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    Effwa Infra

    EFFWA
    Utilities·13 Nov 2025
    Management Summary

    Effwa Infra reported a strong H1 FY26, with revenue growing 48.23% YoY to INR 90.21 crores and PAT increasing 112.93% YoY to INR 10.14 crores. EBITDA margin expanded significantly to 17.1%. The company maintains a robust order book of INR 450 crores and a pipeline of INR 2,600 crores, targeting INR 700 crores in confirmed orders by March 2026. Management is focused on ZLD solutions, international expansion, and increasing O&M revenue, while also developing a patented Zero Material Discharge technology.

    Highlights

    5

    • Revenue from operations for H1 FY26 was INR 90.21 crores, reflecting a 48.23% year-on-year growth.

    • EBITDA for H1 FY26 stood at INR 15.42 crores, marking a 111.30% year-on-year increase, with EBITDA margin improving by 510 basis points to 17.1%.

    • Net profit after tax for H1 FY26 was INR 10.14 crores, an increase of 112.93% year-on-year, and PAT margin expanded by 341 basis points to 11.24%.

    • The current order book is over INR 450 crores, complemented by a healthy pipeline of more than INR 2,600 crores, with a 20-25% success rate.

    • Secured a significant EPC project valued at over INR 150 crores from Hutni Projekt FM (India) Private Limited, which includes design, supply, installation, and commissioning of BOD treatment, raw water treatment, and a complete zero-liquid discharge system for SAIL.

    Key financials

    Single quarter

    05 metrics
    1. 01Revenue from Operations₹90.21 Cr+48.2%YoY
    2. 02EBITDA₹15.42 Cr+111.3%YoY
    3. 03EBITDA Margin17.1%
    4. 04PAT₹10.14 Cr+112.9%YoY
    5. 05PAT Margin11.2%

    Segment breakdown

    Effluent Treatment Plants with Recycling
    6.8% Revenue Contribution
    Zero-Liquid Discharge Systems
    90.6% Revenue Contribution
    Sewage Treatment and Reclamation Projects
    148% Revenue Contribution
    Operation & Maintenance
    113.0% Revenue Contribution
    Domestic Projects
    69% Revenue Contribution
    Exports
    31% Revenue Contribution
    List

    Order Book

    high confidence

    Total Value

    ₹ 450 crores

    as of 2025-11-13

    quantified

    Inflow this qtr

    ₹ 160 crores

    Execution

    18 months for commissioning of Hutni project

    Pipeline

    other

    Healthy pipeline of more than INR 2,600 crores, with a 20-25% success rate expected.

    "Management expects to reach INR 700 crores in confirmed order book by March 2026, driven by new project wins and a strong bidding pipeline."

    Source:
    Prepared remarks

    Guidance & targets

    7
    CategoryTargetPriority
    Revenue
    Revenue Growth
    40% plus
    		High
    Revenue
    O&M Revenue Contribution
    3% to 4%
    		Medium
    Profitability
    EBITDA Margin Improvement
    1%
    		High
    Profitability
    EBITDA Margin
    16% to 17%
    		High
    Order Book
    Confirmed Order Book
    INR 700 crores
    		High
    New Projects
    First Zero Material Discharge Project
    secured
    		Medium
    New Projects
    Coke Oven Related Projects
    2 more deals
    		Medium

    Confirmed Order Book

    by March 2026
    CurrentINR 450 crores
    TargetINR 700 crores

    Why it matters

    Achievement of this target will demonstrate strong execution and future revenue visibility.

    So, by March, we are expecting INR 700 crore confirm order book in hand.

    How to verify

    order_book.value.amount

    Risks & concerns

    2
    RiskSeverity

    Highly Competitive Environment

    The RHP mentioned a highly competitive environment and the risk of not meeting eligibility criteria for future projects. — Analyst downplayed

    medium

    Manpower Shortage for O&M

    Initial challenges with qualified manpower for O&M, but now addressed by focusing on quality and integrating O&M into EPC contracts. — Analyst acknowledged

    low

    Q&A highlights

    8

    “So, INR 95 crores comprise of some part of retention and some is regular receivables. So, almost 30% of our receivables that is around INR 27 to INR 28 crores is retention part and the rest is receivable within the 90 days' time.”

    Clarifies the composition and aging of the company's trade receivables, indicating a healthy collection cycle for the majority.

    asked by Siddhant Chauhan

    2 min read5 chapters

    Detailed Narrative

    01

    Strong H1 FY26 Financial Performance

    Effwa Infra delivered a robust financial performance in H1 FY26, with revenue from operations growing 48.23% year-on-year to INR 90.21 crores. This growth was driven by steady execution across industrial ZLD and effluent recycling projects. EBITDA saw an impressive 111.30% year-on-year increase, reaching INR 15.42 crores, with the EBITDA margin expanding by 510 basis points to 17.1%. Net profit after tax also surged by 112.93% year-on-year to INR 10.14 crores, and the PAT margin improved by 341 basis points to 11.24%.

    02

    Robust Order Book and Pipeline Visibility

    The company's current order book stands at over INR 450 crores, providing strong revenue visibility. This is further bolstered by a healthy pipeline of more than INR 2,600 crores, for which management anticipates a 20-25% success rate in converting bids into orders. A significant new EPC project valued at over INR 150 crores was secured from Hutni Projekt FM (India) Private Limited for SAIL, involving comprehensive water treatment and zero-liquid discharge systems. Management expects to achieve a confirmed order book of INR 700 crores by March 2026, with an additional two coke oven related projects targeted by December.

    03

    Strategic Focus on ZLD and O&M Segments

    Zero-liquid discharge (ZLD) systems remain a core strength, contributing approximately 90.60% of the company's revenue, reflecting strong demand from highly regulated and water-intensive industries. The operation and maintenance (O&M) segment, though smaller at 1.13% of revenue, is scaling up and is expected to contribute 3-4% to the top line in the coming years, providing stable, recurring revenue. Effluent treatment plants with recycling and sewage treatment projects contributed 6.78% and 1.48% of revenue, respectively.

    04

    Innovation in Zero Material Discharge (ZMD) Technology

    Effwa Infra is in the advanced stages of filing a patent for a Zero Material Discharge (ZMD) technology, which aims to eliminate residue and convert waste into a product. This innovation is expected to address a significant pain point for industries by reducing operating costs associated with waste disposal. Management plans to commercialize this technology by FY27 and anticipates securing the first ZMD project within the next 6-8 months, leveraging its unique, simpler, and more cost-effective process compared to existing solutions.

    05

    International Expansion and Operational Efficiency

    International business continued to gain traction, with exports contributing 31% of H1 revenues, primarily from the African region. The company is also exploring expansion opportunities in East Asia through collaborations. Operationally, Effwa has focused on enhancing execution efficiency through advanced engineering software, streamlined project monitoring, and continuous training, leading to faster delivery cycles and improved margin performance. The company's asset-light EPC model and strong banking relationships ensure working capital is not a constraint for growth up to INR 500 crores in top line.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.