KEC International Q4FY25

Strengths:
Strong order book (₹40,000+ crore) ensures revenue visibility and 15% growth potential in FY26.

Diversified portfolio reduces reliance on T&D, with railways and civil segments gaining traction.

Margin expansion (7.8% in Q4 FY25) and debt reduction (₹471 crore YoY) reflect improving financial health.

Global presence and expertise in complex EPC projects provide a competitive edge.
Weaknesses:
High P/E (66.13) and debt levels (₹5,574 crore) pose valuation and liquidity risks.

Low ROE (8.84%) compared to peers indicates inefficiencies in capital utilization.

Manpower shortages and geopolitical risks could delay execution and impact margins.

Recent 33.22% YTD share price decline suggests market skepticism.
Investment Outlook:
KEC International is a high-quality mid-cap EPC player with a robust order book and diversified growth drivers. Its strong FY25 performance (9.7% revenue growth, 64.6% PAT growth) and margin recovery are encouraging, but high valuation (P/E 66.13) and operational challenges (manpower, debt) warrant caution. Long-term investors with a high-risk appetite may consider accumulating near the target price (~₹945) or lower, given the 9.72% upside potential. Short-term investors should monitor working capital improvements and execution risks. Always consult a registered financial advisor before investing.

Видео KEC International Q4FY25 канала omnistock