Va Tech Wabag rallies 20% as Co's board to consider fundraising next week

For the quarter ended March 2020, net profit of the company came in at Rs 30.47 crore, down 25.2 per cent against Rs 40.77 crore in the year-ago period.

Shares of Va Tech Wabag, the multinational player in the water treatment industry, advanced 20 per cent to Rs 219.95 apiece on the BSE on Friday after the company informed on Thursday that the company will hold a board meeting on August 25, 2020, to consider and approve raising of funds. 

At 11:27 AM, the stock was ruling over 9 per cent higher at Rs 200 on the BSE. It hit a high of Rs 203.45 during the day against Thursday's close of Rs 183.30. In comparison, the benchmark S&P BSE Sensex was trading nearly 300 points or 0.74 per cent up at  38,502.57 levels.

For the quarter ended March 2020, Va Tech Wabag reported profit before tax (PBT) of Rs 45.23 crore, up 186 per cent against Rs  15.82 crore in the March 2019 quarter. Revenue from operations stood at Rs 785.06 crore, up 15.5 per cent against Rs 679.25 crore in the year-ago period. 

The net profit of the company came in at Rs 30.47 crore, down 25.2 per cent against Rs 40.77 crore in June 2019 quarter. 

"Our fourth-quarter revenues have grown year-over-year despite the slowdown due to Covid-19 pandemic towards the end of the financial year. Also, our robust order book with competitive margins has yielded results this year, as our operating margins have improved significantly. We are confident that this trend continues in the long run and reflect in our bottom line, as the execution increases, " said Rajiv Mittal, Managing Director at the company. 

Va Tech Wabag had announced its Q4 numbers on August 1.