KEC Posts Strong Quarter with PAT at Rs. 32 Cr in Q1FY25

KEC International, a leading global infrastructure EPC company and part of the RPG Group, has announced impressive results for the first quarter of FY25, ending June 30, 2024.

The company reported significant growth in profitability, with its Profit After Tax (PAT) standing at Rs. 32 crore on a standalone basis, a substantial increase from Rs. 4 crore in the same quarter last year. On a consolidated basis, PAT reached Rs. 88 crore, up from Rs. 42 crore year-on-year.

Key Highlights:

• Revenue Growth: KEC achieved a revenue increase of approximately Rs. 2,000 crore, marking an 11% growth in the trailing 12 months.
• EBITDA Improvement: The company saw a 20% year-on-year growth in EBITDA, with margins strengthening from 5.8% in Q1FY24 to 6.5% in Q1FY25, an improvement of 70 basis points.
• Order Intake: KEC reported a record-breaking order intake of Rs. 7,664 crore, a remarkable growth of over 70% compared to the previous year.
• Order Book and L1 Position: The company’s order book reached an all-time high of Rs. 32,715 crore, with an additional L1 position of over Rs. 9,500 crore, totaling a record order book & L1 of over Rs. 42,000 crore.

Financial Position:

• Net Debt: Net debt, including acceptances, decreased to Rs. 5,596 crore as of June 30, 2024, a reduction of over Rs. 100 crore compared to the previous year, despite significant revenue growth.
• Net Working Capital: Net working capital stood at 122 days, slightly up from 119 days a year earlier.

Mr. Vimal Kejriwal, MD & CEO of KEC International, commented, “We have delivered a strong performance in an election quarter, marked by significant growth in profitability, record order inflows, and the highest-ever order book.

Despite challenges such as the acute manpower shortage, we have achieved growth in our revenues. Our EBITDA margins continue to strengthen, showing an improvement every quarter, with margins increasing by 70 basis points, from 5.8% in Q1 FY24 to 6.5% in Q1 FY25. With a record order book & L1 position of over Rs 42,000 crore, coupled with a promising tender pipeline, we are well-positioned to deliver sustained growth in the coming quarters.”

Source: Here 

KEC Q1FY25 Results  

KEC International Ltd. has reported strong financial results for the first quarter of FY25, ending June 30, 2024. The company has shown impressive growth in both consolidated and standalone financial performance.

Consolidated Financial Performance:

• Revenue: Increased to Rs. 4,512 crore from Rs. 4,244 crore in Q1FY24.
• EBITDA: Rose to Rs. 294 crore from Rs. 244 crore, with an improved EBITDA margin of 6.5% compared to 5.8% last year.
• Interest as % of Revenue: Decreased slightly to 3.4% from 3.7%.
• PBT (Profit Before Tax): Grew significantly to Rs. 112 crore from Rs. 47 crore, with a PBT margin of 2.5%, up from 1.1%.
• PAT (Profit After Tax): Increased to Rs. 88 crore from Rs. 42 crore, reflecting a PAT margin of 1.9%, up from 1.0%.

Standalone Financial Performance:

• Revenue: Rose to Rs. 3,888 crore from Rs. 3,701 crore.
• EBITDA: Increased to Rs. 198 crore from Rs. 169 crore, with an EBITDA margin of 5.1%, up from 4.6%.
• Interest as % of Revenue: Stable at 3.5%, compared to 3.7%.
• PBT (Profit Before Tax): Significantly increased to Rs. 43 crore from Rs. 5 crore, with a PBT margin of 1.1%, up from 0.1%.
• PAT (Profit After Tax): Rose to Rs. 32 crore from Rs. 4 crore, reflecting a PAT margin of 0.8%, up from 0.1%.

The Q1 FY25 EBITDA includes Rs. 24 crore received from an arbitration award, which contributed to the positive performance.

KEC International's strong results for Q1FY25 highlight the company’s solid operational execution and effective cost management, setting a positive outlook for the upcoming quarters.

KEC to have Fundraising of Rs 4,500 Cr via QIP and Rs1,500 Cr via NCDs

KEC International Ltd. has announced plans to raise up to ₹4,500 crore through Qualified Institutional Placements (QIP) and ₹1,500 crore through Non-Convertible Debentures (NCDs).

The QIP will involve issuing equity shares and/or other equity-based instruments, subject to regulatory and shareholder approvals. The NCDs will be offered through private placements and may vary in terms of security, rating, and listing status.

This fundraising is aimed at supporting KEC's expansion plans, including scaling up operations and pursuing new business opportunities. The company intends to use the funds to bolster its financial strength and invest in growth initiatives. The Board has set up a Committee of Directors to manage these fundraising activities, and necessary disclosures will be made as required by regulatory authorities.
Source: Here 

KEC International

KEC International is a leading global Engineering, Procurement, and Construction (EPC) company based in Mumbai, India, and part of the RPG Group. With a presence in over 105 countries

 KEC specializes in infrastructure sectors including power transmission and distribution, railways, civil engineering, urban infrastructure, solar energy, oil and gas pipelines, and cables.

The company boasts a robust global supply chain, extensive manufacturing facilities in India, Dubai, Brazil, and Mexico, and a track record of executing complex projects in challenging environments. For over 75 years, KEC has been recognized for its strong project management, engineering capabilities, and commitment to quality and safety.