- 17 Apr 2023
- ICICIdirect Research
L&T WINS ORDER TO BUILD PROTOTYPE OF LIGHT TANK FOR SINO-INDIA BORDER
LT - 3573 Change: 6.10 (0.17 %)News: With the Indian Army on a major drive to equip itself adequately on the Sino-Indian border, the Defence Research & Development Organisation (DRDO) and L&T have joined hands to develop an indigenous light tank that is optimised for the extreme cold and high altitude of Ladakh and Arunachal Pradesh. Having co-designed an indigenous, 25-tonne, light tank, DRDO has placed a development order on L&T to build the first prototype. The light tank will have a hull, that will house an 800 horsepower (HP) engine optimised for high altitudes. The engine will be provided by German firm MTU, which is a subsidiary of Rolls Royce
Views: L&T's total ordering prospects/pipeline for Q4FY23E was at Rs 487000 crore, comprising Rs 382000 crore of domestic and Rs 105000 crore of international pipeline. With a strong order inflow of Rs 154429 crore for 9MFY23 with order backlog of Rs 386588 crore and improving margins we are expecting L&T will achieve revenues and EBITDA CAGR of 15.1% and 16.6%, respectively, in FY22-25E
Impact: Positive