Kalpataru Projects International Limited (KPIL) AI Stock Analysis

• Market Cap: ₹193.25B
• Dividend Yield: 0.77%
• Average Volume (3M): 4.38K
• Price to Earnings (P/E): 33.7
• Beta (1Y): 1.55
• Revenue Growth: 25.09%
• EPS Growth: 50.01%
• Country: IN
• Employees: 8,441
• Sector: Real Estate
• Sector Strength: 53
• Industry: Engineering & Construction
• EPS (TTM): 10.60
• Shares Outstanding: 170,772,550
• 10 Day Avg. Volume: 2,857
• 30 Day Avg. Volume: 4,382
• PEG Ratio: 2.09
• Price to Book (P/B): 2.49
• Price to Sales (P/S): 0.73
• P/FCF Ratio: 47.76
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹1,408.00
• Price Target Upside: 17.53% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 55.45
• Revenue Forecast (FY): ₹272.45B

• Rating: 73 Outperform
• Price Target: ₹1,261.00 ▲(5.26% Upside)
• Action: Upgraded Date: 11/05/25
• Date: Action: Upgraded 11/05/25

Kalpataru Projects International Limited's overall score is driven by strong financial performance and positive technical indicators. The company's revenue growth and operational efficiency are significant strengths, though rising liabilities and cash flow challenges present some risks. The stock's valuation suggests it may be overvalued, which could limit upside potential. The absence of earnings call and corporate events data means these factors did not influence the score.

Positive Factors

Revenue Growth

Double‑digit revenue growth (reported ~24.6%) reflects sustained demand and successful bidding across core infrastructure segments. Durable top‑line expansion improves scale economics, enhances supplier leverage, and gives multi‑quarter visibility from a healthy order pipeline.

Operational Margins

Robust gross and EBIT margins indicate efficient project execution and tight cost controls in EPC operations. Sustained operational profitability provides resilience to cyclical pressures, funds reinvestment in capabilities, and supports competitive, margin‑protecting bidding over the medium term.

Operating Cash Generation

Operating cash flow exceeds net income at a 1.56x rate, showing reliable cash generation from core activities. Strong cash conversion helps fund working capital needs inherent to large EPC projects, reduces dependence on external financing, and supports steady project execution.

Negative Factors

Rising Liabilities / Leverage

A 0.66 debt‑to‑equity ratio and rising total liabilities indicate greater reliance on debt financing. In a working‑capital intensive EPC business, higher leverage raises interest and refinancing risk, constrains bidding flexibility, and can amplify stress from project delays or margin compression.

Declining Free Cash Flow

A drop in free cash flow and an FCF‑to‑net‑income ratio of 0.58 signal less cash available after capex and working capital. Persisting FCF weakness diminishes the company’s ability to deleverage, invest in growth, or absorb shocks without raising external capital, weakening long‑term flexibility.

Thin Net Profitability / Earnings Quality

A modest net margin (2.62%) leaves limited room for cost overruns, disputes, or commodity inflation typical in EPC. The atypical note that EBITDA is lower than EBIT suggests non‑standard items or accounting quirks, reducing clarity on recurring earnings and increasing forecasting risk.

Kalpataru Projects International Limited Business Overview & Revenue Model

Company Description

Kalpataru Projects International Limited provides engineering, procurement, and construction (EPC) services relating to buildings and factories, power transmission and distribution, roads and bridges, water pipelines, railway track laying and electrification, and oil and gas pipelines in India and internationally. The company operates in Engineering, Procurement and Construction; and Developmental Project segments. It designs, tests, fabricates, erects, constructs, and maintains transmission lines, power substations, oil and gas infrastructure, railway projects, and civil contracting services for buildings and factories, airports, water infrastructure, and highways and metro construction on a turnkey basis. The company also provides EPC contracting services for cross-country pipelines, terminals, and gas gathering stations across various territories; and EPC services for executing civil infrastructure, bridges, gauge conversion, signaling and telecommunication, traction sub-station, and over-head electrification projects for railways. In addition, it engages in the high voltage substation business in air insulated and gas insulated markets; and manufacture of railway structure, as well as operates two biomass power generation plants. Further, the company is involved in the agri-storage infrastructure with value added services, such as warehousing, processing, trading, funding facilitation, collateral management, testing and certification, and pest management and control activities, as well as preservation, maintenance, and security. The company was formerly known as Kalpataru Power Transmission Limited and changed its name to Kalpataru Projects International Limited in May 2023. Kalpataru Projects International Limited was incorporated in 1981 and is based in Mumbai, India.

