Concord Enviro Systems filed its Annual Report for FY26, reporting consolidated revenue from operations of ₹5,578.56 Mn, down 6.15% from ₹5,944.39 Mn in FY25, with consolidated PAT declining 61.63% to ₹197.57 Mn.

The year was marked by execution-related challenges, including geopolitical disruptions affecting shipments from the Sharjah facility, delays on a major Kenya project, and slower-than-anticipated progress in the Compressed Biogas (CBG) segment. Despite these headwinds, the company maintained a total order book of ₹5,360 Mn and a project pipeline of approximately ₹30,000 Mn.

Key Financial Performance

The following table summarises consolidated financial performance across three fiscal years.

On a standalone basis, the company recorded total income of ₹703.77 Mn, up 17.44% from ₹599.28 Mn, with standalone PAT rising 206.23% to ₹95.91 Mn from ₹31.32 Mn in the prior year.

Segmental Revenue Performance

Revenue across all three business segments declined in FY26 compared to FY25.

O&M Services was the only segment to record growth, rising from ₹1,198.98 Mn in FY25 to ₹1,338.85 Mn in FY26, reflecting the company's progress in building recurring revenue streams.

Order Book and Pipeline

As of March 31, FY26, the order book stood at ₹5,360 Mn, comprising a domestic order book of ₹4,090 Mn and an international order book of ₹1,270 Mn. The order book composition by segment was as follows:

By geography, 76% of the order book was domestic and 24% international. The company also reported L1 status on Zero Liquid Discharge (ZLD) opportunities valued at approximately ₹143 crore, including a project from one of India's leading steel manufacturers.

Return Ratios and Working Capital

Return ratios declined sharply in FY26 reflecting lower profitability.

Working capital days expanded, with debtor days rising to 143 from 106 in FY25, and net working capital days increasing to 201 from 151.

Key Operational Developments in FY26

Despite financial headwinds, the company advanced several strategic initiatives during the year:

• H-Xtreme™ Heat Exchanger launched at ChemTECH Mumbai, targeting the global specialty heat exchanger market with claimed fuel savings of 10–25% and efficiency of up to 90%
• Raw Effluent Membrane (REM) technology field trials successfully completed, enabling direct treatment of complex industrial effluents
• First Waste Pickle Liquor ZLD system commissioned for a steel industry customer, opening a new industrial vertical
• Largest O&M contract in company history, valued at approximately ₹80 crore, secured; Pathak Utility Private Limited acquired to strengthen service capabilities
• Strategic investment of $2 million equity stake in a US-based polymer company, the second US investment after an earlier stake in a membrane technology company
• Initial orders secured from the Solar PV industry covering ultra-pure water systems and wastewater recycling solutions
• Multiple CBG projects advanced from pipeline into execution

IPO Proceeds Utilisation

The company completed its IPO in FY25, raising net proceeds of ₹1,620.76 Mn. As of March 31, 2026, utilisation status was as follows (₹ in Mn):

The Board has not recommended any dividend for FY26, citing the requirement of funds for fulfilling financial obligations. The statutory auditors, M/s. Deloitte Haskins & Sells LLP, issued an unmodified opinion on both standalone and consolidated financial statements for FY26.

Concord Enviro Systems has scheduled its 27th annual general meeting for September 22, 2026. The meeting will be held via video conferencing to address ordinary and special business items.

The agenda includes the adoption of audited standalone and consolidated financial statements for FY26. Shareholders will vote on the re-appointment of Mr Prerak Goel as a director retiring by rotation.

Special Business Items

The meeting will consider special resolutions for the re-appointment of three independent directors for a second term of five years:

• Mr Prakash Shah
• Ms Kamal Sandeep Shanbhag
• Mr Shiraz Bugwadia Homi

Mr Prakash Shah will seek shareholder approval to continue his directorship beyond the age of 75 years during his second term.

Management Remuneration

Shareholders will approve the re-appointment and remuneration of Mr Prayas Goel as Managing Director and Mr Prerak Goel as Executive Director. Both appointments are for a three-year term commencing April 1, 2027.

Both executives are also entitled to draw annual remuneration of up to ₹28 million each from Rochem Separation Systems (India) Private Limited, a wholly owned subsidiary.

Financial Context

For FY26, the company reported revenue from operations of ₹558.71 million, compared to ₹565.84 million in FY25. Profit after tax stood at ₹95.91 million in FY26, up from ₹31.32 million in the previous year. Other income rose significantly to ₹145.06 million from ₹33.44 million in FY25.

What the Numbers Show

Profit after tax grew more than threefold in FY26 despite a slight decline in revenue from operations. This divergence suggests that factors other than core operational sales growth contributed significantly to the bottom-line improvement, notably the sharp increase in other income which nearly quadrupled year-on-year.