1. Opening Hook
When most infra firms are still blaming monsoons for project delays, Enviro Infra Engineers (EIEL) somehow turned rainwater into record margins. The company mixed sewage with solar, and what came out was a surprisingly clean quarter — both financially and operationally. From winning ₹248 crore Bhopal orders to bagging 40 MW of solar assets, EIEL seems to have mastered the art of “green growth without grime.”But don’t get too comfortable — buried in the fine print was an ₹11 crore fraud and some eyebrow-raising “other income.” Stick around, this call had everything: wastewater wisdom, sunny ambitions, and CFO math that smells cleaner than the projects they build. 🌞💧
2. At a Glance
- Revenue up 6.7% YoY:CFO swears it’s “execution discipline,” not accounting gymnastics.
- EBITDA up 16.8% YoY:Margins sparkling at 28.56% — almost too clean to be true.
- PAT up 36% YoY:Profit pipes flowing stronger than city drains.
- Order Book > ₹2,000 crore:Enough projects to keep engineers caffeinated till FY27.
- O&M Income ₹21 crore:Maintenance is the new recurring religion.
- Net Cash Flow -₹100 crore:Still spending more than billing — classic EPC déjà vu.
3. Management’s Key Commentary
“Our total order book stands at over ₹1,800 crore, with ₹932 crore in O&M.”(Translation: Even if construction stalls, we’ll still get paid for babysitting old projects.)
“We added a ₹248 crore order from Bhopal — 60 MLD STP and 273 km sewer network.”(Basically, we got paid to clean up what others flushed down.)
“EBITDA margin at 28.56% — supported by cost efficiency and product mix.”(When your product is sewage, efficiency is everything.) 😏
“Guidance remains 35–40% revenue growth, 22–24% EBITDA margin.”(Translation: We promise less, so beating it looks heroic later.)
“We’re expanding in renewables with 69 MW solar projects across Odisha and Maharashtra.”(Because sunlight is cheaper than government paperwork.)
“There was an ₹11.15 crore fraud, but we’ve recovered ₹2.68 crore.”(Every infra story needs one scam —
this one’s “contained contamination.”)
“Debtor days reduced to 49 from 70.”(Government payments came faster — miracles do happen.)
4. Numbers Decoded
| Metric | Q2 FY26 | Q2 FY25 | YoY Growth | Commentary |
|---|---|---|---|---|
| Revenue (₹ Cr) | 227 | 213 | +6.7% | Not bad for monsoon months |
| EBITDA (₹ Cr) | 65 | 56 | +16.8% | Margins shining bright |
| EBITDA Margin (%) | 28.6 | 26.3 | +230 bps | Possibly the cleanest in infra |
| PAT (₹ Cr) | 50 | 37 | +36% | Profit pipeline unclogged |
| PAT Margin (%) | 20.5 | 17.2 | +330 bps | High-margin sewage? Yes please |
| Order Book (₹ Cr) | 2,000+ | 1,200 | +67% | Growing faster than bureaucracy |
| O&M Income (₹ Cr) | 21 | 12 | +75% | Maintenance pays better than making |
| Cash Flow (₹ Cr) | -100 | – | NA | EPC curse strikes again |
High margins meet negative cash flow – because invoices take longer to travel than wastewater.
5. Analyst Questions
Q:Will 35–40% growth really happen?A:“Yes, our H2 is always stronger.”(Translation: Construction only happens when it’s not raining.)
Q:Why conservative margin guidance if you’re at 28% already?A:“We stick to 22–24% officially.”(So expectations stay easy to beat – genius.)
Q:What about the fraud?A:“Recovered part, moving on.”(Infra mantra: forgive, forget, re-bid.)
Q:Renewable ambitions?A:“₹200 crore this year, ₹500 crore next
