KEC International Q1 FY25 results soar with explosive growth—Profitability doubles and order book hits all-time high

KEC International Ltd., a global infrastructure EPC major and part of the RPG Group, has reported an exceptional financial performance for the first quarter of fiscal year 2025. The company’s results for the quarter ending June 30, 2024, demonstrate significant growth in both profitability and order intake, setting new records for the organization.

Record Growth and Profitability

KEC International has showcased a remarkable performance in Q1 FY25, with profitability metrics doubling compared to the same period last year. The company’s profit before tax (PBT) and profit after tax (PAT) have more than doubled, reflecting a robust growth trajectory. The consolidated revenue for the quarter reached ₹4,512 crore, up from ₹4,244 crore in Q1 FY24. Standalone revenue also saw an increase, rising to ₹3,888 crore from ₹3,701 crore.

The earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 20% year-on-year, reaching ₹294 crore, compared to ₹244 crore in the previous year. Notably, the EBITDA margin improved from 5.8% to 6.5%, underscoring the company’s efficient cost management and operational strength.

KEC International’s Q1 FY25 results show record-breaking performance with doubled profitability, massive order intake, and the highest ever order book

Staggering Order Intake and Record Order Book

One of the standout highlights of KEC International’s performance is the staggering 70% growth in order intake, which surged to ₹7,664 crore. The company’s order book reached an all-time high of ₹32,715 crore, with an additional L1 position of over ₹9,500 crore. This unprecedented growth in order intake and order book reflects KEC’s strong market position and the successful execution of its strategic initiatives.

Debt Management and Working Capital

The company’s net debt, including acceptances, stood at ₹5,596 crore as of June 30, 2024. This represents a reduction of over ₹100 crore from the previous year, despite a significant revenue increase of approximately ₹2,000 crore. The net working capital (NWC) stood at 122 days, a slight increase from 119 days in the previous year.

Strategic Developments and Future Outlook

In addition to its strong financial performance, KEC International has achieved several strategic milestones in Q1 FY25. The company received an arbitration award of ₹24 crore, which contributed to its EBITDA for the quarter. KEC International’s diversified presence across verticals such as Power Transmission and Distribution, Civil, Railways, Urban Infrastructure, Renewables, Oil & Gas Pipelines, and Cables, has enabled it to execute projects in over 30 countries and maintain a footprint in more than 110 countries globally.

Vimal Kejriwal, Managing Director & CEO of KEC International, highlighted the company’s achievements, noting that despite challenges such as manpower shortages, KEC has delivered impressive revenue growth and maintained strong EBITDA margins. Kejriwal expressed confidence in the company’s ability to sustain growth, citing a record order book and a promising tender pipeline.

The impressive performance by KEC International underscores its resilience and strategic prowess in the global infrastructure sector. With a record order book and robust financial metrics, KEC International is well-positioned to continue its growth trajectory. The company’s ability to manage debt effectively while expanding its order intake demonstrates a strong operational and financial strategy.