VA Tech Wabag Q2 FY26 Financial Performance & Strategic Update

VA Tech Wabag Limited has announced its consolidated financial results for the second quarter (Q2) ending September 30, 2025. The company reported a period of robust top-line expansion, though it experienced challenges in operating profitability. Key Financial Highlights (Consolidated, YoY) Revenue Growth: Revenue from Operations demonstrated strong growth, increasing by 19.2% year-on-year (YoY) to ₹834 crore, up from ₹700 crore in the corresponding quarter of the previous year. This performance was driven by sustained project execution momentum across both domestic and international markets. Net Profitability: Profit After Tax (PAT) grew significantly by 20.1% YoY, reaching ₹84.8 crore compared to ₹70.6 crore in Q2 FY25. Margin & EBITDA: The company faced margin pressure in the quarter. EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) declined by 4.6% to ₹89.3 crore from ₹93.6 crore. Consequently, the operating (EBITDA) margin contracted by 270 basis points, settling at 10.7% versus 13.4% in the prior-year period. Half-Year (H1) Performance & Financial Health For the six-month period ending September 2025, VA Tech Wabag reported consolidated revenue of ₹1,568.5 crore and a PAT of ₹150.6 crore, reflecting a 20% YoY increase. A key indicator of the company's financial discipline and robust cash flow management is its 11th consecutive quarter of maintaining a net cash-positive status. Strategic & Operational Outlook Management remains optimistic about the future, underpinned by a strong and diversified order book valued at approximately ₹158 billion. Rajiv Mittal, Chairman and Managing Director, highlighted recent strategic advancements, stating, “The strategic wins in Ultra-Pure Water and Compressed Bio-Gas open new avenues in the fast-growing ‘Future Energy Solutions’ segment... we are poised to accelerate our growth trajectory."