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WPIL Limited — Q1 FY27 earnings call

Call held 24 Jul 2026

Company page: WPIL share price, financials & guidance record

Management summary

WPIL Limited reported a strong Q1 FY27 with consolidated revenue up 32% YoY to INR501 crores and EBITDA margins at 15.04%, primarily driven by robust international performance. The total order book stands at INR5,270 crores, offering good visibility. However, the domestic project business remained subdued, and the company is addressing a debarment notice from the MP government and delayed fund releases impacting stand-alone results.

Highlights

  • Consolidated revenue from operations increased by 32% year-on-year to INR501 crores.

  • Consolidated EBITDA margins improved to 15.04%, with PAT at INR59 crores.

  • Total order book reached INR5,270 crores, providing healthy revenue visibility.

  • International revenues nearly doubled to INR386 crores, with international EBITDA margins improving materially to 15%.

  • Management expects substantial inflow of INR300-350 crores in JJM receivables this quarter.

Concerns

  • Stand-alone revenue declined by 37% year-on-year to INR115 crores.

  • Domestic project division remained subdued with revenues at INR43 crores.

  • Debarment notice from the MP government restricts bidding for new projects until old ones are completed.

  • Project invoicing in the domestic sector is drastically lower due to delayed fund releases, impacting stand-alone margins.

Key financials

  1. Consolidated Revenue ₹501 Cr +32%YoY
  2. Consolidated EBITDA ₹75 Cr
  3. Consolidated EBITDA Margin 15%
  4. Consolidated PAT ₹59 Cr
  5. Consolidated PAT Margin 11.8%
  6. Stand-alone Revenue ₹115 Cr -37%YoY
  7. Stand-alone EBITDA ₹14 Cr
  8. Stand-alone EBITDA Margin 12.2%
  9. Stand-alone Net Profit ₹6 Cr
  10. Stand-alone PAT Margin 5.4%
  11. International Revenues ₹386 Cr
  12. Domestic Product Division Revenue ₹72 Cr
  13. Domestic Project Division Revenue ₹43 Cr
  14. Share of Profit from Associates and JVs ₹11.24 Cr

What they filed

Q1 FY27: revenue down 36.7%, net profit down 67.3% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue330 218 361 181 176 −47%204 −6%201 −44%115 −37%
EBITDA63 33 64 28 35 −45%49 +48%50 −22%14 −51%
Net profit47 20 46 19 25 −46%33 +61%40 −13%6 −67%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Order book

high confidence

Total value

₹5,270 Cr

as of 2026-06-30 quantified

Composition

Mix 5 geographies
  • International Order Book 54.9%
  • Product Order (International) 55%
  • Product Order (Domestic) 45%
  • Project Order (International) 55%
  • Project Order (Domestic) 45%

Share of order book by geography· categories overlap, and sum to 254.9%

The total order book provides healthy revenue visibility, with international business showing strong momentum. Domestic projects are subdued but expected to improve in H2.

Source: Prepared remarks

Capital allocation

medium confidence
  • M&A PCI Africa Acquisition · Integrated

    Strategic move to gain full control over key international assets.

    Intention to reduce minority shareholding and buy out other shareholders in 3 years to reach 100% ownership.

    And we our intention is to reduce the minority shareholding on all our subsidiaries over the, say, medium 2 to 3 years' time. Say, for example, in this new acquisition, PCI, we have an understanding that in 3 years, we will buy out the other shareholders.

Guidance & targets

Profitability

  • Consolidated EBITDA Margin Profitability · ongoing · Medium confidence 15-20%
    Our consolidated margin has hit 15%, and our standard range is between 15% and 20%, so we should see it improving only further.

    — Prakash Agarwal

What to watch in Q2 FY27

Resolution of MP government debarment

next quarter
Current Debarment notice received, addressing concerns
Target Resolution of debarment, ability to bid for new projects

Why it matters

Crucial for resuming new project acquisitions and growth in a key domestic market.

They gave us a debarment basically saying that you cannot bid for new projects until you finish the old projects. And we are addressing those concerns, and hopefully, we can resolve the issue soon.

Risks & concerns

  • Debarment notice from MP government

    medium

    Cannot bid for new projects until old ones are finished, due to slow project movement.

    Management acknowledged

  • Slow project invoicing and delayed fund release in domestic projects

    medium

    Sector-wide issue leading to drastically lower project invoicing and impacting stand-alone margins; funds not yet released.

    Management acknowledged

  • Litigation regarding a terminated contract

    low

    One contract terminated 2.5 years ago, amount adjusted, now in arbitration.

    Management acknowledged

  • Pending tax issues related to Rutschi sale (Switzerland part)

    low

    France part resolved favorably, but Switzerland part has not reached a stage of resolution and will take time.

    Management acknowledged

Q&A highlights

7 direct, 1 evasive
Sustainability of Q1 margins and impact of raw material prices due to global conflicts. Direct
No. Our margins are quite stable across our business... I think it is balanced out in our contract, which are pretty medium term, long term in nature. So, it's not much of an impact.

Addresses concerns about external factors affecting profitability and confirms stability of margins due to contract structure.

