KEI Industries’ stock fell by 5 percent following a nearly 9 percent drop on Thursday, despite reporting significant growth in its net profit for the second quarter of FY26. The company announced a 31 percent year-on-year increase in standalone net profit for the quarter ending September 2025, reaching ₹203.51 crore compared to ₹154.82 crore during the same period last year. Revenue from operations also increased by 19 percent, totaling ₹2,726.34 crore, up from ₹2,283.8 crore in the last year’s quarter.
The cables and wires segment of KEI experienced a 23 percent year-on-year growth; however, the stainless steel wires (SSW) and EPC projects segments saw declines of 10 percent and 23 percent, respectively. Despite the positive financial results, the decline in the stock price has been linked to investor concerns regarding margin pressures and valuation.
KEI’s EBITDA margin of 9.9 percent fell slightly short of market expectations. Leading brokerage firms continue to express a positive outlook on the company. UBS has reiterated its ‘buy’ rating with a target price of ₹4,750 per share, highlighting the company’s strong export growth and operational efficiency. Similarly, Nuvama Institutional Equities has maintained its ‘buy’ stance with a target price of ₹4,450 per share, deeming KEI its top pick within the coverage universe. Analysts remain optimistic about the company’s long-term growth trajectory, particularly with the upcoming commissioning of the Sanand plant, which is expected to enhance capacity and support future expansion.
On the Bombay Stock Exchange (BSE), KEI’s stock closed down 5.6 percent at ₹4,175.10, reaching an intraday low of ₹4,033.65 from a previous close of ₹4,423.60.
Published on October 16, 2025.
