Larsen & Toubro CFO on India Election Impact, Private Sector

The transcript discusses Lawson and Toubro's financial performance, highlighting a 19% increase in their order book. Despite this growth, the company anticipates lower order flow growth due to the election year in India, which may shorten the fiscal year. The focus is on moving up the value chain with complex projects, where the company is more competitive. Internationally, the Middle East's investments in oil, gas, and renewable energy present opportunities. Private sector investment in India is sector-specific, with growth in minerals, metals, and data centers.

What is the primary reason for the cautious growth forecast for FY 24?

• A lack of new projects

• The impact of an election year

• A decrease in private sector investment

• A decline in international orders

Why does the company focus on less complex projects during the election year?

• To reduce costs

• To complete projects quickly

• To improve technology

• To increase competition

What contributed to the unexpected growth in the previous year?

• Increased government spending

• A high volume of tenders

• New technology investments

• A decrease in competition

Which region is benefiting from firm oil prices and investing in renewable energy?

• South America

• Middle East

• Europe

• North America

What sector saw an increase in private sector capital expenditure in India?

• Textiles

• Automobile

• Agriculture

• Healthcare

What is the expected mix of international and Indian markets for FY 24?

• 50% international, 50% India

• 1/3 international, 2/3 India

• 2/3 international, 1/3 India

• 75% international, 25% India

Which sector is seeing growth due to evolving regulations around data residency?

• Data centers

• Retail

• Telecommunications

• Manufacturing