KEC International Ltd. — Interim / Quarterly Report 2022

Oct 27, 2021

KEC INTERNATIONAL LTD. RPG House 463, Dr. Annie Besant Road Worli, Mumbai 400030, India +91 22 66670200 www.kecrpg.com

October 27, 2021

National Stock Exchange of India Limited Exchange Plaza Bandra Kurla Complex Bandra (East), Mumbai 400 051

Symbol: KEC

BSE Limited

Phiroze Jeejeebhoy Towers Dalal Street, Fort Mumbai – 400 001

Scrip Code: 532714

Dear Sir/ Madam,

Sub: Outcome of Board Meeting of the Company held on October 27, 2021

In terms of Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“SEBI Listing Regulations"), we wish to inform that the Board of Directors of the Company, at its meeting held today i.e. on Wednesday, October 27, 2021, inter alia, considered and approved the Unaudited Standalone and Consolidated Financial Results of the Company for the quarter and half year ended September 30, 2021.

The above said Unaudited Financial Results along with the Limited Review Report of the Statutory Auditors thereon are enclosed herewith in terms of Regulation 33 of the SEBI Listing Regulations.

The Board meeting commenced at 04:30 p.m. and concluded at 7:45 p.m.

Kindly take the same on records.

Thanking you,

Yours faithfully,

For KEC International Limited

Digitally signed by Amit Kumar Amit Kumar Gupta Gupta Date: 2021.10.27 19:52:39 +05'30'

Amit Kumar Gupta Company Secretary & Compliance Officer

Encl: as above

Registered Office: RPG House, 463, Dr. Annie Besant Road Worli, Mumbai 400030, CIN: L45200MH2005PLC152061, India.

An Company

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The Board of Directors KEC International Limited RPG House, 463, Dr. Annie Besant Road, Worli, Mumbai – 400 030

1. We have reviewed the consolidated unaudited financial results of KEC International Limited (the “Parent”), which includes 43 branches, 27 jointly controlled operations consolidated on a proportionate basis and its 16 subsidiaries (the Parent, its branches, jointly controlled operations and its subsidiaries hereinafter referred to as the “Group”) (refer Annexure A) for the quarter ended September 30, 2021 and the year to date results for the period April 01, 2021 to September 30, 2021, which are included in the accompanying ‘Statement of Consolidated Unaudited Financial Results for the Quarter and the Half Year ended September 30, 2021’, the unaudited Statement of Consolidated Assets and Liabilities as on that date and the Consolidated Cash Flow Statement for the half-year ended on that date (the “Statement”). The Statement is being submitted by the Parent pursuant to Regulations 33 and 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the “Listing Regulations, 2015”), which has been digitally signed by us for identification purposes.

2. This Statement, which is the responsibility of the Parent’s Management and has been approved by the Parent’s Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34 “Interim Financial Reporting” (“Ind AS 34”), prescribed under Section 133 of the Companies Act, 2013, and other accounting principles generally accepted in India. Our responsibility is to express a conclusion on the Statement based on our review.

3. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410 “Review of Interim Financial Information Performed by the Independent Auditor of the Entity”, issued by the Institute of Chartered Accountants of India. This Standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We also performed procedures in accordance with the circular issued by the SEBI under Regulation 33(8) of the Listing Regulations, 2015, to the extent applicable.

1. The Statement includes the results of the entities listed in paragraph 7 and Annexure A.

2. Based on our review conducted and procedures performed as stated in paragraph 3 above and based on the consideration of the review reports of the branch auditors and other auditors referred to in paragraph 7 below, nothing has come to our attention that causes us to believe that the accompanying Statement has not been prepared in all material respects in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standard and other accounting principles generally accepted in India and has not disclosed the information required to be disclosed in terms of Regulations 33 and 52 of the Listing Regulations, 2015 including the manner in which it is to be disclosed, or that it contains any material misstatement.

