Infrastructure industry of India

2.  Faculty
Mentor: Mrs. Aseema Kulkarni
 Student
Mentor: Mr. Akshay Ghiya
 Team
Members
Shweta Choubey
Mahendra Chaudhari
Nilanjan Choudhary
Kumar Prince
Sahiba Dogra
Premankur Raj
Ashutosh Agrahari
Ravi Kumar
Anamika Singh Baghel
Neha Rajput
Vaibhav Sharma
Harshvardhan Kurane

3.  INTRODUCTION:

The construction is the second largest economic
activity in country next to agriculture .

Construction is usually done or co-ordinated which is
specialized in one type of construction i.e.
residential, commercial or developmental.

Indian construction industry has generated
employment for 33mn people in the country.

Cost structure of the construction industry is
dominated by raw material cost & sub contracting
cost .

4.  Indian
construction industry consists of 200
firms in the corporate sector.
 There
are about 1,20,000 class A contractors
registered with various government
construction bodies.
 Thousands
 Total
of small contractors.
sales of the construction industry have
reached more than 80,000 crores in 2011
from 42,885.38 crores in 2005.

5. 
Progressive reform measures
 100%
FDI allowed in realty projects through
automatic route.
 Minimum
area that has to be taken up in 10
hectares from 40 hectares.

6. 
TOP LEADING COMPANIES
1.
LARSEN & TOUBRO
2.
JAYPRAKSAH ASSOCIATES
3.
LANCO
4.
RELIANCE
5.
GMMR
6.
PUNJLLOYD
7.
IVRCL
8.
HINDUSTAN CONSTRUCTION COMPANY

7. 
Power

Roads

Railways

Ports

Airports

Urban development

9. olitical Factors
 Building
Commencement Certificate
 Documentations
and permits
 As
Floor Space Index (FSI)
 As
Occupation Certificate:
 Brihan
Mumbai Corporation [BMC] Developing
Plans
 CRZ
 As
(Coastal Recovery Zone):
TDR (Transfer of Development Right)

10. conomic Factors

As Fluctuations in prices of inputs

As Changes in demand

As Future Growth & Resale Value

As Stamp Duty & Registration
ocial Factors

Credibility of the company/firm

As Perceived Image of the property developed

As Building Facilities

11. echnical Factors

Pre-structured Concrete Blocks:

Mixture of Cement and Sand:

Other Equipments: other modern machines that are used
in construction
egal

Permits required in construction industry.

Building commencement certificates

Occupation certificates

Construction taxes should be paid.

Use of standard inputs

12. nvironmental
 Green
building , that is plant some trees in
the construction site.
 Not
to cut the trees for infrastructural
development.

All corporations follow “GO GREEN”
strategy.

14. Market Position - 1
 Order Book – 1,30,000 crore
 Market Capital – 95,241 crore
 Profit (2011-12) – 4,456 crore
 L&T was a successful bidder for NHAI’s 275 km
Amravati to Jalgaon and 209 km Jalgaon to
Maharashtra. 4800crore project..
o

15.  Market
Position - 2
 Order Book – 55,000 crore
 Market Capital – 6,840 crore
 Profit (2011-12) - 210 crore
 165kms greater noida – agra 6lane highway…

16.  Market
Position - 3
 Order Book – 31,016 crore
 Market Capital – 3315 crore
 Profit (2011-12) - 123 crore
 Thermal, hydal , solar projects…

17. Market Position - 4
 Order Book – 28,000 crore
 Market Capital – 13,444 crore
 Profit (2011-12) - 2000 crore
 Rs 800 crore project entailing four laning of
Gurgaon - Faridabad and two laning of
Ballabhgarh - Sohna road.


18.  Market
Position – 5
 Order Book – 24,000 crore
 Market Capital – 9,283 crore
 Profit (2011-12) - 120 crore
 555-km Kishangarh-Udaipur-Ahmedabad
highway, from four to six lanes.Worth around
Rs 7,200 crore, biggest project awarded by
nhai…

19. Introduction of L&T

Larsen &Toubro is India’s largest technology,
engineering, construction and manufacturing company
reputed for its key growth sectors .

