Kaynes Technology shares soar nearly 13% after Q4 PAT nearly doubles to ₹81.3 crore

The company’s earnings before interest, tax, depreciation, and, amortisation (EBITDA) for the fourth quarter rose 61% YoY higher at ₹95.2 crore. However, the EBITDA margin contracted by 134 basis points (bps) YoY to 14.9%. The net profit margin during the quarter rose 143 bps YoY at 12.8%.

Meanwhile, Kaynes Technology’s order book grew 8.6% YoY to ₹4,115.2 crore.

For the fiscal year 2024 (FY24), Kaynes Technology announced a 93% YoY growth in its net profit at ₹183.3 crore. Revenue from operations rose 60% YoY to ₹1,804.6 crore.

The company’s EBITDA for the financial year was higher by 51% YoY to ₹254.2 crore while the EBITDA margin contracted by 86 bps YoY to 14.1%. Kaynes Technology’s net profit margin for the financial year expanded by 170 bps YoY to 10.2%.

Ramesh Kunhikannan, managing director and promoter of Kaynes Technology said the firm continues to invest in new initiatives and execute projects in newer high-potential segments. “These strategic initiatives are poised to strengthen the company's competitive edge and make Kaynes an Integrated EMS Company. Many new initiatives are in the planning stage to support this strategy,” he said.

Kunhikannan added that the firm continues to expand capabilities across verticals with a clear focus on the outlined strategy of continuous expansion of the customer base with a focus on large accounts with a growing share of value-added services.

The management pointed out that the company's order book soared to ₹4,115.2 crore, providing strong visibility of growth for FY25 and beyond at similar growth rates and improved margins.

Shares of the company have risen by nearly 9% since the beginning of the year. The stock has gained nearly 150% in the last one year.