KEC International FY13Q2 net profit declines 24%

MUMBAI: KEC International reported a 24% year-on-year decline in net profit in the second quarter of 2012-13, despite a 32% increase in sales in the same period.

"Our margins have been hurt due to high costs in some of the new businesses which have not yet started showing results," Ramesh Chandak, managing director told ET.

The RPG Enterprises' infrastructure company reported net sales ofRs 1,668 crore in July-September as against Rs 1,263 crore a year ago.

The company's order book was worth Rs 9,386 crore as on end-September, up 11.1% on year, driven primarily by new orders from power transmission and distribution sector.

"Our strong geographical and business spread has helped us in continuously delivering strong top-line growth and order intake. In each of our previous 4 quarters, our top-line has grown over 30% Y-o-Y and our order book has increased from ' 8,572 crore as at start of the financial year to ' 9,386 crore currently," Chandak said.