Ion Exchange India , a leading water and environment management company, has announced its financial results for the first quarter, showcasing a mixed performance with growth in profit but a slight decline in margins.

Financial Highlights

• Consolidated Net Profit: Increased to ₹487.00 million, up from ₹450.00 million in the same quarter last year, marking an 8.22% year-over-year growth.
• Revenue: Rose to ₹5.80 billion from ₹5.70 billion, representing a modest 1.75% increase.
• EBITDA: Declined to ₹625.00 million from ₹642.00 million in the previous year.
• EBITDA Margin: Compressed to 10.78% from 11.26% year-over-year.

Segment Performance

The company's performance varied across its different business segments:

Management Commentary

Rajesh Sharma, Executive Chairman of Ion Exchange India Limited, stated, "We are pleased to report a growth in our consolidated net profit for the first quarter. While we faced some challenges in maintaining our EBITDA margins, our focus on operational efficiency and diverse business segments has helped us deliver a resilient performance."

Indraneel Dutt, Managing Director & CEO, added, "Despite a slight compression in margins, our engineering and chemicals segments continue to show strength. We are actively working on improving the performance of our consumer products segment and expect to see positive results in the coming quarters."

Future Outlook

The company remains optimistic about its future prospects, citing ongoing water infrastructure projects and increasing demand for water treatment solutions across various industries. Ion Exchange India is also focusing on expanding its presence in international markets to drive future growth.

Investor Information

The Board of Directors meeting, which approved these results, commenced at 11:30 a.m. and concluded at 4:00 p.m. on July 30.

Ion Exchange India continues to maintain a strong position in the water and environment management sector, with its diverse portfolio of engineering, chemicals, and consumer products. While the company faces some margin pressures, its ability to grow profits in a challenging environment demonstrates its resilience and market strength.

Ion Exchange (India) Limited , Asia's largest environment solutions provider, has reported robust financial performance, showcasing its continued leadership in the water treatment industry. The company's latest investor presentation highlights significant growth across key financial metrics and operational segments.

Financial Highlights

Ion Exchange reported an operating income of INR 27,371.00 million, marking a substantial increase from previous years. The company's profit after tax (PAT) stood at INR 2,083.00 million, reflecting strong bottom-line growth. Notably, Ion Exchange has maintained an impressive 5-year revenue CAGR of 13.10% and a PAT CAGR of 17.20%, demonstrating consistent long-term growth.

Segment Performance

The company operates through three main segments:

1. Engineering (61% of revenue): Provides comprehensive water and wastewater treatment solutions, including seawater desalination and zero liquid discharge plants.
2. Chemicals (29% of revenue): Manufactures a wide range of resins, specialty chemicals, and chemical treatment programs.
3. Consumer Products (10% of revenue): Offers water purification solutions for domestic, institutional, and rural markets.

Strong Market Position

With 61 years of operations, Ion Exchange has established itself as a leader in the water treatment industry. The company has executed over 150,000 projects across 23 countries, maintaining a robust order book of approximately INR 22,500.00 million, excluding certain projects.

Manufacturing Capabilities

Ion Exchange operates seven manufacturing facilities across India and assembly facilities in the UAE, Indonesia, Bangladesh, and Saudi Arabia. This extensive manufacturing network enables the company to meet diverse customer needs efficiently.

Market Opportunities

The company is well-positioned to capitalize on growing market opportunities driven by government initiatives such as the Jal Jeevan Mission and Swachh Bharat Abhiyan. The global water treatment market is expected to grow at a 7.50% CAGR, reaching USD 536.41 billion by 2030, presenting significant growth potential for Ion Exchange.

Financial Stability and Returns

Ion Exchange demonstrated strong financial stability with a healthy balance sheet. The company reported an impressive Return on Equity (ROE) of 18.70% and Return on Capital Employed (ROCE) of 22.00%, indicating efficient use of capital and strong profitability.

Future Outlook

With its comprehensive range of solutions, strong market presence, and focus on innovation, Ion Exchange is well-positioned to capitalize on the growing demand for water and wastewater treatment solutions. The company's strategy includes:

• Selective targeting of industrial and infrastructure projects
• Increased market penetration based on innovative technologies
• Focus on zero liquid discharge and desalination projects

As water scarcity and environmental concerns continue to grow globally, Ion Exchange's expertise in providing comprehensive water management solutions places it at the forefront of addressing these critical challenges.