Price Waterhouse Chartered Accountants LLP, 252, Veer Savarkar Marg, Shivaji Park, Dadar (West), Mumbai 400 028 T: +91 (22) 6669 1500, F: +91 (22) 66547804 / 07

Registered office and Head Office: Sucheta Bhawan, 11A Vishnu Digambar Marg, New Delhi – 110002

Price Waterhouse (a Partnership Firm) Converted into Price Waterhouse Chartered Accountants LLP (a Limited Liability Partnership with LLP identity no: LLPINAAC-5001) with effect from July 25, 2014. Post its conversion to Price Waterhouse Chartered Accountants LLP, its ICAI registration number is 012754N/N500016 (ICAI registration number before conversion was 012754N)

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1. We draw attention to Note 7 of the Statement, regarding the Company’s net exposure aggregating to Rs. 171 crores from its transmission line projects in Afghanistan as at September 30, 2021, which are currently on hold due to Force Majeure event. Timing of the recovery of the said exposure is dependent upon the geopolitical environment in Afghanistan and negotiations with international funding agencies. Further, the bank guarantee issued by the Company in respect of the aforesaid ongoing projects is also currently not enforceable due to the force majeure event. Our conclusion is not modified in respect of this matter.

2. We did not review the interim financial statements/financial information/financial results of 43 branches (Abu Dhabi, Afghanistan, Algeria, Bangladesh, Burkina Faso, Bhutan, Burundi, Congo, Cameroon, Egypt, Ethiopia, Georgia, Ghana, Guinea, Indonesia, Ivory Coast, Jordan, Kazakhstan, Kenya, Kuwait, Laos, Lebanon, Libya, Malaysia, Mali, Mozambique, Morocco, Nepal, Nicaragua, Nigeria, Oman, Papua New Guinea, Philippines, Srilanka, Sierra Leone, Senegal, South Africa, Tanzania, Thailand, Togo, Tunisia, Uganda, Zambia) and 27 jointly controlled operations consolidated on proportionate basis included in the Statement, whose results reflect total assets of Rs. 3,251 crores and net assets of Rs. 286 crores as at September 30, 2021, total revenues of Rs. 653 crores and Rs. 1,290 crores, loss after tax (net) of Rs. 76 crores and Rs. 47 crores and total comprehensive loss (comprising of loss and other comprehensive income (net)) of Rs. 76 crores and Rs. 44 crores for the quarter ended and for the period from April 1, 2021 to September 30, 2021 respectively, and cash flows (net inflow) of Rs. 61 crores for the period from April 1, 2021 to September 30, 2021 as considered in the respective interim financial statements/financial information/financial results of the branches and jointly controlled operations included in the Company. The interim financial statements/financial information/ financial results of these branches and jointly controlled operations have been reviewed/audited by the branch auditors and other auditors whose reports, vide which they have issued an unmodified conclusion/opinion have been furnished to us by the Management, and our conclusion, on the statement, in so far as it relates to the amounts and disclosures included in respect of these branches and jointly controlled operations, is based solely on the reports of such branch auditors and other auditors, and the procedures performed by us as stated in paragraph 3 above.

We did not review the interim financial statements/financial information/financial results of 16 subsidiaries included in the Statement, whose interim financial statements/financial information/ whose results reflect total assets of Rs. 1,685 crores and net assets of Rs. 673 crores as at September 30, 2021, total revenues of Rs. 314 crores and Rs. 590 crores, loss after tax (net) of Rs. 52 crores and Rs. 109 crores and total comprehensive loss (comprising of loss and other comprehensive income (net)) of Rs. 59 crores and Rs. 99 crores for the quarter ended and for the period from April 1, 2021 to September 30, 2021 respectively, and cash flows (net outflow) of Rs. 24 crores for the period from April 1, 2021 to September 30, 2021 as considered in the consolidated unaudited financial results. These interim financial statements/financial information/financial results have been reviewed by other auditors and whose reports, vide which they have issued an unmodified conclusion, have been furnished to us by the Management and our conclusion on the Statement, in so far as it relates to the amounts and disclosures included in respect of these subsidiaries is based solely on the reports of the other auditors and the procedures performed by us as stated in paragraph 3 above.

Our conclusion is not modified in respect of the above matters.

