Water Management Stock engaged in providing end-to-end solutions for water management, treatment, desalination and many more across various business models jumped upto 14 percent in the day’s trade following Q3FY25 results and receiving work order worth Rs. 3,251 Crores.
Price Action
With a market capitalization of Rs. 8,948 Crores, the shares of Va Tech Wabag Limited were trading at Rs. 1,438 per equity share, up 5 percent from its previous day’s close price of Rs. 1,365.90. It has delivered a multibagger return of 116 percent in a year.
Q3FY25 Results
Its Revenue from operations grew by 15 percent YoY from Rs. 704.4 Crores in Q3FY24 to Rs. 811 Crores in Q3FY25 and it grew by 16 percent QoQ from Rs. 700 Crores in Q2FY25 to Rs. 811 Crores in Q3FY25.
Its Net Profit grew by 12 percent YoY from Rs. 62.6 Crores in Q3FY24 to Rs. 70.2 Crores in Q3FY25 and it declined by 0.14 percent QoQ from Rs. 70.3 Crores in Q2FY25 to Rs. 70.2 Crores in Q3FY25.
Its Net Profit Margin decreased from 8.84 percent in Q3FY24 to 8.5 percent in Q3FY25, while the EPS decreased from Rs. 12.56 to Rs. 8.51 per equity share. The order intake grew by 525 percent YoY to Rs. 2,718.3 Crores
Order win
Va Tech Wabag Limited has secured a consortium work order in the Middle East from Al Haer Environmental Services Company towards the Engineering, Procurement, and Construction (EPC) of a 200 MLD Independent Sewage Treatment Plant, including connections to outfall delivery facilities for a consideration of Rs. 3,251 Crores.
The EPC consortium for this project comprises of WABAG and Mutlaq Al-Ghowairi Contracting Company (‘MGC’), where WABAG will act as the Technology Partner and Leader of the EPC Consortium to Design and Build the 200 MLD Independent Sewage Treatment Plant, while MGC will undertake the scope of laying the transmission pipelines and construction of the reservoirs.
About the Company
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 across various business models.
Va Tech Wabag Limited is the 3rd largest private water operator and holds 3rd position in the world in suppliers of desalination plants. It has a global presence with operations in over 27+ countries with a robust order book of Rs. 14,263+ Crores.
Revenue Breakup
Coming to revenue breakup as of 9MFY25, Va Tech Wabag generated 81 percent of its revenue from EPC contracts and 19 percent from O&M contracts and 69 percent of it comes from municipal contracts and industrial contracts.
Customer Base
It has a strong clientele base with well-known players like Pepsico, Reliance Industries, NMDC, Indian Oil, ONGC, Delhi Jal Board, CIDCO, Bangalore Water Supply and Sewage Board, and many others.
Written by: Bharath K.S
