Q1 2026 KEC International Ltd Earnings Call Transcript
Key Points
- KEC International Ltd (BOM:532714) reported a strong top-line growth with revenues of INR5,023 crore in Q1 FY26, reflecting an 11% increase year-over-year.
- The company's EBITDA for the quarter grew by 19% year-over-year, with margins improving by 50 basis points to 7%.
- KEC International Ltd successfully reduced its interest expenses by 40 basis points as a percentage of revenue, now standing at 3% for the quarter.
- The company secured new orders worth INR5,500 crore, led by its T&D and several other businesses, with a strong order book of INR34,409 crore.
- The T&D business recorded revenues of INR3,157 crore, reflecting a stellar growth of 26%, and continues to deliver healthy double-digit EBITDA margins.
- Standalone EBITDA margins dipped to 4.9% in Q1 FY26 after three quarters of improvement, attributed to lower margins in the Civil segment and delays in customer approvals in the Cable segment.
- The Civil business faced challenges with labor shortages and delayed payments in the water segment, impacting growth.
- The non-T&D segment, particularly Railways and Water, has been shadowing the overall performance, with a decline in revenue over the last few quarters.
- Working capital days increased to 128, partly due to inventory buildup and back-ended cash flows from metro projects.
- The company faces competitive intensity in the Middle East, particularly in the UAE, although it has reduced in Saudi Arabia.
Ladies and gentlemen, good day, and welcome to KEC International Limited, Q1 FY26 results conference call. (Operator Instructions)
Please note that this call is being recorded. From the management side, we have with us Mr. Vimal Kejriwal, Managing Director and CEO; and Mr. Rajeev Agarwal, CFO.
With this, I now hand the conference over to Mr. Vimal Kejriwal. Thank you and over to you, sir.
Thank you, Samia. Good morning to everyone, and we welcome you to the Q1 earnings call of KEC. Let me begin by sharing an overview of our performance this quarter followed by our usual business wise update. We have achieved a strong top line growth with revenues of INR5,023 crore in Q1 FY26 reflecting an 11% increase Y-o-Y primarily driven by a robust execution in our T&D business.
Both in India and International, aligned with our strategic focus, the T&D segments contribution to overall revenues increased to 63%, up from 55% in the same
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
