Larsen & Toubro (L&T), India's leading engineering and construction conglomerate, has announced a significant change in its top management structure. The company's Board of Directors has approved the elevation of Subramanian Sarma to the position of Deputy Managing Director & President, effective April 2, 2025.

Key Highlights

• Subramanian Sarma promoted to Deputy Managing Director & President
• Sarma's term extended until February 3, 2028, subject to shareholders' approval
• L&T aims to accelerate growth and strengthen its leadership team

Leadership Transition

Mr. Sarma, a seasoned professional with over 40 years of experience in the oil and gas industry, has been instrumental in transforming L&T's Hydrocarbon and Energy businesses. His elevation signifies the company's confidence in his leadership abilities and vision for future growth.

S.N. Subrahmanyan, Chairman & Managing Director of L&T, expressed his confidence in Sarma's capabilities, stating, "Mr. Sarma has been instrumental in transforming our Hydrocarbon and Energy businesses, driving innovation, operational excellence, and global competitiveness. His elevation is well deserved, and I am confident that his leadership will further strengthen L&T's growth trajectory."

Sarma's Track Record

Under Sarma's leadership, L&T's Energy portfolio has emerged as one of the leading EPC contractors globally. Notable achievements include:

• Record financial results in the Energy sector
• Ranking among the top 3 EPC contractors in the Oil & Gas Sector (Middle East) for four consecutive years

Additional Board Appointments

In addition to Sarma's elevation, the L&T Board has also approved:

• Re-appointment of S.V. Desai as Whole-time Director from July 11, 2025, to July 4, 2030
• Re-appointment of T. Madhava Das as Whole-time Director for a five-year term effective July 11, 2025

These appointments are subject to shareholder approval at the upcoming Annual General Meeting.

Strategic Moves

L&T's decision to strengthen its leadership team comes at a time when the company is focusing on accelerating growth across its diverse portfolio. The company's resilient business model, strategic diversification, and commitment to innovation position it for sustained profitable growth in infrastructure, energy, industrial solutions, and services.

Financial Outlook

In a separate announcement, L&T's Board of Directors has approved long-term borrowings of up to ₹12,000.00 crore. This financial move is expected to support the company's growth initiatives and expansion plans.

Recent Business Wins

Demonstrating its continued market leadership, L&T's Buildings & Factories vertical has secured a large order from the Brigade Group for constructing residential and commercial towers in Hyderabad and Chennai. This project, which includes one of the tallest buildings in Hyderabad, marks the largest residential project the business has received from a private customer to date.

As L&T pushes forward with its growth strategy, the elevation of Subramanian Sarma and the recent business wins signal the company's strong positioning in the engineering and construction sector.

Larsen & Toubro (L&T), India's leading engineering and construction conglomerate, has clinched significant contracts, further solidifying its position in the industry. The company announced that its Buildings & Factories vertical has been awarded orders valued between ₹2,500.00 crore to ₹5,000.00 crore from Brigade Group for constructing residential and commercial towers in Hyderabad and Chennai.

Contract Details

The newly secured contracts involve several major projects:

• Brigade Gateway Residences
• Brigade World Trade Centre
• Brigade Altius
• Brigade Morgan Heights

These projects span across two major South Indian cities, Hyderabad and Chennai, showcasing L&T's strong presence and capabilities in the region.

Implications for L&T

This latest win is expected to bolster L&T's already robust order book. The contracts, valued at ₹2,500.00-5,000.00 crore, represent a significant addition to the company's project pipeline. Such large-scale projects not only contribute to the company's revenue streams but also showcase L&T's continued ability to secure major contracts in a competitive market.

Financial Impact

While the exact financial implications are yet to be determined, the contracts' value range suggests a substantial boost to L&T's future revenue. The company's performance in executing these projects will likely be closely monitored by investors and industry analysts alike.

Industry Position

The acquisition of these contracts further cements L&T's standing as a key player in the engineering and construction sector. It demonstrates the company's continued appeal to major real estate developers like Brigade Group for large-scale projects, likely due to its track record of executing complex assignments across various sectors.

Looking Ahead

As L&T moves forward with these new projects, stakeholders will be keen to observe their execution and the potential impact on the company's financial performance in the coming quarters. The securing of these large contracts underscores L&T's ongoing strategy of pursuing high-value projects to drive growth and maintain its leadership position in the industry.

Key Points