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With a net cash position, improved profitability, and a strong order book, WABAG is now well-positioned to deliver healthy growth
The company’s order execution momentum remains strong, with large projects in Chennai and Saudi Arabia reaching final stages. A majority of the orders are expected to be executed in the next 2-3 years
The second half of the current fiscal is expected to be even better with improved margins and execution
Execution, strong orders, and the focus on industrial projects are likely growth drivers
While the company’s initial focus was on international markets, it is now seeing big opportunities in the domestic market, thanks to govt and private capex.
The company is confident of maintaining good execution on the back of a strong order pipeline
As execution improves and new orders get billed, earnings will start improving
While profitability is improving and valuations to provide support, market will keenly watch execution and new orders
With commodity prices softening and supply-chain challenges resolving, the company is poised to grow as it focuses on high-margin businesses
Net Sales are expected to increase by 17.4 percent Y-o-Y (up 27.1 percent Q-o-Q) to Rs. 802.7 crore, according to Yes Securities.
Valuation still offers potential for upside
Net Sales are expected to decrease by 12.6 percent Y-o-Y (up 43.9 percent Q-o-Q) to Rs. 657 crore, according to Sharekhan.
Net Sales are expected to increase by 20.3 percent Y-o-Y (up 88.6 percent Q-o-Q) to Rs. 1,248.4 crore, according to ICICI Direct.
Net Sales are expected to increase by 15.6 percent Y-o-Y (up 32.9 percent Q-o-Q) to Rs. 999.2 crore, according to ICICI Direct.
Net Sales are expected to increase by 11.8 percent Y-o-Y (down 27.9 percent Q-o-Q) to Rs. 747.6 crore, according to ICICI.
Net Sales are expected to increase by 13.3 percent Y-o-Y (down 27 percent Q-o-Q) to Rs. 757.7 crore, according to KR Choksey.
While the stock performance in the near-term is largely contingent on resolving the receivable issue and traction in large orders, we see limited downside and significant upside
Net Sales are expected to increase by 8 percent Y-o-Y (up 41.3 percent Q-o-Q) to Rs. 1,221.8 crore, according to Prabhudas Lilladher.
Net Sales are expected to increase by 6.9 percent Y-o-Y (up 39.9 percent Q-o-Q) to Rs. 1,210.1 crore, according to KR Choksey.
Net Sales are expected to increase by 18.2 percent Y-o-Y (up 54.7 percent Q-o-Q) to Rs. 1,337.4 crore, according to Edelweiss.
Analysts see healthy execution in both domestic and overseas orders; and expect order inflows of around Rs 500 crore for the quarter.
Net Sales are expected to decrease by 42.9 percent Q-o-Q (up 11.4 percent Y-o-Y) to Rs 646.5 crore, according to KR Choksey. VA Tech to report net profit at 8.6 crore up 66.6% year-on-year.
VA Tech Wabag posted a steady set of earnings but margins were a bit of a disappointment. The company concentrates on treatment plants including recycle and reuse.
Net Sales are expected to decrease by 2.7 percent Q-o-Q (up 20 percent Y-o-Y) to Rs 756.7 crore, according to ICICI Securities.
Sales are expected to decrease by 38.9 percent Q-o-Q (up 15.0 percent Y-o-Y) to Rs 525 crore, according to ICICI Securities.