KP Green Engg.

KP Green Engineering delivered a robust financial performance in H1 FY26, with consolidated total income reaching INR536 crores, marking an impressive 101% year-on-year growth. EBITDA surged by 133% to INR102 crores, while Profit Before Tax (PBT) rose 116% to INR78 crores. Profit After Tax (PAT) also saw significant growth, increasing by 112% year-on-year to INR58 crores, driven by strong operational efficiency and economies of scale.

The company's manufacturing capacity has expanded to 3,10,500 metric tons per annum and is on track to reach 4,00,500 MTPA by the end of FY26. A major milestone is the commissioning of Asia's largest galvanizing plant, expected to be operational by December 2025, which will enhance production efficiency. KP Green Engineering also launched new verticals in Pre-Engineering Building, Heavy Engineering, Monopole, and High Mast, which have already started receiving orders and are establishing market presence.

KP Green Engineering secured new confirmed orders worth INR682 crores, contributing to a total order book of approximately INR1100 crores as of H1 FY26. The company also reported an equivalent amount in its pipeline, indicating strong future visibility. The order book composition is currently 50% internal (from KP Group companies) and 50% external, with a future target to shift to 30% internal and 70% external. Product-wise, 50% is from solar/renewable energy, 30% from transmission lines, and 20% from other products like cable trays and crash barriers.

The company is actively expanding into future-ready technologies through strategic MOUs. These include collaborations with Delta Electronics India for battery energy storage systems, green hydrogen, and EV charging infrastructure, as well as a JV with AHES, Korea, and GH2 Solar, India, for green ammonia. KP Green Engineering will fulfill the infrastructure requirements for these projects within the KP Group, reinforcing its commitment to sustainability-driven growth and leveraging its capabilities across the ecosystem.

Management reiterated its guidance for a minimum 60-70% revenue growth for FY26, with potential for higher. The company expects to achieve 60-70% capacity utilization at peak and 50-70% by FY28. EBITDA margins are projected to remain stable in the range of 15-18% for FY26 and beyond, attributed to customized product offerings and efficient execution. The company aims for a long-term vision of achieving 10 gigawatts in renewable energy by 2030.

Management addressed investor concerns regarding the 2% royalty payment to Mr. Faruk Patel, explaining that it covers brand creation and associated expenses borne personally by him, and is compliant with SEBI guidelines. While acknowledging the current low institutional holding, management expressed confidence that strong performance and the group's reputation would attract more institutional investors over time^⏳.