KEC International (KEC) Q4 25/26 earnings summary

Executive summary

• Achieved record consolidated revenue of INR 23,506 crores in FY26, up 8% year-over-year, with highest-ever profitability and order intake despite geopolitical and supply chain challenges.

• T&D segment drove growth, contributing 68% of revenues, with strong performance in both domestic and international markets; order book plus L1 position exceeded INR 40,000 crores.

• Robust order intake of INR 25,280 crores in FY26, with 54% from international markets and a strong tender pipeline.

• Audited consolidated and standalone financial results for FY26 were approved, with a recommended dividend of INR 5.50 per share, subject to shareholder approval.

• Strategic shift to larger, higher-quality EPC orders improved operational control and execution efficiency.

Financial highlights

• Operating PBT at INR 848 crores, PBT margin expanded by 40 bps to 3.6%, and PAT margin up 30 bps to 2.6%; consolidated net profit for FY26 was INR 605.59 crores.

• Q4 FY26 revenue at INR 6,390 crores, EBITDA margin 7%, PBT margin 4%, PAT at INR 193 crores.

• Net debt including acceptances at INR 6,722 crores as of March 31, 2026, marginally lower than previous quarter; net working capital at 137 days.

• Interest expenses as a percentage of revenue reduced to 2.8% in FY26 from 3.0% in FY25.

• Board recommended a dividend of INR 5.50 per share (75% of face value) for FY26.

Outlook and guidance

• Revenue growth guidance for FY27 is 12–15% year-over-year, with order intake target of INR 30,000 crores.

• Margin guidance withheld due to ongoing cost and supply chain uncertainties; impact expected to be within 100 bps.

• Debt targeted to reduce by INR 1,000 crores by year-end, with net debt expected at INR 5,500 crores.

• Working capital days to improve from 165 to 110 by year-end.

• Strong government infrastructure focus and increased capex outlay expected to drive continued growth in T&D, renewables, and civil segments.