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RKEC Projects Ltd. (IN:RKEC)
:RKEC
India Market
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RKEC Projects Ltd. (RKEC) AI Stock Analysis

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IN:RKEC

RKEC Projects Ltd.

(RKEC)

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Neutral 60 (OpenAI - 4o)
Rating:60Neutral
Price Target:
₹73.00
▲(11.26% Upside)
RKEC Projects Ltd. has a moderate overall stock score of 60, driven by stable operational efficiency but challenged by weak revenue growth and cash flow management. The technical analysis indicates a neutral to bearish sentiment, while the valuation suggests the stock is reasonably priced. The absence of earnings call data and corporate events limits further insights.

RKEC Projects Ltd. (RKEC) vs. iShares MSCI India ETF (INDA)

RKEC Projects Ltd. Business Overview & Revenue Model

Company DescriptionRKEC Projects Limited operates as an engineering construction company in India. The company constructs marine structures, such as wharves, berths, jetties, mooring dolphins, intake structures break waters, and coastal-shore protection works; and roads and bridges, as well as steel girders/PSU girders, and composite girders. It also undertakes building and infrastructure works, including civil works for power and refinery projects port development works, transmission lines, sports complex, buildings works, water intake systems, heavy RCC pre-stressed concrete and steel structures, and framed warehouses/industrial sheds; and rural electrification and LT/HT works. The company was incorporated in 2005 and is based in Visakhapatnam, India.
How the Company Makes MoneyRKEC Projects Ltd. generates revenue through its projects in the infrastructure and construction industry. The company primarily earns money by undertaking large-scale construction contracts in various sectors such as marine infrastructure, bridge construction, and road development. RKEC secures contracts from both government and private entities, which form the backbone of its revenue streams. The company is paid based on the completion of project milestones and contractual agreements, which include engineering, procurement, and construction (EPC) services. Additionally, RKEC may form joint ventures or partnerships with other firms to leverage expertise and share resources, further contributing to its earnings. The company's financial success is closely tied to its ability to win and efficiently execute large infrastructure projects, maintaining timelines and quality to ensure client satisfaction and repeat business.

RKEC Projects Ltd. Financial Statement Overview

Summary
RKEC Projects Ltd. shows solid revenue growth but faces challenges with profitability margins due to rising costs. The balance sheet indicates increased leverage, which could pose risks if not managed carefully. The cash flow situation is concerning with negative free cash flow, highlighting the need for improved cash management.
Income Statement
65
Positive
RKEC Projects Ltd. has shown consistent revenue growth, with a 19.6% increase from 2024 to 2025. However, the Gross Profit Margin has decreased from 29.98% in 2024 to 15.42% in 2025, indicating potential cost pressures. The Net Profit Margin remained stable at around 4.75% in 2025. Despite challenges, the company maintains a positive EBIT Margin of 10.09% and a strong EBITDA Margin of 13.82% in 2025.
Balance Sheet
60
Neutral
The company's Debt-to-Equity Ratio increased to 1.04 in 2025, indicating higher leverage compared to previous years. Return on Equity (ROE) for 2025 is 10.62%, which is reasonable but shows a decrease from 11.83% in 2024. The Equity Ratio stands at 32.49%, suggesting moderate financial stability. Overall, while leverage has increased, the balance sheet remains relatively stable.
Cash Flow
50
Neutral
The cash flow situation is concerning, with negative Free Cash Flow in 2025 at -₹708.75 million, indicating challenges in cash generation. The Operating Cash Flow to Net Income Ratio is negative, reflecting operational cash constraints. The company needs to improve its cash management to strengthen its financial position.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue4.13B4.22B3.53B2.78B2.11B2.08B
Gross Profit1.51B650.93M1.06B772.97M660.16M571.44M
EBITDA555.14M583.24M509.31M519.58M294.44M289.99M
Net Income180.95M200.38M199.58M124.27M71.19M127.64M
Balance Sheet
Total Assets5.73B5.81B4.66B4.40B3.67B3.78B
Cash, Cash Equivalents and Short-Term Investments85.25M470.60M130.47M67.91M261.45M8.43M
Total Debt2.07B1.95B1.50B1.16B1.41B1.11B
Total Liabilities3.82B3.92B2.97B2.92B2.30B2.48B
Stockholders Equity1.92B1.89B1.69B1.49B1.37B1.30B
Cash Flow
Free Cash Flow-426.99M-708.75M-19.73M-107.25M104.03M-631.57M
Operating Cash Flow94.86M-128.16M241.27M160.28M117.18M-367.71M
Investing Cash Flow-366.24M-439.38M-310.50M52.07M-15.18M31.84M
Financing Cash Flow280.67M370.02M131.79M-405.88M151.01M301.87M

RKEC Projects Ltd. Technical Analysis

Technical Analysis Sentiment
Negative
Last Price65.61
Price Trends
50DMA
69.19
Negative
100DMA
72.65
Negative
200DMA
75.06
Negative
Market Momentum
MACD
-1.21
Positive
RSI
39.62
Neutral
STOCH
14.62
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:RKEC, the sentiment is Negative. The current price of 65.61 is below the 20-day moving average (MA) of 70.95, below the 50-day MA of 69.19, and below the 200-day MA of 75.06, indicating a bearish trend. The MACD of -1.21 indicates Positive momentum. The RSI at 39.62 is Neutral, neither overbought nor oversold. The STOCH value of 14.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:RKEC.

RKEC Projects Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
60
Neutral
₹1.57B8.703.61%-19.48%
58
Neutral
₹1.93B1.15-43.40%
55
Neutral
$13.29B17.4210.03%0.93%7.13%-12.93%
46
Neutral
₹1.31B2.53%92.20%
41
Neutral
₹1.25B49.51-70.96%-588.51%
* Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:RKEC
RKEC Projects Ltd.
65.61
-62.67
-48.85%
IN:ARSSINFRA
ARSS Infrastructure Projects Limited
54.84
36.82
204.33%
IN:BRNL
Bharat Road Network Ltd.
23.02
-22.63
-49.57%
IN:MEP
MEP Infrastructure Developers Ltd.
2.30
-1.12
-32.75%
IN:SADBHAV
Sadbhav Engineering Limited
11.58
-21.18
-64.65%
IN:SADBHIN
Sadbhav Infrastructure Project Ltd.
3.73
-2.82
-43.05%

RKEC Projects Ltd. Corporate Events

RKEC Projects Ltd. Announces Strategic Financial Initiatives
Aug 23, 2025

RKEC Projects Ltd. announced several strategic decisions following its board meeting, including an increase in authorized share capital and plans to raise further capital through various financial instruments. These measures are aimed at strengthening the company’s financial position and supporting its growth initiatives. The board also approved limits for loans and investments, subject to shareholder approval, and established a Finance Committee to oversee the issuance of securities.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 07, 2025