For Price Waterhouse Chartered Accountants Firm Registration Number: 012754N/N500016 Chartered Accountants

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Place: Mumbai Date: October 27, 2021

Sarah George Partner

Membership Number 045255 UDIN: 21045255AAAALD6668

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Annexure A

List of entities consolidated:

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A Jointly Controlled Operations
1 Al-Sharif Group and KEC Ltd Company, Saudi Arabia
2 EJP KEC Joint Venture, South Africa
3 KEC-ASIAKOM- UB JV
4 KEC-ASIAKOM JV
5 KEC-DELCO-VARAHA JV
6 KEC-VARAHA-KHAZANA JV
7 KEC-VALECHA-DELCO JV
8 KEC-SIDHARTH JV
9 KEC-TRIVENI-KPIPL-JV
10 KEC-UNIVERSAL-JV
11 KEC-DELCO-DUSTAN-JV
12 KEC-ANPR-KPIPL JV
13 KEC-PLR-KPIPL JV
14 KEC-BJCL JV
15 KEC-KIEL JV
16 KEC-ABEPL JV
17 KEC-TNR INFRA JV
18 KEC-SMC JV
19 KEC-WATERLEAU JV
20 KEC-ASSB JV
21 KEC-CCECC (Railway) Kochi Metro
22 KEC-CCECC (Civil) Kochi Metro
23 CCECC KEC JV (Civil) Delhi Metro
24 Longjian KEC JV
25 MBPL - KEC JV
26 VNC KEC JV (Railway)
27 HCC - KEC Consortium
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B Subsidiaries
1 KEC Power India Private Limited
2 RPG Transmission Nigeria Limited
3 KEC Global FZ LLC
4 KEC Investment Holdings
5 KEC Global Mauritius
6 SAE Towers Holdings LLC
7 SAE Towers Brazil Subsidiary Company LLC
8 SAE Towers Mexico Subsidiary Holding Company LLC
9 SAE Towers Mexico S de RL de CV
10 SAE Towers Brasil Torres de Transmissao Ltda.
11 SAE Prestadora de Servicios Mexico S de RL de CV
12 SAE Towers Limited
13 SAE Engenharia E Construcao Ltda.
14 KEC Engineering & Construction Services S de RL de CV
15 KEC International (Malaysia) SDN. BHD.
16 KEC Towers LLC
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The Board of Directors KEC International Limited RPG House, 463, Dr. Annie Besant Road, Worli, Mumbai – 400 030

1. We have reviewed the standalone unaudited financial results of KEC International Limited (the “Company”) which includes 43 branches and 27 jointly controlled operations consolidated on a proportionate basis, (refer Annexure A) for the quarter ended September 30, 2021 and the year to date results for the period April 01, 2021 to September 30, 2021, which are included in the accompanying ‘Statement of Standalone Unaudited Financial Results for the Quarter and Half year ended September 30, 2021’, the Statement of Standalone Assets and Liabilities as on that date and the Standalone Cash Flows Statement for the half-year ended on that date (the “Statement”). The Statement is being submitted by the Company pursuant to Regulations 33 and 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the “Listing Regulations, 2015”), which has been digitally signed by us for identification purposes.

2. This Statement, which is the responsibility of the Company’s Management and approved by the Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34 “Interim Financial Reporting” (“Ind AS 34”), prescribed under Section 133 of the Companies Act, 2013, and other accounting principles generally accepted in India. Our responsibility is to express a conclusion on the Statement based on our review.

3. We conducted our review of the Statement in accordance with the Standard on Review Engagement (SRE) 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Institute of Chartered Accountants of India. This Standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We also performed procedures in accordance with the circular issued by the SEBI under Regulation 33(8) of the Listing Regulations, 2015, to the extent applicable.

1. The Statement includes the results of the entities listed in paragraph 7 and Annexure A.

2. Based on our review conducted and procedures performed as stated in paragraph 3 above and based on the consideration of review report of the branch auditors and other auditors referred to in paragraph 7 below, nothing has come to our attention that causes us to believe that the Statement has not been prepared in all material respects in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standard and other accounting principles generally accepted in India and has not disclosed the information required to be disclosed in terms of Regulations 33 and 52 of the Listing Regulations, 2015 including the manner in which it is to be disclosed, or that it contains any material misstatement.

