L&T Realty Revenue Falls 43% to Rs 225 Crore in Q2 FY27

What happened

Larsen & Toubro's realty segment reported customer revenue of Rs 225 crore for the quarter ended 30 September 2026. That is 43% lower than a year earlier. The company said the decline came mainly from a lower number of residential units handed over, along with sales mix.

The company's board met on 27 October 2026 to approve the unaudited results for the quarter. The board meeting date had been set in a filing made on 13 October 2026.

The segment's EBITDA margin was 54.3% for the quarter, compared with 67.6% a year earlier, a fall of about 13 percentage points.

Bookings and pre-sales

Realty order inflows, which the company treats as its share of pre-sales, were Rs 1,292 crore in the quarter, down 12%. The company linked the fall mainly to lower pre-sales, as some new launches were delayed.

For the full previous year, the company said it had reached about Rs 10,000 crore in pre-sales on the back of several successful launches. In its outlook, it said the first half of FY27 would be measured, with stronger momentum expected in the October-December quarter and in the fourth quarter, supported by several large launches.

How realty is reported

The company's investor commentary and some press coverage describe realty as a separate reporting segment. The official quarterly filing's segment note, however, places realty within the "Others" segment, alongside smart infrastructure and communication projects and e-commerce, digital platforms and data centres. Readers comparing figures should check the segment note in the filing.

Realty made up about 2% of the group's order book. The group's consolidated order book stood at Rs 8,53,514 crore as of 30 September 2026. Group revenue, profit and order figures cover the whole conglomerate and are not realty figures.

Group context

At group level, Larsen & Toubro reported revenue growth of 16% and consolidated profit after tax of Rs 5,202 crore, up 33% from Rs 3,926 crore a year earlier. Group order inflows for the September quarter were Rs 1,47,665 crore, up 28%. The group's chairman and managing director, S N Subrahmanyan, said the group's order book of about Rs 8.5 lakh crore gives multi-year revenue visibility. These are group figures and do not measure the realty business.

Land and expansion

L&T Realty completed the acquisition of International Green Scapes Ltd on 13 April 2026, after the deal was reported on 10 April 2026. The purchase was made in cash for Rs 1,123 crore and adds 20 acres in Gurugram, which the company says unlocks about 3.6 million sq ft of development potential. The target company reported nil turnover for the three fiscal years ending FY25.

The company's managing director and chief executive, Anupam Kumar, said expansion will stay focused on Mumbai, the National Capital Region, Bengaluru and Chennai. He named four strategy pillars: land and redevelopment opportunities, premium and luxury residential products, technology-led execution, and a customer-focused sales platform.

What comes next

The company plans three to four launches in the Mumbai Metropolitan Region, two in Delhi-NCR and two in Bengaluru, with most projects scheduled from October onwards. Gurugram, Bengaluru and Mumbai together have a launch potential of Rs 25,000 crore, according to the company's plan as reported in early October 2026.

Commentary on the company's H2 pipeline notes that its contribution to sales will depend on approvals and launch timing. The launches are expected to be phased rather than brought to market at once, which gives the company room to match supply to approvals and demand.

The company also aims to reach roughly 150 million sq ft of development potential by 2031. Its consolidation of real estate businesses into a single entity requires regulatory approvals that have not yet been completed. The date of the next quarterly results has not yet been announced.