The Power T&D business was a major contributor to KEC International’s order inflows in FY24, the company said in a release.
The company’s cumulative order inflow in FY24 (from April 1, 2023 to around November 1, 2023) stood at around Rs.9,000 crore with major contributions from the power T&D as well as the civil business.
Domestic orders accounted for 61 per cent in the aforementioned order inflow, with international mandates representing the remaining 39 percent.
As of around November 1, 2023, KEC’s outstanding order book stood at Rs.31,320 crore with domestic orders accounting for 69 per cent. Besides, KEC enjoyed L1 position with respect to potential orders worth around Rs.4,000 crore.
Power T&D business
The power T&D business (including SAE Towers) witnessed order inflow of around Rs.5,400 crore in FY24, accounting for a share of 60 per cent. The contribution of SAE Towers, KEC’s subsidiary in Brazil, was around 5 per cent in the total order intake.
“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 and 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.”
The outstanding order book position of KEC’s power T&D business (including SAE but excluding L1 positions) was around Rs.15,000 crore, as of November 1, 2023.
Also read: KEC International Wins Large Transmission Order In Saudi Arabia
Business outlook
The Indian government’s thrust on infrastructure development and enhanced capex opportunities in GCC (Gulf Cooperation Council) countries provide optimistic business outlook, KEC said in a presentation.
The company also sees great business opportunity coming from the upcoming “Green Energy Corridor Phase II” that envisages 13 GW of power evacuation from solar projects in Ladakh. The overall cost of this evacuation scheme is an estimated Rs.28,000 crore.
Featured photograph (source: KEC International) is for representation only.