How the Company Makes Money

KPIL generates revenue primarily through its EPC contracts, where it undertakes large-scale projects for government and private sector clients. The company earns income by charging for its services in design, procurement, and construction management. Key revenue streams include project execution fees, consultancy services, and ongoing maintenance contracts. Additionally, KPIL benefits from strategic partnerships with international firms and government agencies, which enhance its capabilities and market reach. The company's focus on renewable energy projects also positions it advantageously in a growing market, contributing to its overall financial performance.

Kalpataru Projects International Limited Financial Statement Overview

Summary

Kalpataru Projects International Limited demonstrates strong revenue growth and operational efficiency, evidenced by its increasing profit margins and revenue growth. The balance sheet shows a healthy equity position, although rising liabilities need monitoring. Cash flow generation is adequate but could be improved for better financial flexibility. Overall, the company is on a positive trajectory with manageable risks.

Income Statement

Kalpataru Projects International Limited has shown a consistent revenue growth over the years, with a notable revenue growth rate of 13.71% from 2024 to 2025. The gross profit margin remains strong at 24.09% in 2025, indicating efficient cost management. The net profit margin improved slightly to 2.62% in 2025, which is modest but shows positive momentum. The EBIT margin is robust at 14.63%, reflecting good operational efficiency. However, the EBITDA margin is lower than EBIT margin, which is unusual and might require further analysis.

Balance Sheet

The company maintains a solid equity base with a debt-to-equity ratio of 0.66 in 2025, which is sustainable but indicates a reliance on debt. The return on equity has improved to 8.99% in 2025, showing efficient use of shareholders' investments. The equity ratio is stable at 25.46%, reflecting a balanced capital structure. However, the total liabilities have increased, suggesting potential risks if not managed carefully.

Cash Flow

The cash flow statement reflects a mixed picture, with a decline in free cash flow from 2024 to 2025. The operating cash flow to net income ratio is 1.56, indicating that the company generates sufficient cash from operations. However, the free cash flow to net income ratio is lower at 0.58, suggesting potential challenges in generating free cash flow. The overall cash flow health is adequate, but improvements could enhance financial flexibility.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	239.00B	223.16B	196.26B	163.61B	147.77B	129.49B
Gross Profit	63.08B	58.53B	52.07B	42.40B	38.90B	38.14B
EBITDA	18.81B	17.29B	16.55B	12.97B	11.20B	13.97B
Net Income	7.06B	5.86B	5.10B	4.41B	5.40B	6.71B
Balance Sheet
Total Assets	0.00	255.84B	220.38B	195.81B	172.12B	153.54B
Cash, Cash Equivalents and Short-Term Investments	17.59B	19.09B	10.18B	14.85B	11.70B	6.63B
Total Debt	0.00	43.14B	40.08B	37.87B	38.38B	32.60B
Total Liabilities	-64.69B	191.15B	169.25B	148.88B	127.94B	114.95B
Stockholders Equity	64.69B	65.13B	51.38B	47.20B	42.79B	37.38B
Cash Flow
Free Cash Flow	0.00	3.39B	4.91B	-1.15B	4.06B	6.70B
Operating Cash Flow	0.00	9.14B	8.43B	6.56B	7.14B	9.31B
Investing Cash Flow	0.00	-7.18B	-2.63B	-3.26B	-2.55B	77.50M
Financing Cash Flow	0.00	4.00B	-5.24B	-4.38B	249.90M	-8.97B

Kalpataru Projects International Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1197.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KPIL, the sentiment is Negative. The current price of 1197.95 is above the 20-day moving average (MA) of 1142.43, above the 50-day MA of 1144.99, and above the 200-day MA of 1193.96, indicating a bearish trend. The MACD of 9.56 indicates Negative momentum. The RSI at 47.12 is Neutral, neither overbought nor oversold. The STOCH value of 32.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KPIL.

