VA Tech Wabag Profit Surges 30% on Strong Order Book

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AuthorIshaan Verma|Published at:
VA Tech Wabag Profit Surges 30% on Strong Order Book
Overview

Water technology firm VA Tech Wabag reported a robust 30% surge in consolidated net profit for Q3 FY26, reaching ₹91 crore. Revenue climbed 18.5% year-on-year to ₹961 crore, fueled by a substantial order book exceeding ₹16,300 crore. The company maintains financial flexibility with over ₹1,000 crore in gross cash.

The strong quarterly performance underscores VA Tech Wabag's effective project execution. Revenue from operations rose 18.5% year-on-year, hitting ₹961 crore for the three months ended December 2025. This growth is directly attributed to the company's substantial order book, which stands at over ₹16,300 crore, including framework contracts, ensuring significant revenue visibility for the coming periods.

Operational Highlights and Financials

For the nine-month period ending December 2025, VA Tech Wabag posted consolidated revenue of ₹2,530 crore, an 18% increase compared to the previous year. Consolidated Profit After Tax (PAT) for the same period reached ₹242 crore, marking a healthy 24% year-on-year growth. The company emphasized its consistent project execution and disciplined operations, which align with its mid-term guidance, achieving revenue growth above 18% while maintaining guided margins.

Financial Strength and Strategic Outlook

Chairman & Managing Director Rajiv Mittal highlighted the company's financial resilience, noting a net cash-positive position for the twelfth consecutive quarter. Gross cash reserves exceeding ₹1,000 crore provide substantial financial flexibility. This liquidity enables VA Tech Wabag to actively pursue Public-Private Partnership (PPP) opportunities, expand its geographical reach, and develop new markets. The company also recognized an exceptional item of ₹4.7 crore related to employee benefits due to the New Labour Codes.
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