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KEI’s Q2 FY-24 Revenue Grows 21% YoY, PAT Jumps 31%

KEI Industries logo

KEI Industries Ltd. [NSE: KEI, BOM: 517569], a major player in the Indian wire and cable industry, has announced its financial results for Q2 of FY-24.

KEI Industries’ Standalone Financial Results Q2 FY24

KEI Industries reported Rs. 1,946.58 crore as its standalone revenue from operations for Q2 of FY-24 whereas Profit After Tax (PAT) of the company stood at Rs. 140.21 crore for Q2 of financial year 2023-24.

Earnings Per Share (EPS) of the company was Rs. 15.54 for Q2 of FY-24.

KEI Industries’ Q2 FY-24 Consolidated Financial Performance

YoY Comparison of KEI’s Financial Figures: Q2 FY-24 vs. Q2 FY-23

Comparison of KEI Financials: Q2 FY23 vs Q2 FY24 vs Q1 FY24

KEI Industries generated Rs. 1,946.58 crore revenue from operations during Q2 of FY-24. This shows 21.05% Year-over-Year (YoY) increase in revenue from Rs. 1,608.07 crore recorded during Q2 of FY-23.

The company’s PAT showed a strong YoY growth of 31.18% to Rs. 140.21 crore in Q2 of FY-24 from Rs. 106.88 crore logged during Q2 of FY-23.

EPS of the company stood at Rs.15.54 in Q2 of FY-24 against Rs. 11.86 during second quarter of FY-23.

QoQ Comparison of KEI Industries’ Financials: Q2 FY-24 vs. Q1 FY-24

Quarter-over-Quarter (QoQ), KEI Industries’ revenue increased by 9.2% from Rs. 1,782.57 crore, which was logged during Q1 of FY-24. PAT of the company also showed an upward trend on QoQ basis, increasing by 15.51% from Rs. 121.38 crore during Q1 of FY-24.

KEI’s Segment-Wise Revenue Comparison

KEI Segment-wise Financials: Q2 FY23 vs Q2 FY24

Cables & Wires: KEI’s Cables & Wires segment revenue saw a YoY increase of 22.88% to Rs. 1,775.53 crore during Q2 of FY-24 from Rs. 1,444.91 crore in Q2 of FY-23.

In its Q2 FY-24 earnings presentation, KEI stated that its domestic institutional wire and cable sales decreased to Rs. 511 crore in Q2 of FY-24 from Rs. 516 crore recorded during Q2 of FY-23. Further, institutional cable sales, including exports, accounted for 44.36% share in Q2 FY-24 revenue, up from 39.83% in Q2 FY-23.

Stainless Steel Wire: The company logged a revenue of Rs. 59.07 crore in Q2 of FY-24 from its Stainless Steel Wire segment. This reflects a YoY decrease of 19.61% from Rs. 73.48 crore during Q2 of FY-23.

EPC Projects: Revenue from EPC Projects of the company exhibited remarkable growth with Q2 FY-24 revenue increasing 2.98 times of the segment’s Q2 revenue in FY-23. Revenue from this segment of KEI stood at Rs. 313.08 crore in Q2 FY-24 and Rs. 105.85 crore during Q2 of FY-23.

Insights of KEI’s CMD on its Financial Performance

During the company’s earnings call for its Q2 FY-24 financial performance, Mr. Anil Gupta, Chairman and Managing Director of KEI Industries, said, “The major highlight is that the export sale in this quarter has jumped significantly to Rs. 249 crores with a growth of approximately 79% compared to previous period last year”. He further added that the company has increased its brownfield investment amount for FY-24 at its Chinchpada plant from Rs. 45-50 crore to Rs. 110 crore. With this investment, the company targets to increase its capacity of house wire and LT power cables. With this expansion, KEI targets increasing its revenue by Rs. 800-900 crore per annum.

About KEI Industries Ltd.: KEI Industries was founded in 1968 as a partnership firm. It was converted into a Limited company in 1992. The company has manufacturing facilities in Bhiwadi, Chopanki & Pathredi in Rajasthan and Silvassa in Dadra & Nagar Haveli. KEI is primarily a cable and wire company, dealing in Low Tension (LT) cables, High Tension (HT) and Extra High Voltage (EHV), control and instrumentation cables, specialty cables, elastomeric / rubber cables, submersible cables, flexible & house wires.