LARSEN & TOUBRO LIMITED Registered Office: L&T House, Ballard Estate, Mumbai CIN : L99999MH1946PLC004768

Transcription

1 1 Income: a) Income from operations b) Other income Total Income Expenses: a) Manufacturing, construction and operating expenses: i) Consumption of raw materials, components and stores, spares & tools ii) Sub-contracting charges iii) Construction materials consumed iv) Purchases of stock-in-trade v) Changes in inventories of finished goods, work-in-progress and stock-in-trade vi) Other manufacturing, construction and operating expenses b) Employee benefits expense c) Sales, administration and other expenses d) Finance costs e) Depreciation, amortisation, impairment and obsolescence Total Expenses Profit before exceptional items (1-2) Exceptional items (961.08) - (77.30) Profit before tax (3+4) Tax expense: a) Current tax b) Deferred tax (298.26) (46.82) (177.70) (371.10) (273.97) Total tax expense Net profit after tax (5-6) (PAT) Other Comprehensive Income (OCI) Total Comprehensive Income [7+8] Paid-up equity share capital (face value of share: ` 2 each) Other equity Earnings per share (EPS) of ` 2 each (Not annualised): (a) Basic EPS (`) (b) Diluted EPS (`) See accompanying notes to the financial results LARSEN & TOUBRO LIMITED Registered Office: L&T House, Ballard Estate, CIN : L99999MH1946PLC STATEMENT OF AUDITED STANDALONE FINANCIAL RESULTS FOR THE YEAR ENDED MARCH 31, 2017 Notes : (i) The above results are in compliance with Indian Accounting Standards (Ind AS) notified by the Ministry of Corporate Affairs. The results for the previous periods have been restated as per Ind AS and are comparable on like to like basis. (ii) Statement of reconciliation of net PAT under Ind AS and net PAT reported under Indian GAAP (IGAAP) for the previous periods: Net PAT reconciliation Sr. No. March 31, 2016 March 31, 2016 Net Profit after tax as per IGAAP Provision for expected credit loss (93.37) (302.06) 2 Provision for employee benefits based on constructive obligations (92.28) (25.85) 3 Loss on fair valuation of investments (42.21) (71.46) 4 Increase in borrowing cost pursuant to application of Effective Interest Rate method (5.91) (24.57) 5 Reclassification of net actuarial loss on employee defined benefit obligations to OCI Others 3.72 (23.78) 7 Deferred and current taxes Net Profit after tax (before Other Comprehensive Income) as per Ind AS (iii) Sr. No. April 1, 2015 Equity as per IGAAP Provision for expected credit loss (785.56) (483.50) 2 Provision for employee benefits based on constructive obligations (379.07) (353.22) 3 Gain on fair valuation of investments Increase in borrowing cost pursuant to application of Effective Interest Rate method (53.91) (29.34) 5 Reversal of Dividend & Dividend distribution tax Equity component of other financial instruments (FCCB) Others Deferred and current taxes Equity as per Ind AS (iv) Exceptional items during the quarter ended March 31, 2017 represent impairment of investment in a joint venture company and loss on sale of stake in a subsidiary company. (v) (vi) Statement of reconciliation of Equity under Ind AS and Equity reported under Indian GAAP (IGAAP) as at: March 31, 2016 The Board of Directors has recommended for the approval of shareholders, the issue of bonus equity shares in the ratio of 1:2 [one bonus equity share of ` 2 each for every two equity shares of ` 2 each held]. The Board of Directors has recommended a dividend of ` per equity share on the pre-bonus share capital. The bonus shares qualify for dividend. The post-bonus dividend per share works out to ` per share.

