Larsen & Toubro (L&T) shares surged over 4% in intraday trade on Tuesday, February 4, following the company’s announcement of securing a significant order from a steel producer. The stock price rose by 4.14%, reaching ₹3,422.90 per share on the Bombay Stock Exchange (BSE).
The major project involves setting up a pellet and Direct Reduction Iron (DRI) plant in the Middle East & North Africa (MENA) region. This order is part of a larger contract with a leading steel player. The scope of work includes design, engineering, supply, erection, and construction based on globally recognized technologies. L&T’s Minerals & Metals (M&M) business vertical will oversee the project.
Pellets are iron ore concentrates used in steel manufacturing, and DRI is a process to produce steel from iron ore. L&T’s successful execution of complex iron and steel plant projects in the MENA region further reinforces its leadership in the sector, as highlighted by D K Sen, Executive Committee Member at L&T.
L&T’s recent Q3 performance also contributed to investor optimism. The company reported consolidated revenue of ₹64,668 crore, up 17% YoY, and a 14% increase in profit after tax (PAT) to ₹3,359 crore. The company also achieved a record order inflow of ₹116,036 crore during the quarter, marking a 53% growth from the previous year.
