| Market Cap | ₹11,352 CrMid Cap |
|---|---|
| Revenue TTM | ₹3,953 CrOperating |
| Day RSI | 77.29Overbought |
| Order from | Ministry of Electricity, Water & Renewable Energy (MEWRE), Kuwait |
| Execution period | 36 months for EPC followed by 5 years of O&M |
| Deal value | ₹1,410 Cr |
| Share of market cap | 12.4% |
| Share of annual revenue | 35.7% |
Key highlights
- Order value exceeds USD 150 million (approximately ₹1,410 Crore), classified as a Mega international project
- Contract involves the design and construction of a 60 MIGD Seawater Reverse Osmosis plant
- Project execution includes a 36-month EPC phase followed by 5 years of operation and maintenance
- VA Tech Wabag will lead an unincorporated joint venture with HEISCO for project delivery
- Facility will incorporate Solar Photovoltaic systems to partially meet energy requirements
What Is the Order?
The contract awarded by Kuwait’s Ministry of Electricity, Water & Renewable Energy involves the Design, Build, and Operation of the Doha SWRO Desalination Plant Stage II. This facility will have a capacity of 60 million imperial gallons per day, equivalent to approximately 272 million litres per day. WABAG will implement advanced Seawater Reverse Osmosis technology coupled with a state-of-the-art recarbonation system.
The project timeline is structured with a 36-month construction phase followed by a five-year operational period to ensure long-term reliability. This Mega order is a significant addition to the company's international portfolio.
Business Impact
- Marks the company’s maiden entry into Kuwait, expanding its footprint within the GCC region
- Strengthens the order book with a high-value international contract exceeding USD 150 million
- Enhances long-term revenue visibility through the integrated five-year maintenance component
- Showcases technological leadership by incorporating sustainable Solar PV energy solutions
- Validates the joint venture model for executing large-scale water infrastructure projects
Financial Context
VA Tech Wabag maintains a robust financial profile with a Trailing Twelve Month revenue of ₹3,953.7 crore and a net profit of ₹370.6 crore. The company has demonstrated steady growth, with quarterly revenue increasing by 22.33% year-on-year. With a market capitalization of ₹11,352.67 crore, the stock has shown significant momentum, gaining over 31% in the past month.
The current order value of ₹1,410 crore represents roughly 35% of its annual operating revenue, indicating a substantial contribution to the future revenue pipeline as the project enters the execution phase.
Strategic Significance
The Doha SWRO II Project marks a significant milestone in WABAG’s growth journey in the GCC region and our maiden entry into Kuwait, a strategically important market.
| Share price | ₹1821.8 |
|---|---|
| Market capitalisation | ₹11,352.67 Cr |
| Revenue (annual) | ₹3,944.20 Cr |
| Net profit (annual) | ₹370.50 Cr |
| Revenue (latest quarter) | ₹1,414.40 Cr+45.69% vs previous quarter |
| Net profit (latest quarter) | ₹128.30 Cr+39.91% vs previous quarter |
| P/E (TTM) | 30.63×Sector 25.51× |
| Promoter holding | 19.09%0.00% QoQ |
| FII holding | 16.6%Current quarter |
Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.
Exchange filing by VA Tech Wabag Limited announcing the bagging of a Mega SWRO Desalination Project in Kuwait. Market figures from a third-party data provider.
