VA Tech Wabag Q1 Review - Commodity Price Increase Impact Margins: ICICI Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.VA Tech Wabag Ltd.’s Q1 FY22 revenue at Rs 6.6 billion was in-line with expectations. However, due to increase in commodity prices, Ebitda margin was down 170 basis points YoY to 5%. VA Tech Wabag has succeeded in financial closure of two hybrid annuity model projects, which will commence execution going forward. Chennai 400 million litres per day desalination project ordering activity has commenced and prequalification bids are complete with new state government in charge. Strong orderbook of Rs 104 billion (3.4 times trailing twelve months sales) lends visibility; however, 30% orderbook is operation and maintenance, which restricts near-term growth. Factoring in healthy order intake and growth outlook, we marginally raise FY22E and FY23E earnings by 3.2% and 1.8%, respectively..Click on the attachment to read the full report: .DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

VA Tech Wabag Q1 Review - Commodity Price Increase Impact Margins: ICICI Securities

VA Tech Wabag Q1 Review - Commodity Price Increase Impact Margins: ICICI Securities

Choose a plan