WPIL Limited Equity Research Report
Comprehensive Financial Analysis and Market Insights
Executive Summary
WPIL Limited demonstrates robust financial performance with a market capitalization of ₹7,008 Cr and strong growth metrics across key performance indicators. This analysis provides in-depth insights into the company’s financial health, market position, and future growth prospects.
Key Financial Metrics
Market Cap
₹ 7,008 Cr
Current Price
₹ 718
52-Week High/Low
₹ 760 / 299
Stock P/E Ratio
35.6
Book Value per Share
₹ 138
Dividend Yield
0.56%
ROCE
20.4%
ROE
46.2%
Debt
₹ 403 Cr
Reserves
₹ 1,340 Cr
Recent Performance
Q2 FY25 Highlights
Revenue
₹ 491 Cr
(+54% YoY)
EBITDA
₹ 104 Cr
(+57% YoY)
EBITDA Margin
21.3%
PAT
₹ 70 Cr
(+64% YoY)H1 FY25 Highlights
Revenue
₹ 853 Cr
(+33% YoY)
EBITDA
₹ 165 Cr
(+31% YoY)
PAT
₹ 113 Cr
(+36% YoY)
PAT Margin
13.3%
Operational Highlights
Order Book
Domestic Projects
₹ 2,730 Cr
International Projects
₹ 534 Cr
Geographical Expansion
- Strong growth in South Africa and Australia due to strategic acquisitions and investments
- Enhanced presence in high-growth markets like MENA and Southeast Asia
Future Growth and Projections
Revenue Outlook
- Analysts project a compound annual growth rate (CAGR) of 15-20% over the next three years
- Domestic and international operations are expected to drive top-line growth, leveraging government-led initiatives
Focus Areas
- Increasing the contribution of high-margin product sales to enhance profitability
- Targeting new acquisitions in North America and other strategic regions to expand market share
Sector Opportunities
- Infrastructure investments in water management and irrigation sectors provide a significant growth runway
- Technological advancements and niche market focus strengthen WPIL’s competitive advantage
Key Risks
- Dependency on government projects introduces risks related to policy changes and payment delays
- Volatility in commodity prices may impact margins
Conclusion
WPIL Limited demonstrates strong financial health, supported by a robust order book and strategic growth initiatives. The company is well-positioned to capitalize on domestic and international infrastructure growth, with consistent performance expected in the medium term.