It is the construction arm of Larsen and Toubro for over
six decades and has been building landmark projects in
India and abroad.

20. 1.
Committed to total consumer satisfaction
and enhancing shareholder value.
2.
Innovative technique.
3.
Attaining global benchmarks.
4.
Foster a culture of caring.
5.
Meeting expectations of shareholders,
employees and society.

21. 
L&T was founded in Mumbai in 1938 by two
danish engineers ,Henning Holck-Larsen and
SorenKristian Toubro.

Both of them were strongly committed to
devoloping India’s engineering capablities
to meet the demands of the industry.

Today, the company sets global engineering
and benchmarks in terms of scale and
complexity.

22.  The
journey
In 1944, ECC was incorporated.
In 1945, represnted british manufactures.
In 1946, larsen & Toubro private limited born
In 1948, created uninhabitable swamp in
powai into a manufaturing land mark.
 EXPANDING HORIZON
IN 1964, WIDENED CAPABILITIES INCLUDED
BEST TECHNOLOGIES.
IN 1973, ONE OF THE TOP-25 INDIAN
COMPANIES.

23. CHAIRMAN
MANAGING DIRECTOR
SEO
BUILDING
&FACTORIES
VP
INFRASTRUCTURE
VP
METALLURGICAL
MATERIAL HANDLING
VP
POWER
&TRANS

24.  TOP
1.
2.
3.
4.
5.
FIVE COMPETITORS OF THE SECTOR
Jaypee
Lanco
Reliance
GMMR
PunjLloyd

25. 



Geo Technical Investigation
-Hydraulic rotary & Wireline System
-Piezocone penetrometer & Pressuremeter
Deep foundation
-Driving Piling Rigs
Design & Engineering
-CAD – CAM
-Stad pro & E-Tab
Ground Improvement Techniques
-prefabricated vertical drain

Advanced Foundation Testing

Embedded Retaining Structures
- Diaphragm wall

26.  Order
book :31 march 2012 Rs 1457230
million against Rs 1309486 million at
31march 2011. 11% growth y-on-y.


Gross revenue for operations
At 537378 million against Rs 442961 million
21% growth in PY.
L&T GROUP CONSAOLIDATED TURNOVER
EXCEEDS US$ 12.8 BILLION.

27. STRENGTH
Order book over 100,000 crores .
Diversified business group.
Marketing expertise.
Leader in city rail.
Strong support service.
Construction skills trainings.
OPPUTUNITIES
Huge investment expected in infrastructure
sector.
Moving into new markets .
Mergers, joint ventures or strategic alliances.
Growing in international market.
WEAKESSES
Rising interest costs.
Undifferrentiated products.
Low employee satisfaction.
Hudge attrition rate.
THREATS
Increase in the cost of inputs.
Price wars with competitors.
Taxation is introduces on product or services.
Entrance of new competitor.

28.  Audacious
in vision.
 Focus
on what know best.
 Good
governance made the business sense.
 Develop
 Pursue
quality with zeal.
 Innovate
 Give
leaders from within.
to create value for customers.
back to society.

29. 1.
2.
3.
The Minimum Wages Act,1948.
The Industrial Disputes Act,1947.
Other applicable Indian Acts to the Industry
such as:Governance laws,
Economic laws,
Contract laws,
Labour laws.

