KEC International (KEC) investor relations material

Executive summary

• Achieved consolidated revenue of INR 5,023 crores in Q1 FY26, up 11% year-over-year, led by strong T&D execution and robust order inflow across segments.

• EBITDA grew 19% year-over-year to INR 350 crores, with margin improvement to 7% from 6.5% in Q1 FY25.

• PAT reached INR 125 crores, with PBT and PAT growth outpacing EBITDA due to lower interest, depreciation, and tax rates.

• Net debt reduced by INR 248 crores year-over-year despite revenue growth, and order book plus L1 exceeded INR 40,000 crores.

• Financial results for the quarter ended June 30, 2025, were approved and reviewed by the Board and auditors.

Financial highlights

• Revenue: INR 5,023 crores (up 11% YoY); EBITDA: INR 350 crores (up 19% YoY); PAT: INR 125 crores (up 42% YoY).

• EBITDA margin improved to 7.0% (from 6.5%); PAT margin to 2.5% (from 1.9%).

• Interest expenses as % of sales reduced to 3.0% from 3.4% YoY.

• Net debt as of June 30, 2025, stood at INR 5,348 crores, down INR 250 crores year-over-year.

• Net working capital days at 128, targeted to reduce to 110 by year-end.

Outlook and guidance

• Management expects sustained profitable growth, supported by a robust and diversified order book and a strong tender pipeline of over INR 180,000 crores.

• Margin guidance for FY26 EBITDA at 8-8.5%, with 50-100 bps improvement expected in FY27.

• Non-T&D business expected to see growth from Q2 onwards, with significant uptick in Q3 and Q4.

• Renewables business targeted to reach INR 3,000-4,000 crores in 2-3 years.

• Management asserts that a pending legal matter is not expected to materially impact operations or financial results.