2 (vii) During the quarter ended March 31, 2017, the Company has allotted 2,88,859 equity shares of ` 2 each fully paid-up on exercise of stock options by employees, in accordance with the Company's stock option schemes. (viii) Statement of assets and liabilities as per regulation 33(3)(f) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with SEBI circular dated July 5, 2016: ASSETS: Non-current assets Property, plant and equipment Capital work-in-progress Investment property Intangible assets Intangible assets under development Financial assets: Investments Loans Other financial assets Deferred tax assets (net) (95.97) Other non-current assets Sub-total - Non-current assets Current assets Inventories Financial assets: Investments Trade receivables Cash and cash equivalents Other bank balances Loans Other financial assets Other current assets Sub-total - Current assets Group of assets classified as held for sale EQUITY AND LIABILITIES: TOTAL ASSETS EQUITY Equity share capital Other equity Sub-total - Equity LIABILITIES Non-current liabilities Financial liabilities: Borrowings Other financial liabilities Provisions Other non-current liabilities Sub-total - Non-current liabilities Current liabilities Financial liabilities: Borrowings Current maturities of long term borrowings Trade payables Other financial liabilities Other current liabilities Provisions Current tax liabilities Sub-total - Current liabilities Liabilities associated with the group of assets classified as held for sale TOTAL EQUITY AND LIABILITIES

3 (ix) Additional disclosures as per regulation 52(4) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015: Sr. No. 1 Debt-equity ratio [no.of times]* March 31, 2017 March 31, i) Previous due date for the payment of Interest of Non Convertible Debentures (NCDs) a) 9.15% NCDs (Issued on 5th January 2009) b) 8.80% NCDs (Issued on 13th April 2010) c) 9.15% NCDs (Issued on 11th May 2010) d) 8.95% NCDs (Issued on 26th May 2010) e) 9.75% NCDs (Issued on 10th April 2012) f) 9.20% NCDs (issued on 21st August 2014) g) 9.20% NCDs (issued on 21st August 2014) h) 9.15% NCDs (Issued on 22nd August 2014) i) 8.40% NCDs (issued on 24th September 2015) j) 8.42% NCDs (Issued on 11th December 2014) k) 7.80% NCDs (Issued on 2nd February 2015) ii) Whether interest has been paid on due dates 3 i) Previous due date for the repayment of Principal of NCDs a) 8.42% NCDs (issued on 11th December 2014) b) 7.80% NCDs (issued on 2nd February 2015) c) 9.20% NCDs (issued on 21st August 2014) d) 9.20% NCDs (issued on 21st August 2014) e) 9.15% NCDs (Issued on 22nd August 2014) Amount ii) Whether principal has been repaid on due dates 4 Next due date and amount for the payment of Interest of NCDs Amount Date Amount Date a) 9.15% NCDs (issued on 5th Jan 2009) b) 8.80% NCDs (issued on 13th April 2010) c) 9.15% NCDs (issued on 11th May 2010) d) 8.95% NCDs (issued on 26th May 2010) e) 9.75% NCDs (issued on 10th April 2012) f) 9.20% NCDs (issued on 21st August 2014) g) 9.20% NCDs (issued on 21st August 2014) h) 9.15% NCDs (issued on 22nd August 2014) i) 8.40% NCDs (issued on 24th September 2015) Next due date and amount for the repayment of Principal of NCDs Amount Date Amount Date a) 9.20% NCDs (issued on 21st August 2014) b) 9.20% NCDs (issued on 21st August 2014) c) 9.15% NCDs (issued on 22nd August 2014) Debt service coverage ratio (DSCR) [no.of times]** (principal repayments during the year ended March 31, Rs crore; principal repayments during the year ended March 31, Rs crore) For the year ended March 31, 2017 For the year ended March 31, Interest service coverage ratio (ISCR) [no.of times]*** 8 Debenture Redemption Reserve 9 Net worth^ 10 Total Borrowings March 31, 2017 March 31, The Non-convertible debentures issued by the Company are rated CRISIL AAA (Stable) and ICRA AAA (Stable). 12 The Company continues to maintain 100% asset cover for the Non-convertible debentures issued by it. * Debt-Equity Ratio = Debt divided by Equity ** DSCR = [Profit before interest and exceptional items divided by (Interest expense together with principal repayments of long-term debt during the year)] *** ISCR = [Profit before interest and exceptional items divided by interest expense] ^ Net worth = Paid up share capital and other equity (x) (xi) (xii) The figures for the quarter ended March 31, 2017 and March 31, 2016 are the balancing figures between audited figures in respect of the full financial year and the limited reviewed year-to-date published figures upto the quarter ended December 31, 2016 and December 31, 2015 respectively. Figures for the previous periods have been regrouped / re-classified to conform to the figures of the current periods. The above results have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on.

