Shares of infrastructure major KEC International Ltd staged a smart recovery during Thursday's trading session, erasing morning losses after the company announced a series of significant order wins. The stock, which had opened the new year on a weak note, reversed its trajectory following news of fresh contracts worth ₹1,050 crore across its diverse business verticals.
Stock Movement and Order Details
On the BSE, KEC International's share price touched an intraday low of ₹732.85 in early trade on January 1. However, the sentiment turned positive post the announcement, pushing the stock to a day's high of ₹742.80. It finally settled at ₹740.75, marking a gain of 0.44% over the previous close of ₹737.50.
The orders, detailed in a regulatory filing, showcase the company's strategic diversification:
- Renewables: Secured a breakthrough order for a 100+ MW Wind Project - Balance of Plant (BoP) package in Southern India from a renowned private developer. This marks the company's maiden foray into the wind energy segment.
- Civil: Won an order in the Buildings & Factories (B&F) segment from an existing client for a downstream project in Western India for a leading steel manufacturer.
- Transmission & Distribution (T&D): Secured orders for the supply of towers, hardware, and poles in the Americas, particularly through its subsidiary SAE Towers in Mexico.
- Cables & Conductors: Bagged orders for supplying various cables and conductors in both domestic and overseas markets.
Management Commentary and Record Order Book
Vimal Kejriwal, MD & CEO of KEC International, expressed optimism about these developments. He highlighted the strategic importance of the first wind energy order and the continued strength in the civil business. He also noted the uptick in the North American T&D market reflected in the Mexico orders.
Kejriwal stated that with these wins, the company's year-to-date order intake stands at approximately ₹19,300 crore. This robust pipeline reinforces the management's confidence in achieving its growth targets. Notably, the company's total order book had already swelled to a record ₹44,000 crore at the end of the September quarter, providing strong revenue visibility.
Strong Financial Performance in Q2 FY26
The order wins come on the back of a solid financial performance reported by the company for the second quarter of the fiscal year 2026 (ending September 30, 2025).
For Q2 FY26, KEC International's consolidated revenue grew by 19% year-on-year to ₹6,092 crore, up from ₹5,113 crore in Q2 FY25. EBITDA surged to ₹430 crore from ₹320 crore, with margins expanding to 7.1% from 6.3%. Most impressively, Profit After Tax (PAT) nearly doubled, jumping 88% to ₹161 crore compared to ₹85 crore in the same period last year.
For the first half of FY26 (H1 FY26), revenue increased by 15% to ₹11,114 crore, while PAT witnessed a significant 65% year-on-year growth to ₹285 crore.
Long-Term and Near-Term Share Price Trend
While the stock has shown volatility in the near term, its long-term track record remains stellar. In the last six months, the multibagger stock has declined by 19%, and it is down 39% over the past year. However, it has gained nearly 6% in the last month.
Taking a five-year view, the stock has delivered returns close to 98%. Since its listing in 2006, it has generated staggering gains of approximately 772%. The stock hit its 52-week high of ₹1,242.60 on January 6, 2025, and a 52-week low of ₹605.05 on April 7, 2025, on the BSE.
The combination of a record order book, strong quarterly results, and strategic new orders in high-growth areas like renewables is likely to keep investor focus on KEC International's execution capabilities in the coming quarters.
