Detailed Narrative
Q3 FY25 Financial Performance Highlights
Antony Waste Handling Cell Limited reported a strong Q3 FY25, achieving a record high quarterly operating revenue of ₹221 crores, marking a 15% year-over-year growth. Including income from recyclables and RDF, total operating revenue reached ₹243 crores, a 12% YoY increase. EBITDA stood at ₹59 crores, reflecting an 18% growth with an EBITDA margin of 24%, expanding by 120 basis points compared to the same quarter last year. The company's PAT for the quarter was ₹18 crores, a 16% growth over Q3 FY24.
Operational Performance and Business Segment Growth
The collection and transportation business demonstrated robust growth with an 18% YoY revenue increase, reaching ₹163 crores. The processing business also saw a 9% growth, recording ₹58 crores in revenue, primarily driven by power sales from the PCMC waste-to-energy plant, initial contributions from the CIDCO bio-mining project, and commercial start of C&D operations. The PCMC WTE plant maintained strong operational performance with an impressive Plant Load Factor (PLF) of 77% in Q3 FY25, generating over 23 million green units.
New Project Contributions and Pipeline
The company was awarded a significant contract worth ₹976 crores by the Navi Mumbai Municipal Corporation for Collection and Transportation Services, with revenue expected to ramp up by the end of Q1 FY26. The newly operational Construction & Demolition (C&D) plant is expected to contribute approximately ₹25 crores in topline revenue annually. Additionally, the CIDCO bio-mining project is projected to add around ₹45 crores to the topline next year. Discussions are ongoing for a large-scale Waste-to-Energy plant in Kanjurmarg with a proposed capacity of 3000 tons per day, requiring an estimated CAPEX of ₹800-₹1,000 crores.
Debt Management and Financial Position
As of December 24, the group's gross debt stood at ₹431 crores, with net debt at approximately ₹366 crores. The net debt to equity ratio was 0.5x, and the weighted cost of debt was 9.6%. The company received ₹45 crores out of ₹50 crores in VGF funding for the PCMC project, which was used for debt repayment, with the balance ₹5 crores expected by September 2025. Management indicated that even with the substantial CAPEX for new projects like Kanjurmarg WTE, the debt would remain within serviceable limits.
Future Outlook and Strategic Initiatives
Antony Waste projects a revenue growth of 15-18% for the next year and a 25% CAGR over the next 3-5 years, with EBITDA margins expected to remain in line with the first nine months of FY25. The company is actively pursuing opportunities in the EPR segment for plastics, with an application filed with CPCB, and is evaluating the technical feasibility of converting plastic to oil. Diversification efforts also include the production of M-Sand from C&D waste, which has seen good traction with sales of 3,500 tons in the first few months.
Sustainability and ESG Initiatives
The company processed over 20,000 tons of Construction and Demolition Waste at its Dahisar plant, with an impressive 96% recycled into valuable resources. On the ESG front, Scope 1 and Scope 2 emissions for the first 9 months of FY25 totaled approximately 19,545 tons and 2,213 tons of CO2e respectively, with 10,172 tons of emissions avoided. The company also highlighted a 'zero waste event' initiative during the Coldplay event in Navi Mumbai, where 14,000 kgs of waste were collected and processed.