KEC International Surges on New Order Wins

KEC International shares rose over 17 per cent on Tuesday after the company announced order wins worth over Rs 1000 crore. KEC International, which operates in the engineering, procurement and construction (EPC) business, is part of the RPG Group founded by Rama Prasad Goenka.

KEC International's transmission and distribution (T&D) business secured total orders worth Rs 613 crore, the company said. Orders worth Rs 458 crore were in the domestic market, while orders worth Rs 155 crore were for international markets, the company added.

KEC International's railways business bagged orders worth Rs 288 crore for work in Madhya Pradesh from Rail Vikas Nigam, the company said. The cables business saw orders worth Rs 101 crore, the company added.

Management commentary:

Vimal Kejriwal, managing director and CEO of KEC International, told NDTV that almost 90 per cent of the Rs 1,002 crore orders were within the domestic market.

Speaking on the T&D business, Mr Kejriwal said the company has done "roughly Rs 3500 crore of business in South Asia". "We expect we should be growing between 10 and 15 per cent in this region," he said.

He also said the company expects Saudi Arabia to be a large driver for the company going ahead despite the global oil price fall. "Almost 50 per cent of revenues come from outside India, of which a large part comes from Middle East.... Even with the drop in oil prices, the markets in Saudi and the UAE are very buoyant."

Shares in KEC International ended over 16.8 per cent higher at Rs 125.65 apiece on the BSE, outperforming the broader markets.