US-Iran war: TCS, KEC Int'l to L&T among top Indian companies with significant exposure to Middle East
Indian companies like TCS, L&T, and KRBL have significant exposure to the Middle East. These stocks declined in intraday tarde on Monday.
The US-Iran war is wreaking havoc on market sentiment. The Sensex plunged over 2,700 points at the opening on Monday but later pared most of its losses. Still, the index was trading about 1,000 points lower at 10:30 am. The NSE benchmark, the Nifty 50, was hovering near 24,850 at that time.
The market is anxious over a sharp rise in crude oil prices and the economic fallout of a prolonged war in the Middle East.
Elevated crude oil prices are a major negative for the Indian economy. Moreover, crude oil is a key raw material for several sectors, implying that rising prices would increase companies’ input costs and erode their profitability.
In addition, a war could disrupt the normal operations of companies operating in the region. Several Indian firms have significant exposure to the Middle East, with some deriving a substantial portion of their revenues from the region.
Let's take a look at some of the major companies that have a significant exposure to the Middle East:
Larsen and Toubro
Larsen & Toubro (L&T) has a significant exposure to the West Asian region. According to reports, the company's international revenues contributed 54% of total revenues in Q3FY26. Over the last few years, the company has seen a significant volume of large-value contracts in the Middle East. L&T Group achieved order inflows of ₹3,56,631 crore during FY25. The growth in order inflows was largely driven by the strong investment momentum in the Middle East region and the capex push from the Government of India.
The stock crashed 7.5% in intraday trade on the BSE on Monday, March 2.
Tata Consultancy Services (TCS)
TCS has a significant exposure to the MEA (Middle East and North Africa) region. In Q3FY26, its revenue from the region rose by 8.3% year-on-year and contributed significantly to the overall revenue growth, which saw declines in key markets like India and the UK.
TCS share price declined over 3% to hit its 52-week low of ₹2551.55.
KEC International
The civil construction firm has several projects in the Middle East. The company, in its earnings call for Q3FY26, said it is strategically focusing on expanding its Middle East footprint.
It said it had secured its third international order for a pipeline laying project in the Middle East.
According to the company, the Middle East continues to be a key growth engine for it, with significant opportunities across Saudi Arabia, the UAE and Oman.
The stock crashed nearly 12% to hit its 52-week low of ₹517.90 on the BSE on Monday.
VA Tech Wabag
In its December quarter earnings presentation, the company revealed that it is exploring opportunities and technologies to digitalise its other plants and networks in India and the Middle East.
According to a CNBC-TV18 report, the company's management revealed in Q3FY26 earnings call that the company is currently executing a 200 MLA Al Haer STP project in Saudi Arabia, and a 300 MLD Yanbu Mega Desalination Plant in Saudi.
The stock crashed by over 12% in intraday trade on the BSE on Monday.
Kalyan Jewellers
The jewellery company has major exposure to the Middle East region. Within the region, its revenue increased by nearly 28% in Q3FY26.
Kalyan Jewellers' share price dropped more than 4% in intraday trade on the BSE.
Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
About the Author
Nishant is a market reporter at Mint, where he holds the official designation of Principal Correspondent – Markets. He has been closely tracking the Indian stock market as well as major global stock markets along with the broader macroeconomic trends for a decade. <br><br> He is obsessed with breaking down complex financial and economic concepts into clear and engaging stories. He focuses not only on what is happening in the markets, but also why it matters. <br><br> His coverage includes stock market trends, sector rotations, monetary and fiscal policy developments, inflation, growth data, and personal finance strategies. <br><br> With nearly 10 years of experience in covering financial markets, Nishant has covered bull markets, corrections, policy transitions, and macro developments that has equipped him with a deep understanding of how domestic and global forces shape markets and affect investments. <br><br> He regularly interviews market veterans, fund managers, economists, policymakers, and corporate leaders to provide readers with a 360-degree view of market dynamics and the broader economic landscape. <br><br> Before joining Mint, Nishant worked with some of India’s most respected business newsrooms, including The Economic Times and Moneycontrol, where he reported extensively on the stock market, corporate earnings, macroeconomic trends, GDP, inflation, monetary policies of the RBI and the US Federal Reserve, bonds, and currencies. <br><br> Apart from economics and investing, he has interests in geopolitics and emerging technologies, such as AI.
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