KEC Intl tanks on disappointing Q2 earnings

Q2 consolidated net profit at Rs 16.48 crore against analyst estimates of Rs 32 crore.

KEC International has tanked 16% to Rs 64 after reporting 22% year-on-year (yoy) fall in its consolidated net profit at Rs 16.48 crore in September 2012 quarter due to higher raw material and construction cost. Analyst on an average expected profit of Rs 32 crore.

“Total income from operations grew 32% at Rs 1,668 crore, while total expenditure including raw material and erection cost jumped by 35% at Rs 1,596 crore on y-o-y basis,” KEC International said in a statement.

The stock opened at Rs 76.50 and hit a low of Rs 61.80 on the BSE. The trading volumes on the counter surged by almost five-fold with a combined 1.95 million shares have changed hands on the counter so far.