Global water technology leader demonstrates strong fundamentals with robust Q2 FY25 results, showing significant order book growth and ambitious expansion plans in sustainable water solutions through ESG initiatives and technological innovation.
Share Price Movement
The share price of VA Tech Wabag Limited went down by 1.01 percent to Rs. 1,707 per share on Friday, an increase from its previous close of Rs. 1,724.45 per share. The market capitalisation now stands at approximately Rs. 10,603 crore as of November 08, 2024.
Order Book
Over a 14-year period from FY2010-11 to FY2023-24. Starting at Rs. 3,402 crores in FY11, the order book has grown consistently to reach Rs. 11,448 crores in FY24, representing more than a threefold increase.
The growth trajectory shows steady annual increments occurring in the last 14 years. Even during challenging economic periods, the company maintained an upward trend in its order book. This sustained growth has led management to seek higher borrowing limits to support future expansion.
What Happened
VA Tech Wabag has demonstrated robust performance driven by multiple positive factors. The company’s order book has shown remarkable growth, expanding more than threefold from Rs. 3,402 crores in FY11 to Rs. 11,448 crores in FY24, reflecting strong business momentum.
This is complemented by impressive Q2 FY25 financial results, with consolidated revenue increasing 5.2% YoY to Rs. 700 crore and net profit rising 16.67% to Rs. 70 crore. All these factors led to an increase in share price of 1.01 percent on Friday.
Management Guidance
The company’s management has set clear ESG commitments, including a 20% reduction in emissions by 2025 and treating 60 million m3 water daily.
The company is strategically expanding into new areas like biogas-to-CBG with 100 planned plants, PV solar desalination, and digitalisation through AI implementation. With a business potential of 200 million USD from municipal and industrial customers, plus initiatives like Blue Seed for startups, the management appears positioned for sustainable growth while maintaining strong governance practices.
Q2 Financial Highlights
According to its recent filing, in the quarter ending September 2024, VA Tech Wabag Limited’s consolidated revenue from operations has increased by 5.2 percent YOY, from Rs. 665 crore in Q2 FY24 to Rs. 700 crore in Q2 FY25, and has increased by 11.82 percent QoQ from Rs. 626 crore in Q1 FY25.
The company’s consolidated net profit has increased by 16.67 percent, from Rs. 60 crore in Q2 FY24 to Rs. 70 crore in Q2 FY25. As compared to the last quarter of 2025, the company’s net profit is up by 27.27 percent QoQ from Rs. 55 crore.
The company’s EPS has increased by 17.25 percent from Rs. 9.68 in Q2 FY24 to Rs. 11.35 in Q2 FY25.
Also read…
Shareholding Pattern
As of the November 2024 shareholding pattern, VA Tech Wabag Limited is primarily held by the public at 62.59 percent, foreign institutional investors hold 14.68 percent, and the promoter with 19.12 percent.
About company
Founded in 1995, Va Tech Wabag Ltd. has emerged as a leading player in global water technology. Headquartered in Chennai, Tamil Nadu, the public limited company focuses on designing and constructing water treatment facilities. With an authorized capital of INR 150 crore and a paid-up capital of INR 124 crore, Va Tech Wabag demonstrates strong financial commitment to sustainable water solutions.
The company specialises in water treatment for a range of sectors, from drinking water to wastewater and industrial applications. Its offerings include desalination, sludge treatment, water reclamation, and the operation and maintenance of treatment plants.
Over its nearly three-decade journey, Va Tech Wabag has successfully completed more than 6,500 projects worldwide, delivering cleaner water to over 88 million people. Iconic projects include the Sundarijal Water Treatment Plant in Nepal and the Upper Ruvu Plant in Tanzania.
Written By Fazal Ul Vahab C H
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. Dailyraven Technologies 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.
Start Your Stock Market Journey Today!
Want to learn Stock Market trading and Investing? Make sure to check out exclusive Stock Market courses by FinGrad, the learning initiative by Trade Brains. You can enroll in FREE courses and webinars available on FinGrad today and get ahead in your trading career. Join now!!
