The shares of the leading construction company gained up to 3 percent after the company received a prestigious work order worth Rs 1,011 crore.
With a market capitalization of Rs 22,309.73 crore, the shares of Kalpataru Projects International Ltd were trading at Rs 1,306.40 per share, increasing around 1 percent as compared to the previous closing price of Rs 1297.05 per share.
Reason for rise:-
The shares of the company have seen positive movement after Kalpataru Projects International Limited (KPIL) and its subsidiaries secured prestigious orders worth ₹1,011 crore, including Transmission & Distribution (T&D) projects overseas, and Railway and Buildings & Factories (B&F) projects in India, further strengthening their diverse business portfolio.
Financial performance:-
The company’s revenue stretched 9%, rising from ₹4,518 crore in Q2FY24 to ₹4,930 crore in Q2FY25, while net profit pumped by 40%, growing from ₹90 crore to ₹126 crore during the same period, reflecting strong financial performance and continued business growth.
Business Performance:-
T&D, B&F, oil & gas, and urban infra businesses grew 20%+ YoY in H1 FY’25, while the water segment remained subdued. Consolidated revenue rose 9% YoY to ₹4,930 Cr in Q2 FY’25, with EBITDA margins at 8.9%, PBT up 42%, and PAT up 40%.
Order Book:-
The company secured record order inflows of ₹11,865 Cr, with 90% from T&D and B&F businesses, and holds an L1 position in ₹7,000 Cr orders, 75% in domestic T&D. The consolidated order book is ₹60,631 Cr as of September ’24, diversified across sectors.
Future outlook:-
Management anticipates healthy growth and improved margins in Q3 and Q4 FY’25, supported by strong project visibility and a diversified portfolio. These factors are expected to sustain performance momentum and bolster financial outcomes in the latter half of the fiscal year.
Strategic Initiatives:-
The company signed agreements to sell Vindhyachal Expressway, closing in upcoming quarters. A ₹1,000 Cr QIP was approved to bolster liquidity for capex needs. Emphasis remains on maintaining working capital days below 100 by Q4 FY’25, ensuring operational efficiency and financial discipline.
Margin Guidance:-
Management aims to enhance margins via improved project mix and execution, targeting double-digit margins in the T&D segment. Overall blended EBITDA margins are expected to improve gradually, reflecting a focused strategy on optimizing profitability across business segments.
Company Profile:-
Kalpataru Projects International Limited, formerly Kalpataru Power Transmission Limited, is an India-based engineering, procurement, and construction (EPC) company. The Company is engaged in the business of EPC relating to infrastructure comprising buildings and factories, power transmission and distribution, roads and bridges.
Written by:- Abhishek Singh
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