Water and waste water treatment firm, VA Tech Wabag has bagged new order worth an aggregate of over Rs. 1,000 crore, in Q1FY16. Since it has guided an order intake of Rs. 3,500-3,700 crore for FY16, it is on track to meet the annual guidance comfortably. For FY15, company had an order intake of 2,977 crore. Hence FY16 should result in 24% growth, which is seen very healthy.

The market is cheering the revenue visibility which these new order wins will bring for the company for FY16. The stock is up 4.75% on NSE at Rs. 791 per share. Volumes of 90,200 shares have been recorded on NSE in less than first 60 minutes of trade, which has surpassed the 2 week average traded quantity of approximately 90,000 shares.

The major order wins of Q1 came in from the newly formed Middle East – Africa cluster. Rs. 580 crore sewage treatment plant in Bahrain and Rs. 220 crore raw water treatment plant in Nigeria were a couple of the big ticket wins, in addition to order wins in Saudi Arabia and Egypt. For FY15, its consolidated revenue stood at Rs. 2,435 crore and net profit was Rs. 110 crore. With EPS of Rs. 20.20, share is currently ruling at a PE multiple of 40 times.