KEC International (KEC) Q1 24/25 earnings summary

Executive summary

• Order intake exceeded INR 7,664 crore in Q1 FY25, up 70% year-over-year, with a record order book plus L1 position of over INR 42,000 crore and a strong tender pipeline above INR 150,000 crore.

• Revenue for Q1 FY25 reached INR 4,512 crore, growing 6% year-over-year, with EBITDA up 20% and margins improving by 70 bps to 6.5%.

• PAT more than doubled to INR 88 crore, and net debt reduced by over INR 100 crore year-over-year to INR 5,596 crore.

• Strong growth across core segments: T&D, Civil, Oil & Gas, and Renewables, with notable improvement in profitability.

• Strategic focus on capitalizing on infrastructure opportunities and sustainability initiatives.

Financial highlights

• Consolidated revenues grew 6% year-over-year to INR 4,512 crore in Q1 FY25.

• EBITDA increased 20% YoY to INR 294 crore, with margins rising to 6.5% from 5.8% in Q1 FY24.

• PAT more than doubled YoY to INR 88 crore, with PAT margin up to 1.9% from 1.0%.

• Order intake surged 70% YoY to INR 7,664 crore, with the highest ever order book + L1 pipeline exceeding INR 42,000 crore.

• Interest expense as a percentage of revenue reduced by 30 bps to 3.4%.

Outlook and guidance

• Management reiterates order intake guidance of INR 25,000 crore, 15% revenue growth, and 7.5% EBITDA margin for FY25.

• H2 expected to see a significant pickup in execution and revenue, with supply chain constraints easing from Q3.

• Positioned to benefit from large infrastructure investments in India and globally, especially in T&D, renewables, and civil segments.

• Civil business revenue expected to grow 30% in FY25, with robust order book supporting growth.

• Cables business targeted to reach INR 2,800–2,900 crore revenue by FY26, with 20% annual growth.