The switchgear division of
Larsen & Toubro saw 41 per
cent of its total revenue of
3,674 crore coming from new
products in 2010-11. This New
Product Intensity (revenue from new
products as percentage of total
revenue) was substantially higher
than the comparable levels of the
previous years-33 per cent in FY10, 30
per cent in FY09 and 29 per cent in
FY09. L&T's switchgear division
reportedly fled for 151 patents in
FY11, compared with 128 in FY10
and 108 in FY09.
L&T's energy and automation
business portfolio covers a wide range
of electrical equipment like medium
and low voltage switchgear, controlgear,
building electrical, energy
metres and medical equipment. The
centre has introduced a range of new
products and variants of existing
control gear, power gear, industrial
and building automation.
The market size of the
switchgear products is between
10,000 crore and
12,000 crore and
75 per cent of this is in the medium
voltage segment (below 36kV) and
about 15-20 per cent in the high
voltage segment. Regarding L&T's
share, it is learnt that about 30 per
cent is in the low voltage segment
(less than 1kV) and 4-5 per cent in
the medium voltage segment (up
to 36kV).
L&T exiting E&A business? |
Reports suggest that L&T is
contemplating sale of its electrical and
automation business, which currently
accounts for 7 per cent of the company's
total revenue. The engineering
conglomerate is reportedly in talks with
Schneider Electric and Eaton Corporation
to this effect. The deal is expected to be in
the region of 12,000-14,000 crore. |