Price Waterhouse Chartered Accountants LLP, 252, Veer Savarkar Marg, Shivaji Park, Dadar (West), Mumbai 400 028 T: +91 (22) 6669 1500, F: +91 (22) 66547804 / 07

Registered office and Head Office: Sucheta Bhawan, 11A Vishnu Digambar Marg, New Delhi – 110002

Price Waterhouse (a Partnership Firm) Converted into Price Waterhouse Chartered Accountants LLP (a Limited Liability Partnership with LLP identity no: LLPINAAC-5001) with effect from July 25, 2014. Post its conversion to Price Waterhouse Chartered Accountants LLP, its ICAI registration number is 012754N/N500016 (ICAI registration number before conversion was 012754N)

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1. We draw attention to Note 6 of the Statement, regarding the Company’s net exposure aggregating to Rs. 171 crores from its transmission line projects in Afghanistan as at September 30, 2021, which are currently on hold due to Force Majeure event. Timing of the recovery of the said exposure is dependent upon the geopolitical environment in Afghanistan and negotiations with international funding agencies. Further, the bank guarantee issued by the Company in respect of the aforesaid ongoing projects is also currently not enforceable due to the force majeure event. Our conclusion is not modified in respect of this matter.

2. We did not review the interim financial statements/financial information/financial results of 43 branches (Abu Dhabi, Afghanistan, Algeria, Bangladesh, Burkina Faso, Bhutan, Burundi, Congo, Cameroon, Egypt, Ethiopia, Georgia, Ghana, Guinea, Indonesia, Ivory Coast, Jordan, Kazakhstan, Kenya, Kuwait, Laos, Lebanon, Libya, Malaysia, Mali, Mozambique, Morocco, Nepal, Nicaragua, Nigeria, Oman, Papua New Guinea, Philippines, Srilanka, Sierra Leone, Senegal, South Africa, Tanzania, Thailand, Togo, Tunisia, Uganda, Zambia) and 27 jointly controlled operations consolidated on proportionate basis included in the Statement, whose results reflect total assets of Rs. 3,251 crores and net assets of Rs. 286 crores as at September 30, 2021, total revenues of Rs. 653 crore and Rs. 1,290 crores, loss after tax (net) of Rs. 76 crores and Rs. 47 crores and total comprehensive loss (comprising of loss and other comprehensive income (net)) of Rs. 76 crores and Rs. 44 crores for the quarter ended and for the period from April 1, 2021 to September 30, 2021 respectively, and cash flows (net inflow) of Rs. 61 crores for the period from April 1, 2021 to September 30, 2021 as considered in the respective interim financial statements/financial information/financial results of the branches and jointly controlled operations included in the Company. The interim financial statements/financial information/ financial results of these branches and jointly controlled operations have been reviewed/audited by the branch auditors and other auditors whose reports, vide which they have issued an unmodified conclusion/opinion have been furnished to us by the Management, and our conclusion, on the statement, in so far as it relates to the amounts and disclosures included in respect of these branches and jointly controlled operations, is based solely on the reports of such branch auditors and other auditors, and the procedures performed by us as stated in paragraph 3 above.

Our conclusion is not modified in respect of the above matter.

For Price Waterhouse Chartered Accountants Firm Registration Number: 012754N/N500016 Chartered Accountants

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Sarah George Partner

Place: Mumbai Membership Number: 045255 Date: October 27, 2021 UDIN: 21045255AAAALC6276

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Annexure A

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Sr. No. Jointly Controlled Operations
1 Al-Sharif Group and KEC Ltd Company, Saudi
Arabia
2 EJP KEC Joint Venture, South Africa
3 KEC-ASIAKOM- UB JV
4 KEC-ASIAKOM JV
5 KEC-DELCO-VARAHA JV
6 KEC-VARAHA-KHAZANA JV
7 KEC-VALECHA-DELCO JV
8 KEC-SIDHARTH JV
9 KEC-TRIVENI-KPIPL-JV
10 KEC-UNIVERSAL-JV
11 KEC-DELCO-DUSTAN-JV
12 KEC-ANPR-KPIPL JV
13 KEC-PLR-KPIPL JV
14 KEC-BJCL JV
15 KEC-KIEL JV
16 KEC-ABEPL JV
17 KEC-TNR INFRA JV
18 KEC-SMC JV
19 KEC-WATERLEAU JV
20 KEC-ASSB JV
21 KEC-CCECC (Railway) Kochi Metro
22 KEC-CCECC (Civil) Kochi Metro
23 CCECC KEC JV (Civil) Delhi Metro
24 Longjian KEC JV
25 MBPL - KEC JV
26 VNC KEC JV (Railway)
27 HCC - KEC Consortium
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