KEC International , a global infrastructure Engineering, Procurement and Construction (EPC) major, has reported a robust financial performance for the first quarter of fiscal year 2026 (Q1 FY26). The company's consolidated profit after tax (PAT) surged by 42% year-on-year, while revenue saw a healthy 11% growth.

Financial Highlights

• Revenue: KEC International's consolidated revenue from operations increased to Rs 5,022.88 crore in Q1 FY26, up from Rs 4,511.89 crore in the same quarter last year, marking an 11% year-on-year growth.
• Profit After Tax: The company's PAT witnessed a significant jump of 42%, reaching Rs 124.60 crore compared to Rs 87.58 crore in Q1 FY25.
• EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 19% to Rs 350.00 crore, with the EBITDA margin expanding by 50 basis points to 7.0%.
• Earnings Per Share (EPS): The Basic and Diluted EPS stood at Rs 4.68, up from Rs 3.41 in the corresponding quarter of the previous year.

Segment Performance

• Transmission & Distribution (T&D): The T&D business reported revenues of Rs 3,157 crore, showing a strong growth of 26% year-on-year. This segment's contribution to overall revenues increased to 63%, up from 55% in the same quarter last year.
• Civil: The Civil business segment recorded revenues of Rs 940 crore. However, execution was impacted by continued labor shortages and delayed payments in water projects.
• Cables: The Cables business segment generated revenues of Rs 383 crore, marking a 5% increase year-on-year.
• Renewables: This segment showed significant growth with revenues of Rs 136 crore, an 87% increase compared to the previous year.

Order Book and Business Outlook

KEC International maintains a strong order book position:

• The company secured new orders worth approximately Rs 5,517 crore during the quarter.
• The total order book stands at Rs 34,409 crore as of Q1 FY26 end.
• Including L1 (lowest bidder) positions, the order book exceeds Rs 40,000 crore.

Management Commentary

Vimal Kejriwal, Managing Director & CEO of KEC International, commented on the results: "We have started the year on a strong note by delivering a healthy revenue growth, substantial increase in profitability and a reduction in debt levels. Despite headwinds such as persistent manpower shortages and geopolitical uncertainties, we have continued to deliver consistent profitable revenue growth. Profitability has also seen stellar growth, with PBT and PAT both growing by over 40%."

He added, "The outlook across major businesses remains optimistic. With a strong focus on execution, a robust and diversified order book & L1 of over Rs. 40,000 crore and a substantial tender pipeline, we are well positioned to deliver sustained profitable growth in the coming quarters."

Other Developments

The company noted an ongoing government investigation related to a transmission project. A chargesheet has been filed but not yet taken cognizance by the court. KEC International stated that it expects no material impact on operations from this matter.

In conclusion, KEC International's Q1 FY26 results demonstrate strong growth across key financial metrics, with the T&D and Renewables segments showing particularly impressive performance. The company's robust order book and positive management outlook suggest a promising trajectory for the coming quarters, despite some challenges in specific business segments.

KEC International , a global infrastructure Engineering, Procurement and Construction (EPC) major, has announced a significant milestone in its Civil business. The company has secured new orders worth ₹1,236.00 crore, marking its largest-ever contract in the Buildings & Factories sector.

Record-Breaking Order

The newly acquired orders represent a substantial boost to KEC International's Civil business portfolio. These orders include high-rise residential projects in Western India, involving over 50 lakh square feet of development.

Stock Market Response

Following the announcement, KEC International's stock price increased by 4.62%, reflecting positive investor sentiment towards this development.

Implications for Business Growth

This landmark order signifies a major step forward for KEC International in the construction industry. It not only demonstrates the company's growing capabilities in the civil construction sector but also indicates increased trust from clients in handling large-scale projects.

Strategic Expansion

CEO Vimal Kejriwal highlighted this as a key milestone in their strategic expansion into the premium high-rise residential segment. This aligns with KEC International's strategy to diversify its business operations beyond its strong presence in the power transmission and distribution sector.

Market Position

This development is likely to strengthen KEC International's position in the competitive infrastructure and construction market. The size and scope of the orders could potentially lead to improved revenue streams and enhanced shareholder value in the coming quarters.

Looking Ahead

As KEC International embarks on these large-scale civil projects, industry observers will be keen to see how this impacts the company's overall performance and future order book. The successful execution of these projects could pave the way for more such high-value contracts in the Buildings & Factories sector.

The company's ability to secure such substantial orders amid challenging market conditions speaks to its robust business model and execution capabilities. Stakeholders will be watching closely to see how this development translates into long-term growth and profitability for KEC International.