VA Tech Wabag (WABAG) Q1 25/26 earnings summary

Executive summary

• Achieved robust growth in Q1 FY26 with consolidated revenue reaching INR 7,340 million, up 17.2% YoY, and PAT up 20% YoY to INR 658 million, marking the tenth consecutive quarter of net cash positivity.

• Order book reached INR 158 billion, up 15% YoY, with strong revenue visibility and major international contracts including the Yanbu Desalination Project in Saudi Arabia and BWSSB DBO Project in Bengaluru.

• Secured INR 26 billion in new orders and preferred bidder status for projects worth over INR 35 billion.

• Expanded international presence, with over 40% of revenues from overseas markets and a balanced revenue mix between municipal and industrial clients.

• Maintained net cash positive position for the 10th consecutive quarter.

Financial highlights

• Consolidated revenue for Q1 FY26 was INR 7,340 million, up 17% YoY; standalone revenue was INR 6,402 million.

• Consolidated EBITDA reached INR 956 million, up 18% YoY; standalone EBITDA was INR 863 million.

• Consolidated PAT stood at INR 658 million (PAT margin 9%), up 20% YoY; standalone PAT was INR 609 million.

• Gross margin for the quarter was 28.7%, the highest in 25 quarters.

• Basic EPS (consolidated) was INR 10.58 for the quarter.

Outlook and guidance

• Confident in sustaining revenue growth and profitability, with guidance of 15%-20% top-line growth and 13%-15% EBITDA margin over the medium term.

• Strong order book and preferred bidder status in large projects support robust revenue visibility.

• Focus remains on emerging markets, advanced technology projects, and increasing O&M revenue share.