KEC International gains 2% after Co secures new orders worth Rs 1,401 crore
Shares of KEC International gained 2 per cent to Rs 335 on the BSE in the early morning deals on Friday in an otherwise weak market after the company said it has secured new orders of Rs 1,401 crore across its various businesses.
“The company’s transmission & distribution (T&D) business including SAE Towers has secured orders of Rs 1,143 crore for various T&D projects from Oman Electricity Transmission Company (OETC), Power Grid Corporation of India (PGCIL) and other customers,” the company said in a press release.
The railways business has secured orders of Rs 120 crore for Overhead Electrification (OHE)/Civil, while the Smart Infra business has secured orders of Rs 48 crore in the Defence segment in India, it said. The company further said its cables business has secured orders of Rs 90 crore for supply of various types of sables/cabling projects in India and overseas.
KEC International is a global infrastructure engineering, procurement, and construction (EPC) major. It has a presence in the verticals of power transmission and distribution, railways, civil, solar, smart infrastructure, and cables.
At 09:24 am, the stock was trading 1.5 per cent higher at Rs 330 on the BSE, as compared to a 1.4 per cent decline in the S&P BSE Sensex. A combined 131,000 equity shares changed hands on the counter on the NSE and BSE at the time of writing of this report.
“KEC delivered an overall decent performance across segments for Q1FY21 with execution pick-up, despite Covid-19 disruptions, and reasonable order inflows, mainly in the international T&D segment. Efficient working capital management and execution ramp up despite challenges should comfortably ensure 9.6 per cent revenue compound annual growth rate (CAGR) in FY20-22E,” ICICI Securities had said in a result review note issued on August 11.
“We value KEC at 12x FY22E earnings per share (EPS) with a revised target price of Rs 340/share and change our rating from HOLD to BUY,” the brokerage had added