Synopsis:
VA Tech Wabag secured a ₹46.5 crore order from RenewSys India to provide advanced water management solutions for its upcoming 2 GW solar cell manufacturing facility.
This small-cap water technology company, which provides sustainable water and wastewater treatment solutions to municipal, industrial, and infrastructure sectors across the globe, jumped 3 percent after securing an order worth Rs. 47 crore from RenewSys India Private Limited for a 2 GW solar cell manufacturing facility in Hyderabad.
With a market capitalization of Rs. 10,029.47 crores, the share of Va Tech Wabag Limited has reached an intraday high of Rs. 1,635 per equity share, rising nearly 2.86 percent from its previous day’s close price of Rs. 1,589.50. Since then, the stock has retreated and is currently trading at Rs. 1,612.05 per equity share.
What is the news?
VA Tech WABAG Limited, a leading water technology company, has received a new order worth Rs. 46.5 crore from RenewSys India Private Limited for its upcoming 2 GW solar cell manufacturing facility in Hyderabad, Telangana.
The project includes the design, engineering, supply, installation, and commissioning of advanced water management systems such as Ultra-Pure Water (UPW), Effluent Treatment Plant (ETP), and Zero Liquid Discharge (ZLD). The project will be completed within 11 months. This order is significant for WABAG as it strengthens its presence in the solar manufacturing sector and highlights its expertise in high-end water treatment technologies.
Order Book
At the beginning of FY26, VA Tech Wabag Limited reported an order backlog of Rs. 13,666.7 crore. During the first quarter, the company secured fresh orders worth Rs. 2,583.4 crore and executed projects that generated Rs. 720.6 crore in revenue. With this, the order backlog rose to Rs. 15,777 crore by the end of Q1 FY26, marking a 15 percent growth compared to the start of the year.
Breaking it down by business segments, the EPC (Engineering, Procurement, and Construction) division contributed Rs. 9,235.5 crore, while the O&M (Operations and Maintenance) segment added Rs. 5,308.5 crore. Framework contracts were also part of the portfolio, valued at Rs. 1,233.1 crore.
From a geographical point of view, Rs. 7,712.3 crore of the backlog came from domestic projects in India, while overseas projects contributed Rs. 6,831.6 crore. Along with this, framework agreements worth Rs. 1,233.1 crore were included.
Company Overview
VA Tech Wabag Limited was founded in 1924 by Max Reder and is headquartered in Chennai, India. The company is a leading water technology company specializing in water and wastewater treatment solutions for municipal and industrial clients. The company is also ranked among the top three desalination solution providers globally, underscoring its strong expertise and international reputation in the sector.
The company serves a diverse client base, including major municipal bodies like the Delhi Jal Board, CIDCO, and Maynilad Water, as well as leading industrial players such as Dangote, Marafiq, Reliance Industries, GAIL, NMDC, Indosol, HMEL, and Sibur.
VA Tech Wabag Limited also partners with global funding agencies like India Exim Bank, KFW, JICA, ADB, and the World Bank, reflecting its strong credibility and presence in both domestic and international markets.
Recent quarter results
Coming into financial highlights, Va Tech Wabag Limited’s revenue has increased from Rs. 626 crore in Q1 FY25 to Rs. 734 crore in Q1 FY26, which has grown by 17.25 percent. The net profit has also grown by 20 percent from Rs. 55 crore in Q1 FY25 to Rs. 66 crore in Q1 FY26. Va Tech Wabag Limited’s revenue and net profit have grown at a CAGR of 5.2 percent and 28.56 percent, respectively, over the last five years.
In terms of return ratios, the company’s ROCE and ROE stand at 19.7 percent and 14.6 percent, respectively. Va Tech Wabag Limited has an earnings per share (EPS) of Rs. 47.48, and its debt-to-equity ratio is 0.17x.
Written By – Nikhil Naik
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