4 Audited Standalone Segment-wise Revenue, Result, Total assets and Total liabilities in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015: Gross Segment revenue 1 Infrastructure Power Heavy Engineering Electrical & Automation Others Total Less : Inter-segment revenue Net segment revenue Segment result (Profit/(Loss) before interest and tax) 1 Infrastructure Power (33.56) Heavy Engineering (16.56) (98.48) 4 Electrical & Automation Others Total Less : Inter-segment margins on capital jobs Less : Interest expenses Add : Unallocable corporate income net of expenditure (867.96) Profit before tax Segment assets 1 Infrastructure Power Heavy Engineering Electrical & Automation Others Total segment assets Less : Inter segment assets Add : Unallocable corporate assets Total assets Segment liabilities 1 Infrastructure Power Heavy Engineering Electrical & Automation Others Total segment liabilities Less : Inter segment liabilities Add : Unallocable corporate liabilities Total liabilities Notes: (i) (ii) (iii) (iv) The Company has reported segment information as per Indian Accounting Standard 108 "Operating Segments" (Ind AS 108) read with SEBI circular dated July 5, The identification of operating segments is consistent with performance assessment and resource allocation by the management. Segment composition: Infrastructure segment comprises engineering and construction of building and factories, transportation infrastructure, heavy civil infrastructure, power transmission & distribution, water & effluent treatment and smart world & communication projects. Power segment comprises turnkey solutions for Coal-based and Gas-based thermal power plants including power generation equipment with associated systems and/or balance-of-plant packages. Heavy Engineering segment comprises manufacture and supply of custom designed, engineered critical equipment & systems to core sector industries like Fertiliser, Refinery, Petrochemical, Chemical, Oil & Gas, Thermal & Nuclear Power, Aerospace and Defence. Electrical & Automation segment comprises manufacture and sale of low and medium voltage switchgear components, custom built low and medium voltage switchboards, electronic energy meters/protection (relays) systems and control & automation products. Based on internal organisational restructuring and the threshold for reportable segment, Metallurgical & Material Handling systems segment which was hitherto voluntarily reported as a separate reportable segment has been reclassified and reported under "Others" segment. Accordingly, Others segment includes Metallurgical & Material Handling systems, Realty, Shipbuilding, marketing and servicing of construction & mining machinery and parts thereof, manufacture and sale of rubber processing machinery and castings (upto the date of sale). Unallocable income primarily includes interest income, dividends and profit on sale of investments. Unallocable expenditure mainly includes corporate expenses not allocated to segments. Corporate assets mainly comprise investments. Corporate liabilities mainly comprise borrowings. In respect of majority of the segments for the Company, sales and margins do not accrue uniformly during the year. Hence, the operational/financial performance of aforesaid segments can be discerned only on the basis of figures for the full year. A. M. NAIK

5 1 Income : a) Income from operations b) Other income Total Income (a + b) Expenses: a) ii) Sub-contracting charges iii) Construction materials consumed iv) Purchases of stock-in-trade v) Changes in inventories of finished goods, work-in-progress and stock-in-trade (859.00) (514.86) vi) Other manufacturing, construction and operating expenses b) Finance cost of financial services business and finance lease activity c) Employee benefits expense d) Sales, administration and other expenses e) Finance costs f) Depreciation, amortisation, impairment and obsolescence Total Expenses Profit before exceptional items (1-2) Exceptional items (281.00) Profit before tax (3+4) Tax expense: a) Current tax b) Deferred tax (526.79) (267.44) (187.23) (827.76) (380.73) c) Additional tax on dividend distributed by subsidiaries (141.96) (141.96) Total tax expense Net Profit after tax (5-6) Share in profit/(loss) of joint ventures / associates (net) (148.41) (332.77) (395.27) (990.16) 9 Net Profit after tax and share in profit/(loss) of joint ventures / associates (7+8) (PAT) Attributable to: a) Owners of the Company b) Non controlling interest Other comprehensive income (OCI) (165.98) Total comprehensive income (9+10) Attributable to: a) Owners of the Company b) Non controlling interest Paid-up equity share capital (face value of share: ` 2 each) Other Equity attributable to owners of the Company Earnings per share (EPS) of ` 2 each (Not annualised): Notes : (i) (ii) (a) Basic EPS (`) (b) Diluted EPS (`) See accompanying notes to the financial results Manufacturing, construction and operating expenses: i) Consumption of raw materials, components and stores, spares & tools LARSEN & TOUBRO LIMITED Registered Office: L&T House, Ballard Estate, CIN : L99999MH1946PLC STATEMENT OF AUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE YEAR ENDED MARCH 31, 2017 The above results are in compliance with Indian Accounting Standards (Ind AS) notified by the Ministry of Corporate Affairs. The results