Pvt Capex Now Substantial in Order Book: L&T Chief

Subrahmanyan says firm's order book is worth 2.5-3 years of sales

- DEV CHATTERJEE & VISHAL CHHABRIA

Larsen & Toubro (L&T), India's largest engineering and construction company, is entering a "highly exciting phase," Chairman and Managing Director S N Subrahmanyan said, citing record orders, reviving private sector capex, and a market value nearing $100 billion.

"We are in a positive atmosphere," Subrahmanyan said in an interview. "Barring any black swan events, with the government enabling reforms like goods and services tax (GST) rationalisation and private-sector capex reviving, the Indian economy is poised for strong growth — and so is L&T."

Subrahmanyan L&T's order backlog (order book) of over ₹6 trillion is equivalent to 2.5-3 years of sales. "These are quality contracts from credible clients, and this gives us the confidence to execute well and be selective about the projects we take on."