Mumbai: Engineering major Larsen & Toubro has set a target of almost doubling its sales to Rs 2 lakh crore by 2020-21, its Chairman A M Naik, who will be retiring next year, has said.
Addressing the shareholders at the company's 71st annual general meeting here, he said: "I would like to take this opportunity to share my vision of the L&T of tomorrow...Our goal is to achieve a revenue of Rs 2 trillion by 2020/21 without compromising on our margins and achieving an order inflow in excess of Rs 2.5 trillion per annum."
Naik, who has been associated with company for over 4 decades, exuded confidence that with the economy starting to turn around this target is achievable, provided the right strategy and on-ground execution.
He also drew his optimism from the strategic advice the company has received from two international consultants to reach these targets.
As part of sharpening the business focus, Naik said the company has "identified select growth businesses in L&T's broad portfolio. These include IT, technology services, defence, smart world and water management.
"Our strategic plan involves re-allocation of resources - both talent and capital - to businesses with visible value creation potential. As most of these are also asset-light businesses, the initiative will be in line with our larger objective of building an asset-light organisation," the Chairman said.
The country's largest engineering and construction behemoth had reported consolidated revenue of Rs 1,03,522 crore for the year ended March 31, 2016, a 12 percent over the previous year, and its consolidated net income for the year rose just 7 percent to Rs 5,091 crore.