KEC International adds ₹1,303 crore in new orders

KEC International Limited (KEC) has won ₹1,303 crore of new orders across its Transmission & Distribution and Cables & Conductors businesses. The new orders take KEC's year-to-date order intake above ₹7,600 crore. The projects cover India, Saudi Arabia and the Americas. The headline number looks good. I would focus on what happens after the order win. KEC entered FY27 with an order book and L1 position of more than ₹40,000 crore. Yet Q1 FY27 revenue was almost flat at ₹5,024 crore. EBITDA margin fell to 5.8% from 7.0% a year earlier, while PAT fell 42% to ₹73 crore. That tells me the current issue is not simply getting orders. It is executing them at the right margin and converting execution into cash. The latest ₹1,303 crore win improves revenue visibility. It does not automatically improve profitability. My view is positive on the order pipeline, but I would not use order intake alone as the reason to turn bullish on the stock. The next trigger for me is Q2 FY27 results. I want to see EBITDA margin move back toward 7% and working capital continue to improve. KEC had reduced net debt by more than ₹150 crore by June 2026, while net working capital stood at 134 days. My stance: The order pipeline is strong. Margin recovery and cash conversion are the numbers that can change my view. Disclosure: I do not hold KEC International Limited at the time of writing.