Kalpataru Projects International Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MINDSPACE	74 Outperform	₹297.43B	40.17	―	0.00%	14.72%	-4.44%
KPIL	73 Outperform	₹193.25B	33.73	―	0.77%	25.09%	50.01%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
BRIGADE	62 Neutral	₹163.99B	29.00	―	0.28%	11.20%	57.52%

Kalpataru Projects International Limited Corporate Events

Kalpataru Projects Schedules Virtual Analyst Meet for Bharat Connect Conference

Kalpataru Projects International Limited has announced its participation in the Bharat Connect Conference: Rising Stars – March 2026, organized by Arihant Capital Markets Ltd. The event, scheduled for March 11, 2026, will be held virtually as a group meeting with analysts and institutional investors.

The company has clarified that no unpublished price-sensitive information will be shared during this investor interaction, aligning with regulatory requirements under SEBI’s Listing Obligations and Disclosure Requirements. This engagement underscores KPIL’s ongoing efforts to maintain active communication with the investment community while adhering to strict disclosure norms.

Kalpataru Projects Flags UAE Penalties, Brazil Loan Prepayment and Indian Tax Demand

Kalpataru Projects International disclosed that its UAE branches have received penalties totaling about AED 758,950 for violations related to the National In-Country Value Program and Emiratization regulations, but stated these do not have a significant impact on its overall operations. The company also prepaid BRL 85.14 million to Banco HSBC S.A. in Brazil under corporate guarantees for a step-down subsidiary’s loan and received an income tax assessment order in India raising a demand of INR 1.80 crore, which it plans to appeal while asserting no material effect on its financial position.

These developments highlight regulatory and financial actions across key markets, underscoring the group’s exposure to compliance regimes in the UAE, Brazil, and India. Management maintains that the combined impact of the UAE penalties, the Brazilian loan prepayment under guarantees, and the Indian tax demand is not significant for stakeholders, indicating confidence in the company’s ability to absorb these items within its current operations.

Kalpataru Projects Posts Robust Q3 FY26 Growth, Trims Debt and Strengthens Order Book

Kalpataru Projects International Limited reported strong financial results for the quarter and nine months ended 31 December 2025, with consolidated revenue rising 16% year-on-year in the third quarter to ₹6,665 crore and 27% for the nine-month period to ₹19,365 crore, supported by healthy execution in T&D, B&F, oil and gas and urban infrastructure. Consolidated profit before tax grew 37% in Q3 to ₹277 crore and 69% for the nine months to ₹889 crore, reflecting margin expansion from operational improvements, a diversified project mix and tighter working capital management, while consolidated net debt fell 29% quarter-on-quarter to ₹2,240 crore and standalone net working capital improved to 97 days. The company’s order book stood at ₹63,287 crore with year-to-date order inflows of about ₹19,456 crore and additional L1 positions worth around ₹7,000 crore, underscoring strong business visibility, and it also completed the sale of its Vindhyachal road asset in January 2026 for an enterprise value of about ₹799 crore, further strengthening its balance sheet and strategic focus on core EPC operations.

Kalpataru Projects Files SEBI Dematerialisation Compliance Certificate for December Quarter

Kalpataru Projects International Limited has submitted to the stock exchanges a compliance certificate from its Registrar and Transfer Agent, MUFG Intime India Private Limited, confirming adherence to Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018. The certificate states that all securities received for dematerialisation during the quarter ended 31 December 2025 were duly processed, listed on the relevant stock exchanges, and that physical certificates were verified, mutilated and cancelled within prescribed timelines with depositories correctly recorded as registered owners, underscoring the company’s ongoing compliance with securities dematerialisation and listing norms.

Kalpataru Projects Secures ₹2,003 Crores in New Orders

Kalpataru Projects International Limited has announced securing new orders worth approximately ₹2,003 Crores in its Buildings and Factories (B&F) and Power Transmission & Distribution (T&D) sectors. These orders enhance KPIL’s portfolio in residential and hospital projects in India and expand its footprint in the T&D market both domestically and internationally, contributing to a year-to-date order intake of around ₹17,000 Crores, which signals strong growth prospects for the company.