Debtor's days remain the best in the industry at 35 days. With recent price outperformance we downgrade KNRC to NEUTRAL from BUY. Maintain SOTP of Rs 228/sh. KNRC delivered Revenue/EBIDTA beat 21.8/20.1% led by strong order book execution. Despite robust headline numbers, higher depreciation and lower adjusted other income/higher claims award/MAT credit led to 5.7% APAT beat. The B/S is healthy, with standalone net debt at Rs 1.1bn (net D/E at 0.1x, -0.01x adjusting for promoters loan of Rs 1.2bn).