for the previous periods have been restated as per Ind AS and are comparable on like to like basis. Statement of reconciliation of net PAT under Ind AS and net PAT reported under Indian GAAP (IGAAP) for the previous periods: Net PAT reconciliation Year Ended Sr. No. March 31, 2016 March 31, 2016 Net profit after tax as per IGAAP Reversal of provision for expected credit loss Gain on divestment of stake in subsidiary directly taken to other equity - (263.88) 3 Provision for employee benefits based on constructive obligations (115.53) (37.44) 4 Loss on fair valuation of investments (85.27) (147.22) 5 Increase in borrowing cost pursuant to application of Effective Interest Rate method (11.36) (88.42) 6 Reclassification of net actuarial (gain)/loss on employee defined benefit obligations to other comprehensive income Increase in borrowing cost due to initial fair valuation of long term financial liabilities (87.94) (304.74) 8 Others Deferred and current taxes (36.87) (8.17) 10 Additional Tax on dividend distributed by subsidiaries (46.19) (46.19) Net profit after tax (before other comprehensive income) as per Ind AS (refer 9 (a) above) (147.12) (iii) Statement of reconciliation of Equity under Ind AS and Equity reported under Indian GAAP (IGAAP): Sr. No March 31, 2016 April 1, 2015 Equity as per IGAAP Provision for expected credit loss ( ) ( ) 2 Provision for employee benefits based on constructive obligations (488.31) (450.87) 3 Gain on fair valuation of investments Increase in borrowing cost pursuant to application of Effective Interest Rate method (182.30) (122.67) 5 Increase in borrowing cost due to initial fair valuation of long term financial liabilities (380.56) (75.82) 6 Equity component of other financial instruments (FCCB) Reversal of Dividend & Dividend Distribution Tax Others (68.75) 9 Deferred and current taxes (121.67) (146.36) 10 Additional Tax on dividend distributed by subsidiaries (274.10) (227.93) Equity as per Ind AS (attibutable to owners of the Company) (iv) The Board of Directors has recommended for the approval of shareholders, the issue of bonus equity shares in the ratio of 1:2 [one bonus equity share of ` 2 each for every two equity shares of ` 2 each held]. (v) The Board of Directors has recommended a dividend of ` per equity share on the pre-bonus share capital. The bonus shares qualify for dividend. The post-bonus dividend per share works out to ` per share.

6 (vi) Statement of assets and liabilities as per regulation 33(3)(f) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with SEBI circular dated July 5, 2016: ASSETS Non-current assets Property, plant and equipment Capital work- in- progress Investment property Goodwill Other intangible assets Intangible assets under development Financial Assets Investments in Joint Ventures and Associates Other Investments Loans Loans towards financing activities Other financial assets Deferred tax assets (net) Non current assets for current tax (net) Other non current assets Sub-total - Non-Current assets Current assets Inventories Financial assets Investments Trade & other receivables Cash and cash equivalents Other bank balances Loans Loans towards financing activities Other financial assets Other current assets Sub-total - current assets Group(s) of assets classified as held for sale TOTAL ASSETS EQUITY AND LIABILITIES: EQUITY Equity share capital Other Equity Equity attributable to owners of the company Non Controlling Interest Sub-total - Equity LIABILITIES Non-current liabilities Financial Liabilities Borrowings Other financial liabilities Provisions Deferred tax Liabilities (net) Other non current liabilities Sub-total - Non-Current liabilities Current liabilities Financial Liabilities Borrowings Current maturities of long term borrowings Trade payables Other financials liabilities Other current liabilities Provisions Current tax liabilities Sub-total - Current liabilities Liabilities associated with group(s) of assets classified as held for sale TOTAL EQUITY AND LIABILITIES (vii) The Company reports consolidated financial results on quarterly basis, pursuant to the option made available as per Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, The standalone financial results are available on the Company's website viz. and on the websites of BSE ( and NSE ( The specified items of the standalone financial results of the Company for the quarter and year ended March 31, 2017 are given below: Income from Operations Profit before tax Net Profit after tax (viii) Exceptional item during the quarter ended March 31, 2017 represents impairment of investment in a joint venture company. (ix) During the quarter ended March 31, 2017, the Company has allotted 2,88,859 equity shares of ` 2 each fully paid-up on exercise of stock options by employees, in accordance with the Company's stock option schemes. (x) The figures for the quarter ended March 31, 2017 and March 31, 2016 are the balancing figures between audited figures in respect of the full financial year and the limited reviewed year-to-date published figures upto the quarter ended December 31, 2016 and December 31, 2015 respectively. (xi) Figures for the previous periods have been re-grouped/re-classified to conform to the figures of the current periods. (xii) The above results have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on.

