L&T Finance Limited announced strong financial performance for the quarter and nine months ended December 31, 2025, demonstrating robust growth across key metrics. The non-banking financial company reported significant improvements in profitability and operational efficiency during the reporting period.

Strong Quarterly Performance

The company delivered impressive results for Q3FY26, with consolidated net profit attributable to owners increasing substantially compared to the previous year. Revenue from operations also showed healthy growth, reflecting the company's expanding business operations.

Nine-Month Financial Highlights

For the nine months ended December 31, 2025, L&T Finance maintained its growth trajectory with consistent performance improvements across all major financial parameters.

Exceptional Items Impact

The company reported exceptional items of ₹28.51 crores during the quarter and nine months ended December 31, 2025, related to the implementation of new labour codes. The Government of India consolidated 29 existing labour regulations into four Labour codes effective November 21, 2025, resulting in a one-time material increase in provision for employee benefits. The net impact after tax was ₹21.33 crores.

Earnings Per Share Performance

L&T Finance demonstrated strong earnings per share growth during the reporting period:

• Q3FY26 Basic EPS: ₹2.95 (not annualized) vs ₹2.51 in Q3FY25
• Q3FY26 Diluted EPS: ₹2.94 (not annualized) vs ₹2.50 in Q3FY25
• Nine-month Basic EPS: ₹8.70 (not annualized) vs ₹8.06 in 9M FY25
• Nine-month Diluted EPS: ₹8.67 (not annualized) vs ₹8.03 in 9M FY25

Business Expansion and Acquisitions

During the reporting period, L&T Finance strengthened its market position through strategic acquisitions. On June 9, 2025, the company acquired the gold loan business of Paul Merchants Finance Private Limited for a total consideration of approximately ₹711 crores through a slump sale on a going concern basis.

Regulatory Compliance and Share Capital

The company maintained strong regulatory compliance and continued its employee stock option programs. During Q3FY26, L&T Finance allotted 27,57,685 equity shares of ₹10 each on exercise of options by employees. For the nine months ended December 31, 2025, the company allotted 77,59,525 equity shares under its Employee Stock Option Schemes.

The financial results were reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on January 16, 2026. The joint statutory auditors conducted a limited review of the results and issued an unmodified report.

L&T has announced securing a major contract worth between ₹25 billion to ₹50 billion, marking a significant business development for the engineering and construction conglomerate.

Contract Details

The contract value positions this deal as a substantial addition to L&T's order book. The range specification indicates the contract's significant scale and potential impact on the company's business operations.

Business Impact

This contract win represents a notable achievement for L&T in securing large-scale projects. The substantial value range demonstrates the company's capability to compete for and win major contracts in its operational sectors.

The contract falls within L&T's large contract category, which typically encompasses projects with significant scope and duration. Such contracts often contribute meaningfully to the company's revenue pipeline and business growth trajectory.