Synopsis:
Welspun Enterprises won a Rs. 3,145 crore order to build a 910 MLD water treatment plant in Maharashtra, expanding its order book and water sector presence.
Known for executing large-scale infrastructure and water management projects, the company has secured a significant contract to build a major water treatment plant in Maharashtra. The following news explores details of this project, its partnership scope, execution timeline, and how it strengthens the company’s order book and sector presence.
Welspun Enterprises Limited‘s stock, with a market capitalisation of Rs. 7,519 crores, rose to Rs. 562.80, hitting a high of up to 2.69 percent from its previous closing price of Rs. 548.05. Furthermore, the stock over the past year has given a return of 9 percent.
Order Details
The company has received a major order to build a new 910 million liters per day (MLD) water treatment plant at Panjrapur, Maharashtra. The total contract value is about Rs. 3,145 crore, which includes operating and maintaining the plant for 15 years after construction. This project will be done with technology from Veolia Water Technologies, Malaysia, and is expected to be completed within 48 months.
With this new order, Welspun’s total outstanding order book has increased to around Rs. 16,330 crore. Most of these orders are from the water sector, as well as tunnel and transportation projects. The company has been steadily growing its business in the water sector and is taking up bigger projects in Mumbai.
According to the Chairman, Mr. B.K. Goenka, once this project and another large one at Bhandup are finished, nearly 70% of Mumbai’s freshwater needs will be managed by Welspun. The company is also making progress on other important water projects, aiming to improve water reuse and promote sustainability in line with its guiding principles.
Q1 Financial Highlights
Revenue in Q1FY26 stood at Rs. 845 crore, declining by 19.8% QoQ from Rs. 1,054 crore in Q4FY25 and falling 9.1% YoY from Rs. 930 crore in Q1FY25. This marks a notable slowdown compared to the company’s strong 3-year sales CAGR of 39%. The revenue contraction suggests pressure on topline growth in both sequential and annual terms.
Net profit for Q1FY26 was Rs. 101 crore, down 3.8% QoQ from Rs. 105 crore and 8.2% YoY from Rs. 110 crore. Profit performance, while showing near-term weakness, remains healthy over the longer term with a 3-year profit CAGR of 38% and ROE CAGR of 13%. Sequential and YoY declines, however, reflect recent margin or demand challenges.
Written By Fazal Ul Vahab C H
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