7 Audited Consolidated Segment-wise Revenue, Result, Total Assets and Total Liabilities in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015: Gross segment revenue 1 Infrastructure Power Heavy Engineering Electrical & Automation Hydrocarbon IT & Technology Services Financial Services Developmental Projects Others Total Less : Inter-segment revenue Net segment revenue Segment result [Profit/(Loss) before interest and tax] 1 Infrastructure Power (33.56) Heavy Engineering (4.24) (97.47) 4 Electrical & Automation Hydrocarbon (88.76) (95.28) 6 IT & Technology Services Financial Services (52.80) Developmental Projects (62.65) (109.95) Others Total Less : Inter-segment margins on capital jobs Less : Interest expenses Add : Unallocable corporate income net of expenditure (247.58) Profit before tax Segment assets 1 Infrastructure Power Heavy Engineering Electrical & Automation Hydrocarbon IT & Technology Services Financial Services Developmental Projects Others Total segment assets Less: Inter Segment assets Add: Unallocable corporate assets Total assets Segment liabilities 1 Infrastructure Power Heavy Engineering Electrical & Automation Hydrocarbon IT & Technology Services Financial Services Developmental Projects Others Total segment liabilities Less: Inter Segment liabilities Add: Unallocable corporate liabilities Total liabilities Notes: (I) (II) The Company has reported segment information as per Indian Accounting Standard 108 "Operating Segments" (Ind AS 108) read with SEBI s circular dated July 5, The identification of operating segments is consistent with performance assessment and resource allocation by the management. Segment composition: Infrastructure segment comprises engineering and construction of building and factories, transportation infrastructure, heavy civil infrastructure, power transmission & distribution, water & effluent treatment and smart world & communication projects. Power segment comprises turnkey solutions for Coal-based and Gas-based thermal power plants including power generation equipment with associated systems and / or balance-of-plant packages. Heavy Engineering segment comprises manufacture and supply of custom designed, engineered critical equipment & systems to core sector industries like Fertiliser, Refinery, Petrochemical, Chemical, Oil & Gas, Thermal & Nuclear Power, Aerospace and Defence. Electrical & Automation segment comprises manufacture and sale of low and medium voltage switchgear components, custom built low and medium voltage switchboards, electronic energy meters/protection (relays) systems and control & automation products. Hydrocarbon segment comprises complete EPC solutions for the global Oil & Gas Industry from front-end design through detailed engineering, modular fabrication, procurement, project management, construction, installation and commissioning. IT & Technology Services segment comprises information technology and integrated engineering services. Financial Services segment comprises retail and corporate finance, housing finance, infrastructure finance, general insurance (upto the date of sale), asset management of mutual fund schemes and related advisory services. Developmental Projects segment comprises development, operation and maintenance of basic infrastructure projects, toll and fare collection, power development, development and operation of port facilities and providing related advisory services. Based on internal organisational restructuring and the threshold for reportable segment, Metallurgical & Material Handling systems segment which was hitherto voluntarily reported as a separate reportable segment has been reclassified and reported under "Others" segment. Accordingly, Others segment includes metallurgical & material handling systems, realty, shipbuilding, manufacture and sale of industrial valves, welding and cutting equipment, manufacture, marketing and servicing of construction equipment and parts thereof, marketing and servicing of mining machinery and parts thereof, manufacture and sale of rubber processing machinery, castings (upto the date of sale), mining and aviation. (III) (IV) Segment revenue comprises sales & operational income allocable specifically to a segment including profit on sale of stake in the subsidiary and/or joint venture companies under developmental projects segment and realty business grouped under "Others" segment. Unallocable income primarily includes interest income, dividends and profit on sale of investments. Unallocable expenditure mainly includes corporate expenses not allocated to segments. Corporate assets mainly comprise investments. Corporate liabilities mainly comprise borrowings. In respect of majority of the segments for the Company, sales and margins do not accrue uniformly during the year. Hence, the operational/financial performance of aforesaid segments can be discerned only on the basis of figures for the full year.