KEC International (KEC) Q3 24/25 earnings summary

Executive summary

• Achieved record YTD order inflows of ₹22,090 crore, up over 70% year-over-year, with T&D contributing 70% of new orders and order book at ₹37,440 crore, up 24%.

• Q3 FY25 consolidated revenue reached ₹5,349.38 crore, up 7% year-over-year; nine-month revenue at ₹14,975 crore, up 9%.

• Q3 FY25 PAT grew 34% year-over-year to ₹130 crore; nine-month PAT up 55% to ₹303 crore.

• Cables business transferred to subsidiary effective January 2025; capacity expansions underway at multiple plants.

• Board approved unaudited results; statutory auditors issued unmodified review conclusion.

Financial highlights

• Q3 FY25 EBITDA grew 22% year-over-year to ₹374 crore, margin at 7%, highest in three years; nine-month EBITDA up 20% to ₹989 crore.

• Q3 FY25 PBT increased 32% year-over-year to ₹160 crore; PAT margin at 2.4%.

• Net debt at ₹5,574 crore as of Dec 31, 2024, down ₹471 crore year-over-year.

• Interest cost as % of revenue reduced to 3.2% in Q3 FY25.

• Basic EPS (consolidated) for Q3 FY25 was ₹4.87, up from ₹3.77 in Q3 FY24.

Outlook and guidance

• FY25 revenue growth expected at 12%-14%, with FY26 targeted at 15% and margin improvement to at least 9%.

• Strong government focus on infrastructure and renewables, with robust order book and tender pipeline.

• International opportunities in T&D, civil, and oil & gas remain promising.

• Civil segment to recover as labor and payment issues ease; order book supports double-digit growth in FY26.

• Management expects no material financial impact from Afghanistan projects on hold.