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KEC International reported a weak Q1FY27 performance

ICICIdirect Research 11 Aug 2026 DISCLAIMER

News: KEC International reported a weak Q1FY27 performance, with consolidated revenue remaining flat YoY at ₹5,024 crore, indicating muted topline growth. EBITDA declined 17% YoY to ₹291 crore, with EBITDA margin contracting 118bps YoY to 5.8%, while PAT declined 42% YoY to ₹73 crore. T&D revenue grew 2% YoY to ₹3,217 crore, while Transportation and Renewables declined 45% and 58%, respectively; Cables & Conductors grew 57% YoY to ₹601 crore. YTD FY27 order intake stood at ₹6,303 crore, with order book + L1 position at >₹40,000 crore, of which >60% is from T&D, while the tender pipeline exceeded ₹2 lakh crore

View: The quarter was weak, with both topline and profitability remaining muted, as flat revenue growth and a sharp margin contraction indicate subdued execution. Management attributed the performance to West Asia disruptions, labour shortages and slower water-project execution amid delayed payments, with these challenges expected to be largely transitory. While order visibility remains healthy, with YTD inflows of >₹6,300 crore, order book + L1 of >₹40,000 crore and a tender pipeline of >₹2 lakh crore, near-term earnings remain under pressure

Impact: Negative

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