Larsen & Toubro chairman and managing director S N Subrahmanyan received total remuneration of ₹120.84 crore in FY26, marking a 59% rise from the previous year and placing him among India’s highest-paid corporate executives.
The sharp increase in compensation was driven largely by commissions and gains linked to employee stock ownership plans, according to reports by CNBC-TV18 and earlier company disclosures.
The latest pay package marks the first time Subrahmanyan’s annual remuneration has crossed the ₹100-crore threshold.
The increase also extends a multi-year surge in compensation for the engineering and infrastructure giant’s top executive. After climbing nearly 50% in FY25, his remuneration rose sharply again in FY26.
According to earlier reporting by The Economic Times, Subrahmanyan had earned ₹76.25 crore in FY25, up from ₹51.05 crore in FY24.
Compensation growth driven by ESOP gains
A major contributor to the rise in Subrahmanyan’s remuneration has been the exercise of stock options.
The Economic Times had earlier reported that the chairman exercised employee stock options valued at ₹15.88 crore during FY25, while no ESOP gains were recorded in the previous year.
The FY26 increase pushed his overall compensation significantly higher as executive pay levels continue to rise across large listed Indian companies.
Key figures linked to Subrahmanyan’s remuneration trajectory include:
• FY26 remuneration: ₹120.84 crore
• FY25 remuneration: ₹76.25 crore
• FY24 remuneration: ₹51.05 crore
• FY26 increase over FY25: 59%
• FY25 increase over FY24: Nearly 50%
The latest compensation places Subrahmanyan among a small group of Indian corporate leaders whose annual earnings have crossed the ₹100-crore mark.
Industry analysts say remuneration structures for senior executives are increasingly being tied to stock-linked incentives, long-term performance metrics and shareholder value creation.
Top executives at L&T also saw high payouts
The company’s previous annual report also highlighted compensation growth among other senior executives at Larsen & Toubro.
According to The Economic Times:
• Whole-time Director and Chief Financial Officer R Shankar Raman earned ₹37.33 crore in FY25
• Deputy Managing Director and President Subramanian Sarma received ₹44.55 crore in FY25
The report stated that executive remuneration reflected the company’s performance and remained aligned with industry benchmarks.
L&T has remained one of India’s largest engineering and infrastructure groups, with operations spanning construction, defence, energy, manufacturing, technology services and infrastructure development.