VA Tech Wabag shares surge up to 13% post Q3 earnings

Shares of VA Tech Wabag Ltd gained up to 13% on Monday, February 10, reacting to the company's third quarter earnings.

In a filing to the stock exchanges on Friday, the company reported an 11.6% year-on-year (YoY) increase in its consolidated net profit to ₹70.2 crore, up from ₹62.9 crore in the same quarter of the previous financial year.

The company’s consolidated revenue from operations also saw a healthy rise of 15.1% year-on-year at ₹811 crore compared to ₹704.4 crore in the corresponding period of the previous fiscal.

The rise in key financial metrics for VA Tech WABAG, a key player in the water treatment sector, was reported after the company continued to see growing demand for water solutions in the quarter under review. The strong quarterly performance comes as the company continues to expand its presence in the water treatment industry, securing contracts both in India and abroad.

Rajiv Mittal, Chairman and Managing Director of VA Tech WABAG, said the company has maintained profitable growth trajectory, supported by consistent execution and sustainable operating margins. Also, the company upheld a net cash-positive position for the eighth consecutive quarter.

The stock opened at ₹1,538.7 apiece on Monday, February 10, reflecting a surge of 12.65% from its previous closing price. The positive momentum continued with the stock reaching an intra-day high of ₹1,550 apiece, marking a gain of 13.5% from the previous close.

However, the stock still trades 20.3% below its 52-week high of ₹1,943.5. It  has gained 138% from its 52-week low of ₹650 apiece.

Shares of VA Tech WABAG were trading 5.46% higher at ₹1,440.5 apiece on the BSE at 9:43 am.

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