KEC Intl sees 15-20% order book growth in FY12

KEC Intl sees 15-20% order book growth in FY12

Mumbai: Infrastructure projects contractor KEC International , which reported January-March profit rose 25%, sees its order book growing 15-20% in 2011-12, chief executive officer and managing director Ramesh Chandak said on Friday.

The firm has a current order book of 7,800 crore, a growth of 42% over last year, he said on the telephone.

KEC, which is traditionally a power transmission and distribution projects contractor, has 62% of the order book from the core segments, he said.

Among other businesses, power systems account for about 19%, overseas unit SAE Towers contributes 11% and cable, water and telecom projects make for the rest.

“This year it (traction in order inflows) will be more in transmission and power systems, plus railways and water."

Earlier on Friday, KEC International posted a 25% year-on-year growth in Jan-March net profit to 78.58 crore on net sales of 1,557 crore.

Chandak declined to give guidance for revenue for 2012-12 but said the higher base of the order book and 15-20% expected growth over the present order book will give greater revenue visibility.

The Mumbai-based firm declared 2010/11 turnover of 4,474 crore, touching the $1-billion revenue mark it had set for itself for FY2011.

The RPG group firm will invest about 175 crore mainly for setting up a new cable plant at Vadodara in Gujarat and for buying equipment.

KEC continues to scout for suitable targets with a size of about 200 crore in water and railway segments across the domestic as well as overseas regions, he said.

Shares in the firm closed down 3.98% in a firm Mumbai market.