FINANCIAL PERFORMANCE FOR QUARTER & HALF YEAR ENDED 30 SEPTEMBER 2023

KEC delivers Strong growth in Revenue and Profitability
Revenue grows by 11% in Q2 and 18% in H1
EBITDA grows by 54% in Q2 and 50% in H1; EBITDA Margin expands by 170 bps to 6.1% in Q2
PBT grows by 148% in Q2 and 77% in H1
Healthy Order Book + L1 of over Rs. 35,000 crore

Mumbai, November 1, 2023: KEC International Ltd., a global infrastructure EPC major and an RPG Group Company, today announced its results for the second quarter (Q2 FY24) and half year (H1 FY24) ended September 30, 2023.

Consolidated Financial Performance:

Q2 FY24 v/s Q2 FY23	H1 FY24 v/s H1 FY23
REVENUE: Rs. 4,499 crore against Rs. 4,064 crore EBITDA: Rs. 274 crore against Rs. 178 crore EBITDA Margin (Y-o-Y): 6.1% against 4.4% EBITDA Margin (Q-o-Q): 6.1% against 5.8% Interest as % to Revenue: 4.0% against 3.1% PBT : Rs. 66 crore against Rs. 27 crore PBT Margin:: 1.5% against 0.7% PAT: Rs. 56 crore against Rs. 55 crore PAT Margin:: 1.2% against 1.4%	REVENUE: Rs. 8,743 crore against Rs. 7,382 crore EBITDA: Rs. 519 crore against Rs. 346 crore EBITDA Margin (Y-o-Y): 5.9% against 4.7% Interest as % to Revenue: 3.8% against 3.1% PBT: Rs. 112 crore against Rs. 64 crore PBT Margin: 1.3% against 0.9% PAT: Rs. 98 crore against Rs. 86 crore PAT Margin: 1.1% against 1.2%

Q2 FY24 v/s Q2 FY23

H1 FY24 v/s H1 FY23

REVENUE: Rs. 4,499 crore against Rs. 4,064 crore
EBITDA: Rs. 274 crore against Rs. 178 crore
EBITDA Margin (Y-o-Y): 6.1% against 4.4%
EBITDA Margin (Q-o-Q): 6.1% against 5.8%
Interest as % to Revenue: 4.0% against 3.1%
PBT : Rs. 66 crore against Rs. 27 crore
PBT Margin:: 1.5% against 0.7%
PAT: Rs. 56 crore against Rs. 55 crore
PAT Margin:: 1.2% against 1.4%

REVENUE: Rs. 8,743 crore against Rs. 7,382 crore
EBITDA: Rs. 519 crore against Rs. 346 crore
EBITDA Margin (Y-o-Y): 5.9% against 4.7%
Interest as % to Revenue: 3.8% against 3.1%
PBT: Rs. 112 crore against Rs. 64 crore
PBT Margin: 1.3% against 0.9%
PAT: Rs. 98 crore against Rs. 86 crore
PAT Margin: 1.1% against 1.2%

Standalone Financial Performance:

Q2 FY24 v/s Q2 FY23*	H1 FY24 v/s H1 FY23*
REVENUE: Rs. 3,982 crore against Rs. 3,736 crore EBITDA: Rs. 184 crore against Rs. 230 crore EBITDA Margin (Y-o-Y): 4.6% against 6.2% EBITDA Margin (Q-o-Q): 4.6% against 4.6% Interest as % to Revenue: 3.9% against 2.7% PBT : Rs. 9 crore against Rs. 39 crore PBT Margin:: 0.2% against 1.0% PAT: Rs. 7 crore against Rs. 36 crore PAT Margin:: 0.2% against 1.0%	REVENUE: Rs. 7,684 crore against Rs. 6,584 crore EBITDA: Rs. 353 crore against Rs. 464 crore EBITDA Margin (Y-o-Y):4.6% against 7.0% Interest as % to Revenue: 3.8% against 2.7% PBT: Rs. 15 crore against Rs. 175 crore PBT Margin: 0.2% against 2.7% PAT: Rs. 11 crore against Rs. 136 crore PAT Margin: 0.1% against 2.1%

Q2 FY24 v/s Q2 FY23*

H1 FY24 v/s H1 FY23*

REVENUE: Rs. 3,982 crore against Rs. 3,736 crore
EBITDA: Rs. 184 crore against Rs. 230 crore
EBITDA Margin (Y-o-Y): 4.6% against 6.2%
EBITDA Margin (Q-o-Q): 4.6% against 4.6%
Interest as % to Revenue: 3.9% against 2.7%
PBT : Rs. 9 crore against Rs. 39 crore
PBT Margin:: 0.2% against 1.0%
PAT: Rs. 7 crore against Rs. 36 crore
PAT Margin:: 0.2% against 1.0%

REVENUE: Rs. 7,684 crore against Rs. 6,584 crore
EBITDA: Rs. 353 crore against Rs. 464 crore
EBITDA Margin (Y-o-Y):4.6% against 7.0%
Interest as % to Revenue: 3.8% against 2.7%
PBT: Rs. 15 crore against Rs. 175 crore
PBT Margin: 0.2% against 2.7%
PAT: Rs. 11 crore against Rs. 136 crore
PAT Margin: 0.1% against 2.1%

*PBT of Q2 & H1 FY23 included an exceptional item of Rs. 76 Cr towards provision for impairment of subsidiary in SAE Brazil

Consolidated Order Intake and Order Book:

Order Intake:
YTD Order intake of ~Rs. 9,000 crore, with T&D and Civil businesses being the major contributors.

Order Book:
YTD Order Book of Rs. 31,320 crore, healthy growth of ~14% YoY; Additionally, L1 of over Rs. 4,000 crore.

Consolidated Net Debt and Net Working Capital:

Net Debt including Acceptances stands at Rs. 6,339 crore as on 30th Sep’23. The increase in the net debt at ~7% YoY, is significantly lower than our Revenue growth of 24% in the trailing 12 months.
Net Working Capital (NWC) stands at 140 days as on 30th Sep’23 – Reduction of 8 days vis-à-vis 30th Sep’22

Mr. Vimal Kejriwal, MD & CEO, KEC International Ltd. commented, “We are pleased with the consistent growth in Revenues and improving trajectory of Profitability. The strong growth in Revenue has been delivered by good performances in Transmission and Distribution (T&D) and Civil businesses. We continue to deliver an improvement in EBITDA margin every quarter, with the margin increasing by 170 basis points to 6.1% in Q2 FY24, up from 4.4% in Q2 of the previous year. We are particularly encouraged by another quarter of turnaround performance in SAE Towers, as it has now achieved a positive PBT for two consecutive quarters. With a robust order book & L1 position of over Rs 35,000 crore and a healthy tender pipeline, we are confident of delivering a strong growth in Revenue and continually improving margins in the coming quarters.”

About KEC International Limited

KEC International is a global infrastructure Engineering, Procurement and Construction (EPC) major. It has presence in the verticals of Power Transmission and Distribution, Railways, Civil, Urban Infrastructure, Solar, Smart Infrastructure, Oil & Gas Pipelines, and Cables. The Company is currently executing infrastructure projects in 30+ countries and has a footprint in 110+ countries (includes EPC, Supply of Towers and Cables). It is the flagship Company of the RPG Group.

About RPG Enterprises

RPG Enterprises, established in 1979, is one of India's fastest growing business groups with a turnover of US$ 4.4 Billion. The group has diverse business interests in the areas of Infrastructure, Tyres, Pharma, IT and Specialty as well as in emerging innovation-led technology businesses.