KNR Constructions Limited , a prominent player in the infrastructure sector, has announced its financial results for the second quarter of fiscal year 2025, showcasing significant growth in revenue alongside a decline in profitability.

Key Financial Highlights

For the quarter ended September 30, 2025, KNR Constructions reported the following standalone results:

Revenue Growth and Performance

The company witnessed a remarkable 99% year-on-year increase in revenue from operations, rising from ₹32,508.25 lakhs in Q2 FY2024 to ₹64,680.36 lakhs in Q2 FY2025. This substantial growth reflects the company's strong execution capabilities and robust order book.

Profitability

Despite the significant revenue growth, net profit after tax for Q2 FY2025 stood at ₹2,790.87 lakhs, compared to ₹5,128.59 lakhs in the same quarter of the previous year, marking a 45.6% decrease. The decline in net profit may be attributed to various factors such as increased operational costs or changes in project mix.

Half-Year Performance

For the half-year period ended September 30, 2025, KNR Constructions achieved:

• Revenue of ₹97,188.61 lakhs
• Net profit of ₹7,919.46 lakhs

Consolidated Results

On a consolidated basis, the company reported:

• Revenue of ₹65,397.48 lakhs for Q2 FY2025
• Net profit of ₹9,568.04 lakhs

Management Approval

The Board of Directors of KNR Constructions Limited approved these unaudited financial results at their meeting held on November 12, 2025.

Project Updates

The company's trade receivables, retention amounts, and unbilled amounts include ₹1,40,577.70 lakhs related to Kaleswaram Package 3 and Kaleswaram Package 4 Irrigation Projects in Telangana. Collections for these projects have been stalled since June 2025 and March 2023 respectively. However, the company has recently received ₹7,436.35 lakhs for Kaleswaram Package 3. Management remains confident about recovering present and future dues based on internal assessments and discussions with authorities.

Outlook

Despite challenges in collections for certain projects, KNR Constructions continues to demonstrate strong revenue growth. The company's ability to secure and execute large-scale infrastructure projects positions it well in the competitive construction sector. However, the discrepancy between revenue growth and profit decline may warrant further analysis in future quarters.

KNR Constructions Limited maintains its focus on the construction and engineering segment, considering its business as a single operating segment in accordance with Ind AS 108.

KNR Constructions Limited , a prominent player in the infrastructure sector, has announced a significant milestone in its operations. The company's wholly-owned subsidiary, KNR Guruvayur Infra Private Limited, has received a Provisional Certificate of Completion for a major highway project in Kerala, marking a successful execution of the project under the Bharatmala Pariyojana scheme.

Project Details

The project involves the six-laning of National Highway 66 (NH-66, formerly NH-17) from the start of Valanchery bypass to Kappirikkad section in Kerala. This development is part of the broader Bharatmala Pariyojana, a centrally-sponsored and funded road and highways project of the Government of India.

Significance of the Completion

The timely completion of this project demonstrates KNR Constructions' project execution capabilities. The Hybrid Annuity Mode (HAM) under which this project was executed is a mix of engineering, procurement, and construction (EPC) and build-operate-transfer (BOT) formats, aimed at reviving private sector participation in road construction projects.

Company's Disclosure

In compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, KNR Constructions Limited has duly informed the stock exchanges about this development. The company's prompt disclosure underscores its commitment to transparency and regulatory compliance.

Impact on Infrastructure Development

The completion of this highway project is expected to significantly improve connectivity and transportation efficiency in Kerala. It aligns with the broader objectives of the Bharatmala Pariyojana, which aims to optimize the efficiency of freight and passenger movement across the country by bridging critical infrastructure gaps.

As infrastructure development continues to be a key focus area for economic growth in India, successful completion of such projects by companies like KNR Constructions plays a crucial role in the nation's progress.