KEC International slips after weak Q1 performance

KEC International declined 2.85% to Rs 461.95 after the company reported 42% fall in consolidated net profit to Rs 73 crore in Q1 FY27 from Rs 125 crore in Q1 FY26.

Revenue for the period under review remained flat at Rs 5,024 crore.

EBITDA fell by 17% year-on-year (YoY) to Rs 291 crore while EBITDA margin contracted by 120 basis points YoY to 5.8% in the June'26 quarter.

Profit before tax in Q1 FY27 stood at Rs 90 crore, down 43% from Rs 159 crore in Q1 FY26.

The company's year-to-date (YTD) order intake was Rs 6,303 crore across T&D, Civil, Renewables, Cables & Conductors and Transportation verticals. The current order book & L1 position as on 30 June 2026 stood at over Rs 40,000 crore.

 

Net debt, including Acceptances, has been reduced by more than Rs 150 crore to Rs. 6,568 crore as on 30 June 2026 vis-vis 31 March 2026. Net working capital (NWC) has been reduced to 134 days as on 30 June 2026 as against 137 days as on 31 March 2026.

Vimal Kejriwal, MD & CEO, KEC International, said: "We delivered a resilient performance for the quarter, by maintaining revenues, strengthening our order book, reducing debt and building a healthy growth pipeline, despite a challenging operating environment.

The performance for the quarter could have been better but for the continued geopolitical disruptions in the Middle East, labour shortages and calibrated execution of water projects due to delayed payments. While certain near-term challenges persist, we believe they are largely transitory.

With supply chains gradually normalising, labour availability improving, an Order Book and L1 position of over Rs. 40,000 crore, a robust tender pipeline exceeding Rs. 2 lakh crore, and strong opportunities across both domestic and international markets, we remain confident of delivering stronger execution and improved financial performance in the coming quarters."

KEC International is a global infrastructure EPC company and part of the RPG Group. It operates across the power transmission and distribution, civil, transportation, renewables, oil & gas pipelines, and cables businesses.

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