a substantial growth of 57% when compared to the corresponding quarter of the previous year. Notably, international orders accounted for ₹27,646 crore, which comprised 42%t of the total order inflow.

As of June 30, 2023, the consolidated order book of the L&T Group stood at ₹412,648 crore. Notably, international orders contributed to 29% of the total order book. It's important to emphasize that these financial statistics demonstrate the company's strong performance and its increasing presence in the international market.