L&T bags bulk drinking water supply project in Jalandhar; net jumps in Sept 2020 quarter
India Water Review, September 15, 2020
Engineering & construction major L&T has secured a major order from Punjab Water Supply & Sewerage Board to provide surface-based bulk drinking water supply to Jalandhar on design, build, operate and transfer (DBOT) basis even as it saw a severe drop in net profit during the first quarter ended June 2020.
The Punjab project is part of the Atal Mission for Rejuvenation and Urban Transformation (AMRUT) scheme. The scope of work of the project bagged by L&T’s water & effluent treatment business includes design and construction of a raw water storage and sedimentation tank, raw water settling tank cum pumphouse, water treatment plant of 275 million litre per day (MLD) capacity, clear water reservoir, underground storage reservoirs and pumping stations, raw and clear water transmission pipelines, associated electromechanical and instrumentation, control and automation works.
The project also involves automation including measuring input and output water quantity and quality through suitable SCADA and other instrumentation works. The project is designed to cater to safe and potable bulk drinking water to Jalandhar benefitting 13.8 lakh population and will help convert existing ground-based water supply system in the town to a surface-based system.
L&T has seen a drop in net sales on a consolidated basis during the second quarter ended September 2020 at Rs 31034.74 crore as against Rs 35328.45 crore in the corresponding quarter of previous year. The company’s net profit on a consolidated basis rose to Rs 5,876.54 crore as against Rs 2,730.39 crore in September 2019.
However, the company posted net loss of Rs 1,594.10 crore in September 2020 quarter as against profit before tax (PBT) of Rs 3,302.75 in September 2019.
The company reported a 67.3 per cent decline in net profit to Rs 645.07 crore in quarter ended June 2020 from Rs 1,972.52 crore in the same period last year on a consolidated basis. Net sales on consolidated basis came down to Rs 21,259.97 crore, a 28.3 per cent drop as against Rs 29,635.95 crore recorded during June last year.
