Larsen and Toubro (L&T) shares rose 3% as investors applauded the engineering and construction major’s stellar quarterly numbers and a 57% YoY growth for inflow and share buyback plan.

L&T posted a 47% YoY rise in combined net profit to Rs 2,493 crore for the June quarter. Revenue from operations rose about 34% at Rs 47,882 crore. 

L&T’s combined revenue was expected to rise 14% YoY to Rs 40,813 crore, while net profit grew 24% to Rs 2,110 crore.

At 01:04 pm, shares traded 4.03% higher at Rs 2664.45 on the BSE.

Besides, the company’s board approved a share buyback of Rs 10,000 crore. L&T’s Chief Financial Officer R Shankar Raman does not expect the Securities and Exchange Board of India (SEBI) to deny L&T permission buyback this time.

Adding to it, L&T will complete its buyback has yet to be finalised, and L&T is considering the tentative price of Rs 3,000 per share. Raman also said that once the shareholder’s approval for the buyback is acknowledged, L&T will decide on the buyback date and final price.

Further, the company order inflow on June 30, 2023, was Rs 65,520 crore, recording a growth of 57% over the corresponding quarter of the previous year.

Besides, the company’s board approved investing Rs 506 crore in subsidiary L&T Energy Green Tech, acquiring the 40% stake held by Sapura Nautical Power Pte in their joint venture L&T Sapura Offshore Private Ltd.

L&T has witnessed robust inflow and stellar implementation; CLSA highlighted a ‘buy’ call on the infrastructure major’s stock with a target price of Rs 3,080.