Small-cap stock engaged in the business of providing end-to-end solutions for water treatment and many more jumped 7 percent in the day’s trade upon receiving a work order worth $ 33.5 million in Saudi Arabia.
With a market capitalization of Rs. 4,421 Crores, the shares of Va Tech Wabag Limited were trading at Rs. 710, up 7.28 percent from its previous day’s close price of Rs. 661.80.
Va Tech Wabag Limited has secured an order worth USD 33.5 Million from SEPCO III Electric Power Construction Corporation for the Engineering and Procurement of a 20 MLD Industrial Wastewater Treatment Plant at Ras Tanura Refinery Complex, Kingdom of Saudi Arabia.
The Engineering and Procurement scope of work under this order includes Design, Engineering, Procurement, Supply, and Supervision of Installation & Commissioning of the Industrial Wastewater Treatment Plant (IWWTP) to treat a complex cocktail of effluents from the Desalter Effluent, Tank Farms, and other Oily Wastewater sumps in the refinery.
The said order is scheduled to be completed over a 20-month period, and will employ biological treatment followed by Filtration and Reverse Osmosis technologies to treat the effluent partly towards Reuse in the refinery. This will expand and strengthen the company’s presence in the Middle East region.
Va Tech Wabag Limited is engaged in the business of water treatment, by providing end-to-end solutions like design, supply, installation, construction, and operational management of drinking water, wastewater management, desalination, and many more.
As of November 2023, it has a strong order book worth Rs. 12,097.4 Crores out of which 58 percent are Engineering, Procurement, and Construction (EPC) Projects and 42 percent are Operation and Management projects. Further 31 percent are domestic work orders and 69 percent are overseas orders.
It has a strong customer base, including well-known players like Indian Oil Corporation, NMDC, Ministry of Housing, Reliance, Pepsico, and many more.
Its revenue from operations grew by 20.52 percent from Rs. 553 Crores in Q1FY24 to Rs. 665 Crores in Q2FY24, accompanied by increasing profits of Rs. 50 Crores to Rs. 60 Crores.
Written by: Bharath K.S
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