Asked by Ravi Naredi

Clarification on the breakdown of the total order book between product and project, and domestic vs. international segments. Direct
Product business order is INR1,029 crores... Project order is INR4,241 crores... product order only. I mean there is a division of 55% international and 45% domestic... That is projects. And again, you will see there yes, about 55%, again, there also international and 45% domestic.

Provides crucial details on the composition and geographic split of the order book, which is a key indicator for capital goods companies.

Asked by Ravi Naredi

Issues with the MP government, including a debarment notice and its impact on new project bidding. Direct
We had -- they, I think, gave us a debarment notice saying that basically, they pointed out that various projects are moving slow. So, we are addressing those concerns that they have raised. They gave us a debarment basically saying that you cannot bid for new projects until you finish the old projects.

Highlights a significant operational challenge and regulatory hurdle in a key domestic market, impacting future order inflows.

Asked by Ravi Naredi

Explanation for the decline in stand-alone EBITDA margins to 5%. Direct
Only due to the project invoicing, which is very drastically lower because the sector is still facing problems, our funds are not yet released. So I think these are sector issues, and all people in this sector are facing it.

Explains the underperformance of the stand-alone entity, attributing it to execution and funding issues in domestic projects, which is a sector-wide problem.

Asked by Saket Kapoor

Status of slow-moving domestic project orders, specifically from the Jal Jeevan scheme. Direct
No, it is only the Jal Jeevan projects, which are we are primarily exposed there right now, that those are slow moving... that is states but supported by center. It's a joint effort. So hopefully, that will get resolved and invoicing can pick up in the second half of the year.

Provides insight into the challenges and potential recovery timeline for a significant portion of the domestic order book, crucial for revenue recognition.

Asked by Saket Kapoor

Clarification on project profitability numbers cited by the analyst, which management could not reconcile. Evasive
I'm not sure how you got these numbers... We don't have the details, so I can't answer this... Can we move on?

Indicates a potential discrepancy or lack of immediate transparency regarding specific segmental profitability figures, raising questions about data availability or consistency.

Asked by Saket Kapoor

Outlook for the domestic project business, particularly the Jal Jeevan Mission, and realization of outstanding receivables. Direct
Yes. This is a good question, and I completely believe that the sector remains a priority and the funds will be released and future, there will be good traction in opportunity... Yes. We believe there will be a substantial inflow this quarter.

Reassures investors about the long-term potential of the domestic water sector and signals expected improvement in cash flow from receivables, impacting liquidity.

Asked by Jainam Doshi

Strategy for reducing minority shareholding in international subsidiaries like PCI Africa. Direct
And we our intention is to reduce the minority shareholding on all our subsidiaries over the, say, medium 2 to 3 years' time. Say, for example, in this new acquisition, PCI, we have an understanding that in 3 years, we will buy out the other shareholders.

Outlines a clear capital allocation strategy to gain full control over key international assets, potentially improving future consolidated earnings and strategic alignment.

Asked by Deepak Purswani

2 min read 5 chapters

Detailed narrative

Strong Consolidated Performance Driven by International Business

WPIL Limited delivered a robust Q1 FY27, with consolidated revenue from operations increasing by 32% year-on-year to INR501 crores. This growth was primarily fueled by the international business, which saw revenues rise substantially to INR386 crores from INR197 crores in the corresponding period last year. Consolidated EBITDA margins improved to 15.04%, resulting in a PAT of INR59 crores, reflecting healthy profitability.

Subdued Domestic Project Segment and Stand-alone Underperformance

In contrast to the international segment's strong showing, the domestic project division remained subdued, contributing only INR43 crores to revenue. This led to a 37% year-on-year decline in stand-alone revenue to INR115 crores and a lower stand-alone EBITDA margin of 12.21%, with net profit at INR6 crores. Management attributed this underperformance to drastically lower project invoicing and delayed fund releases due to sector-wide issues, particularly affecting the Jal Jeevan Mission projects.

Healthy Order Book and Strategic Focus on International Growth

The company's total order book stood at a healthy INR5,270 crores at the end of Q1, providing strong revenue visibility for future quarters. The international order book accounted for INR2,891 crores, while the domestic product and project order books were INR459 crores and INR1,921 crores (including INR530 crores of O&M), respectively. WPIL continues to witness strong momentum in its international operations, with Gruppo Aturia, Sterling and United, and WPIL Thailand securing healthy orders, and PCI Africa commencing execution of large contracts.

Addressing Domestic Project Challenges and Receivables

WPIL is actively addressing challenges in its domestic project business, including a debarment notice from the MP government that restricts bidding on new projects until existing ones are completed. Management expects these issues to be resolved, with invoicing and execution picking up in the second half of the year. The company also anticipates a substantial inflow of roughly INR300-350 crores in outstanding receivables from the Jal Jeevan Mission during the current quarter, which will improve liquidity.

Long-term Margin Targets and Subsidiary Stake Reduction Strategy

Management reiterated its target to operate within a consolidated EBITDA margin range of 15% to 20%, expecting further improvement from the current 15.04%. Strategically, WPIL aims to reduce minority shareholdings in its subsidiaries over the medium term (2-3 years). For instance, in the recently acquired PCI Africa, there is an understanding to buy out other shareholders within three years to achieve 100% ownership, aligning with the goal of gaining full control over key international assets.

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