L&T PROFIT GROWTH SLIPS ON RISING INPPT COSTS, GLOBAL CREDIT TURMOIL

摘要

Rising input costs, slowdown in industrial growth, worsening macro-economic environment and turmoil in global financial, markets seen to be catching up with Larsen & Toubro, India's largest engineering and construction company. During the quarter ended March 2008, the company reported 38 percent year-on-year growth in net profit on stand alone basis, much lower than the 72 percent growth vfsible during the first nine months of 2007-08. The growth in net sales during the same period slowed down to around 36 percent against 47 percent growth recorded during April-December 2007. That the demand environment is getting tougher was partly visible in the five fold jump in inventories to a record 3 percent of its revenues in March 2008 quarter against a decline in inventory during the same quarter last year.