KEC International Limited Just Missed Earnings - But Analysts Have Updated Their Models

KEC International Limited (NSE:KEC) missed earnings with its latest quarterly results, disappointing overly-optimistic forecasters. It wasn't a great result overall - while revenue fell marginally short of analyst estimates at ₹53b, statutory earnings missed forecasts by an incredible 25%, coming in at just ₹4.87 per share. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. Readers will be glad to know we've aggregated the latest statutory forecasts to see whether the analysts have changed their mind on KEC International after the latest results.

Check out our latest analysis for KEC International

Taking into account the latest results, the current consensus from KEC International's 22 analysts is for revenues of ₹259.4b in 2026. This would reflect a major 23% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to shoot up 136% to ₹40.28. Before this earnings report, the analysts had been forecasting revenues of ₹262.6b and earnings per share (EPS) of ₹42.33 in 2026. So it looks like there's been a small decline in overall sentiment after the recent results - there's been no major change to revenue estimates, but the analysts did make a small dip in their earnings per share forecasts.

The average price target fell 5.2% to ₹988, with reduced earnings forecasts clearly tied to a lower valuation estimate. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. Currently, the most bullish analyst values KEC International at ₹1,192 per share, while the most bearish prices it at ₹880. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the KEC International's past performance and to peers in the same industry. It's clear from the latest estimates that KEC International's rate of growth is expected to accelerate meaningfully, with the forecast 18% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 13% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 13% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect KEC International to grow faster than the wider industry.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for KEC International. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of KEC International's future valuation.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for KEC International going out to 2027, and you can see them free on our platform here.

You still need to take note of risks, for example - KEC International has 2 warning signs (and 1 which is a bit unpleasant) we think you should know about.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.