KEC International Secures ₹1,016 Crore in New Orders Across Key Business Verticals

KEC International, a global infrastructure Engineering, Procurement, and Construction (EPC) company and part of the RPG Group, has announced a significant boost to its order book, securing new contracts worth ₹1,016 crore. These orders are distributed across its diverse business verticals, highlighting the company's broad capabilities.

Key Order Breakdowns:

• Civil Business: Secured orders in the Buildings & Factories (B&F) segment from existing clients, reinforcing long-term relationships and demonstrating trust in KEC's execution capabilities.
• Oil & Gas: Achieved a significant milestone by securing its first-ever order in the Middle East region, marking geographical expansion and a new market entry for this division.
• Transmission & Distribution (T&D): Received fresh orders and extensions for supplying towers, hardware, and poles. These orders are for 400 kV transmission lines in the UAE (Middle East) and also include business from the Americas.
• Cables and Conductors: Secured contracts for the supply of various types of cables and conductors, catering to demands from both the Indian domestic market and international clients.

Impact

This influx of new orders is highly positive for KEC International, signalling robust demand for its services in infrastructure development. It enhances future revenue visibility and strengthens the company's financial outlook. The diversification across segments and geographies also mitigates risk and showcases market resilience. The YTD order intake crossing ₹17,000 crore, a growth of approximately 17% over the previous year, underscores the company's strong execution and market position.

Rating: 8/10

Difficult Terms Explained

• EPC (Engineering, Procurement, and Construction): A type of contract where a company is responsible for all aspects of a project, from design and engineering to purchasing materials and managing construction.
• Buildings & Factories (B&F): Refers to contracts for constructing industrial facilities, commercial buildings, and other physical structures.
• Transmission & Distribution (T&D): The part of the power grid that transports electricity from power generation plants to consumers. T&D businesses typically involve building and maintaining power lines and related infrastructure.
• YTD (Year-to-Date): A period starting from the beginning of the current calendar year up to the present date. It's used for financial reporting to show progress over the year.
• Order Intake: The total value of new orders or contracts secured by a company during a specific period.