WABAG FY26 PAT rises 26% to INR 3,705 million
VA Tech Wabag reported a 26% rise in FY26 PAT to INR 3,705 million, with revenue growing 21% to INR 40,385 million. The board recommended a final dividend of INR 5.00 per share.

*this image is generated using AI for illustrative purposes only.
VA Tech Wabag has reported its audited financial results for the quarter and financial year ended March 31, 2026, delivering strong growth across key metrics. The company achieved a consolidated net profit of INR 3,705 million for the full year, marking a 26% increase from INR 2,953 million in the previous year. Revenue from operations for the year stood at INR 40,385 million, up approximately 21% year-on-year from INR 33,386 million. Following the results declaration, the company hosted the Annual Investors Meet 2026 and Q4 & FY26 Results Conference Call on May 25, 2026, and released the audio recording on its website.
Annual and Quarterly Financial Performance
The company demonstrated strong operational efficiency across the consolidated financial statements for FY26. The following table summarises the key annual and quarterly metrics:
| Metric | FY26 | FY25 |
|---|---|---|
| Net Profit | INR 3,705 million | INR 2,953 million |
| Revenue from Operations | INR 40,385 million | INR 33,386 million |
| Metric | Q4 FY26 | Q4 FY25 |
|---|---|---|
| Net Profit | INR 1,280 million | INR 995 million |
| Revenue from Operations | INR 14,463 million | INR 11,676 million |
For the quarter ended March 31, 2026, net profit rose to INR 1,280 million compared to INR 995 million in the same period last year. Revenue for the quarter increased to INR 14,463 million from INR 11,676 million in the corresponding period of the previous year.
Dividend Declaration
The Board of Directors has recommended a final dividend of INR 5.00 per equity share of face value INR 2 each for the financial year 2025-26. This dividend is subject to the approval of the Members at the ensuing Annual General Meeting.
Operational Highlights and Order Book
VA Tech Wabag maintained a robust financial position with a gross cash position of INR 10,592 million and a net cash position of INR 8,337 million, marking the sixth consecutive year of being net cash positive. The company reported an order intake of over INR 75 billion and a total order book of over INR 172 billion, including framework contracts, providing strong revenue visibility. Notably, the order book currently stands at over four times revenue, and the company plans to maintain it at a minimum of three times revenue going forward. India Ratings & Research reaffirmed the company's Long Term Rating at IND AA-/Stable and Short Term Rating at IND A1+.
Management Guidance and Strategic Targets
Management has outlined a medium-term goal of achieving 15% to 20% revenue growth and EBITDA margins in the range of 13% to 15%, with the current performance noted to be at the higher end of the revenue growth target. The company also aims for over 20% Return on Capital Employed and over 15% Return on Equity, with current levels at 19.40% and nearly 16%, respectively, and plans to exceed 20% ROCE in the coming years. The following table summarises the key strategic targets:
| Parameter | Current Level | Target |
|---|---|---|
| Revenue Growth (Medium-Term) | Higher end of target range | 15% to 20% |
| EBITDA Margins (Medium-Term) | Not specified | 13% to 15% |
| Return on Capital Employed | 19.40% | Over 20% |
| Return on Equity | Nearly 16% | Over 15% |
| O&M Contribution | 17% | 20% |
| Order Book to Revenue Ratio | Over 4 times | At least 3 times |
VA Tech Wabag is also planning a new 5-year strategy with improved guidelines, aiming for growth within the water sector without diversification into other industries. As part of this strategy, the company intends to increase its Operations & Maintenance contribution from the current 17% to 20%, enhancing the quality and predictability of its revenue streams.
Historical Stock Returns for VA Tech Wabag
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +2.55% | +3.45% | +5.96% | +15.39% | -1.30% | +466.01% |
How does VA Tech Wabag plan to allocate its substantial net cash position to support the new 5-year strategy?
What specific initiatives will the company implement to increase the Operations & Maintenance contribution from 17% to 20%?
Are there potential risks to maintaining the order book at a minimum of three times revenue given the current economic climate?


































