VA Tech Wabag on solid ground

Thanks to healthy execution of orders in domestic as well as international markets, VA Tech Wabag posted a very good performance for Q2FY18 but profit booking at its intra day high of Rs.605.80, up over 3%, pushed the stock to Rs.586 levels but bounced back into the green again. All in all, it is having a roller coaster day today.

The water engineering company posted a healthy 42% (YoY) jump in net profit at Rs.38 crore on a 14% rise in total income at Rs.886 crore.

Operating profit rose 34% while margins showed a smart 120 bps bump up to 8.7%.

71% of its income, Rs.658 crore came from exports and balance from India.

Its order book is at Rs.7900 crore  including framework contracts  of around Rs.800 crore.