Antony Waste Handling Cell (AWHCL) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 operating revenue was INR 200 crores, stable YoY, with core revenue up 6% after adjusting for one-time escalation; total operating revenue including recyclables and RDF reached INR 220 crores, and record quarterly tonnage handled at 0.49 million tonnes.

• Major contract win: AG Enviro Infra Projects secured a INR 976 crore C&T contract with Navi Mumbai Municipal Corporation for a third consecutive term; contract renewal valued at ~INR 908 crore for 9 years.

• New construction and demolition waste management site commenced operations, expected to contribute meaningfully, and CIDCO biomining project progressing on schedule.

• Maintained leadership in Swachh Bharat rankings and expanded sustainability initiatives, including significant sales of RDF and compost.

• Consolidated revenue from operations for H1 FY25 was ₹44,821.31 lakhs, with net profit at ₹3,661.35 lakhs.

Financial highlights

• Q2FY25 total revenue at ₹227.2 crore, down 1% YoY; H1FY25 revenue at ₹460.0 crore, up 1% YoY.

• EBITDA for the quarter was INR 49 crores, with an EBITDA margin of 21.4%; core EBITDA stood at INR 48.9 crores, margin 20.1%.

• Q2FY25 PAT for owners at ₹12.1 crore, down 56% YoY; H1FY25 PAT for owners at ₹29.6 crore, down 36% YoY.

• Finance cost increased to INR 12 crores (from INR 7 crores YoY), and depreciation rose by 54% due to new plant launches.

• Basic and diluted EPS for H1FY25 were ₹10.43 on a consolidated basis.

Outlook and guidance

• H2 FY25 expected to see 14%-18% revenue growth, driven by ramp-up in biomining, C&D waste, and improved PLF at the waste-to-energy plant.

• Core revenue CAGR guidance of 25% over the next 3-5 years, with EBITDA margins sustained at 23%-24%.

• CapEx guidance: INR 78 crores for FY25, INR 25 crores for FY26 and FY27 (excluding new contracts).

• Focus on cluster-based project bidding, expansion into new states, and rational project selection to drive profitability.

• Management remains confident about the recoverability of long outstanding receivables from municipal corporations, supported by legal opinions and ongoing discussions.