30. Sources Of Funds
Total Share Capital
122.48
121.77
Equity Share Capital
122.48
121.77
Share Application Money
0.00
368.31
Preference Share Capital
0.00
0.00
25,079.40
21,334.05
21.14
22.13
25,223.02
21,846.26
Secured Loans
1,453.34
1,063.04
Unsecured Loans
8,442.43
6,098.07
Total Debt
9,895.77
7,161.11
35,118.79
29,007.37
Mar '12
Mar '11
Reserves
Revaluation Reserves
Networth
Total Liabilities

31. Application Of Funds
Gross Block
Less: Accum. Depreciation
Net Block
Capital Work in Progress
Investments
Inventories
Sundry Debtors
Cash and Bank Balance
Total Current Assets
Loans and Advances
Fixed Deposits
Total CA, Loans & Advances
Deffered Credit
Current Liabilities
Provisions
Total CL & Provisions
Net Current Assets
10,618.74
2,952.61
7,666.13
807.94
15,871.90
1,776.62
18,729.84
1,020.09
21,526.55
21,445.72
885.17
43,857.44
0.00
30,697.53
2,387.09
33,084.62
10,772.82
0.00
Total Assets
Contingent Liabilities
Book Value (Rs)
2,500.1
9
411.53
0.00
35,118.79
Miscellaneous Expenses
8,897.02
2,220.82
6,676.20
785.00
14,684.82
1,577.15
12,427.61
1,518.98
15,523.74
19,499.23
211.37
35,234.34
0.00
26,139.56
2,233.43
28,372.99
6,861.35
29,007.37
1,647.66
352.40

32. Income
Sales Turnover
53,849.48
44,055.55
583.53
398.84
53,265.95
43,656.71
Other Income
885.32
1,781.28
Stock Adjustments
539.77
559.49
54,691.04
45,997.48
14,456.43
12,372.32
638.79
355.45
3,506.72
2,884.53
24,286.29
19,886.12
2,439.36
2,103.38
Miscellaneous Expenses
689.10
773.70
Preoperative Exp Capitalised
-18.75
-37.87
45,997.94
38,337.63
Excise Duty
Net Sales
Total Income
Expenditure
Raw Materials
Power & Fuel Cost
Employee Cost
Other Manufacturing Expenses
Selling and Admin Expenses
Total Expenses

33. Operating Profit
7,807.78
5,878.57
8,693.10
7,659.85
699.46
575.81
0.00
23.41
6,310.33
5,861.40
-3.89
-49.05
PBT (Post Extra-ord Items)
6,306.44
5,812.35
Tax
1,853.83
1,858.47
Reported Net Profit
4,456.50
3,957.89
Total Value Addition
31,541.51
25,965.31
0.00
0.00
1,010.46
882.84
101.44
112.82
Shares in issue (lakhs)
6,123.99
6,088.52
Earning Per Share (Rs)
72.77
65.01
Equity Dividend (%)
825.00
725.00
Book Value (Rs)
411.53
352.40
PBDIT
Depreciation
Other Written Off
Profit Before Tax
Extra-ordinary items
Preference Dividend
Equity Dividend
Corporate Dividend Tax
Per share data (annualised)

34. 2012
2011
Current ratio
1.20
1.20
Debt equity
0.33
0.33
Inventory
31.82
21.73
Debtors turnover
3.42
3.70
ROI
23.67
22.35

35. A
Green Signal for Progress
 Construction
 Health
institute training skills
care.
 Education
 Larsen
 Water
& Toubro public charitable trust
Management
 Community
 Corporate
Health
Technical training – support to ITI

36.  Workshops
for school students on personality
development.
 “Mathematics
with Smilies” programs to help
students befriend a tough friend.
 Building
water tanks,conducting health and
eye camps.
 Participating
Events.
in socially oriented community

37. 1.
2.
No.1 Construction company in India .
Strong construction base throughout India.
3.
L&T is very strong in resources and capabilities.
4.
Performance of L&T is very encouraging.
5.
Introduction of New techniques in construction sector
have made substantial growth.
6.
Excellent management system.
7.
Since last few years , L&T is becoming a lesson for
companies in managing explosive growth & developing
internal capabilities on continuous basis.

38.  L&T
should more concentrate on the
strategies of cost advantage & differential
advantages.
 Construction
industry is booming , so only
priority would be to increase quality of
construction