Opening Hook
Most centenarians are happy with cake and photo ops. VA Tech Wabag just celebrated its 100th year by pulling in ₹7,340 million revenue and a ₹158 billion order book—then went shopping for mega desalination projects like it’s at a Dubai mall sale. In a sector where payment delays and execution risk are the villains, Wabag is playing it asset-light, net cash positive for ten straight quarters. Why it matters? Because this “water company” now sits on global-scale contracts from Chennai to Saudi Arabia, proving it’s not just surviving a century—it’s gearing up for the sequel.
Stick around—things get spicier two scrolls down.
AT A GLANCE
• Revenue up 17.2% – demand pipeline still flowing• EBITDA up 17.5% – margins holding at 13%• PAT up 19.6% – profitability runs ahead of revenue• Order intake ₹26 bn – KSA desal the crown jewel• Net cash ₹6.27 bn – tenth straight quarter in the green
MANAGEMENT’S KEY COMMENTARY
On order book:“₹157.77 bn, up 15% YoY.” Translation – we’re booked out like Virat Kohli’s calendar.
On marquee wins:“300 MLD Yanbu SWA desalination, ₹20.4 bn.” Translation – desert water money is the new oil.
On margins:“EBITDA 13%.” Translation – project execution discipline still holding.
On global play:“83% of Q1 intake from overseas.” Translation – India’s nice, but foreign cheques clear faster.
On net cash streak:
“10 quarters positive.” Translation – we build plants, not debt piles.
On digitalisation:“AI-powered TTRO in Chennai.” Translation – even our water plants now think for themselves.
On ESG:“Scope 1 & 2 cut by 20% by 2035 target.” Translation – green creds are now part of the sales pitch.
NUMBERS DECODED
| Revenue – The Hero | EBITDA – The Sidekick | Margins – The Drama Queen |
|---|---|---|
| ₹7,340 mn (+17.2%) | ₹956 mn (+17.5%) | 13% (flat YoY) |
Revenue:Big push from EPC, especially Middle East desal.EBITDA:Scaled with revenue despite forex loss of ₹136 mn.Margins:Holding steady even with cost creep and currency swings.
ANALYST QUESTIONS
Payment cycles?Robust due to sovereign-backed clients.Order mix?79% EPC, 21% O&M; 75% municipal, 25% industrial.Growth focus?Desal, wastewater reuse, biogas-to-CBG, PV solar/green hydrogen water infra.Risk exposure?Controlled via advance payments & LC-backed contracts.
