Engineering major larsen & Toubro (l&T) on Saturday reported a 27.13 per cent decline in net profit for the March quarter to Rs2,069.64 crore due to slowdown in execution of projects. The company had clocked Rs2,840.40 crore net profit in the January-March quarter of 2013-14. The company's net sales grew 3.69 per cent to Rs28,022.62 crore during the quarter from Rs27,024.14 crore in FY14. Total expenditure rose by 8.70 per cent to Rs25,001.22 crore during the March quarter as against Rs22,999.45 crore in the corresponding quarter of the previous fiscal.
“The decline in revenues need not necessarily be due to slowdown in execution from our side, but they could be because of the bottlenecks. The start and stop of various projects due to constraint in land, liquidity challenges as many of our customers are restructuring their balance sheets, could be some of the reasons for delays in execution,” Group Executive Chairman AM Naik said.
