Rajiv Mittal, Managing Director and S Varadarajan, Executive Director addressed the call.

For the quarter ended December 2017, Va Tech Wabag reported a 20% rise in its consolidated sales to Rs 864.70 crore. OPM fell 210 basis points to 9.0% which saw OP fall 2% to Rs 77.67 crore.

Net profit stood at Rs 30.06 crore against a loss of Rs 2.56 crore.

For the nine months, consolidated sales grew 17% to Rs 2419.80 crore. OPM fell 60 bps points to 8.4% which saw OP grow 9% to Rs 203.04 crore.

Net profit grew 176% to Rs 73.65 crore.

Sales continued to grow impressively as the company saw continued improvement in execution progress in large projects.

Margins got good contribution from overseas subsidiaries and IIUs.

Interest cost rose mainly due to higher bank charges associated with execution and new projects.

Repatriation from profitable project execution in MEA resulting in dividend income

The company had Rs 230 crore order intake in Q3 taking its 9 months order inflow to Rs 1440 crore.

The order book stands at over Rs 6520 crore excluding Framework contracts of about Rs 680 crore.

Guidance for FY 18: Revenue to be in the range of Rs 3800 crore-Rs 4000 crore

Guidance for order Intake is in the range of Rs 4300 crore-Rs 4500 crore.

The company was L1 for close to Rs 2000 crore orders in last quarter. The management expects to convert 50% of it into confirmed order during the quarter. This will see the company ending FY 2018 with healthy order book.

The company hopes to get Rs 2500 crore worth of orders in Q4 which will help it meet its order guidance for FY 2018. Bulk of the order is expected to come from India, followed by Gulf region, GCC and a small portion will come from European subsidiaries.

The management is optimistic that the company will continue to grow profitably.

Renewed focus on MEA market with the new leadership in place, the management is confident that the company will scale new heights.

Wabag Austria won a contract for 17.4 million pounds in Tobruk, Libya.

WWC fell from 94 days to 101 days in previous quarter.

Operational issues due to GST have come down but have not completely gone. The situation is likely to improve by year end.

Collection improved despite GST issues. It will improve further as year ends.

Net cash improved substantially.

It reduced net debt by Rs 190 crore.

As on December 2017, on consolidated basis, gross debt stood at Rs 420 crore. Gross cash stood at Rs 261 crore. Receivables stood at Rs 2270 crore, an improvement of Rs 150 crore compared to September 2017 quarter.

APGENCO receivable is unchanged at Rs 500 crore.

India will grow. There is tremendous opportunity. The opportunity is so huge that all the companies put together may not be able to handle.

In next few years the company hopes to be Euro 1 billion company.

The management is hopeful that 2019 will see more orders than last 3-4 years.

In Mumbai, 5 out of 7 tenders are in the process of going into bidding process.