L&T Q4 net profit seen down 2% at Rs 1,880 crore

MUMBAI: Larsen & Toubro will be announcing its fourth quarter results tomorrow. According to ET Now poll, the company is likely to report a dip of 2 per cent in net profit at at Rs 1,880 crore for quarter ended March 2013 as compared to a net profit of Rs 1920 crore in the corresponding quarter, a year ago.

Net sales for the fourth quarter are seen at Rs 20,950 crore, up 13 per cent, as compared to Rs 18,461 crore, in year-ago period.

EBITDA is seen at Rs 2,770 crore, up 8 per cent, from Rs 2,560 crore and margins are seen at 13.2 per cent vs 13.9 per cent.

The company needs Rs 20,455 crore orders to meet lower end guidance, say analysts. The management has guided for Rs 20,000 – 25,000 crore of orders in fourth quarter. L&T has already announced Rs 16,000 crore of orders in Q4.

L&T’s revenues are likely to be boosted by E&C division. Subdued performance is expected from by E&E and heavy engineering division. Higher interest costs are likely to hit margins of the company. Forex loss of overseas loans needs to be watched out, analysts say.