Water treatment stock jumps 4% after receiving ₹313 Cr order from JSW Steel

Synopsis:
A microcap stock rallied after securing a ₹313.40-crore JSW Steel order, supported by strong revenue growth, improving profitability, and a robust order pipeline. Expanding ZLD expertise, rising exports, and major EPC wins enhance sector credibility and strengthen long-term growth visibility across industrial water solutions.

The shares of the prominent water solution provider gained up to 9 percent in today’s trading session after the company secured a Rs 313.40-crore domestic contract from JSW Steel.

With a market capitalisation of Rs 590 crore, the shares of Effwa Infra & Research Limited were trading at Rs 255.20 per share, increasing around 3.47 percent as compared to the previous closing price of Rs 246.65 apiece.

Significant Order

The shares of Effwa Infra & Research Limited have seen bullish movement after securing a Rs 313.40-crore domestic contract from JSW Steel to manufacture, supply, supervise, and operate an effluent treatment plant at Dolvi. The 20-month project strengthens Effwa’s presence in industrial wastewater solutions. The company confirmed no promoter interest or related-party involvement in the order.

Financial highlights & Revenue breakdown 

The company delivered strong financial momentum, with revenue rising 48% from  Rs 61 crore in H1FY25 to  Rs 90 crore in H1FY26, reflecting expanding demand and improved execution. Net profit doubled to  Rs 10 crore, indicating better cost control and operating leverage. The sharp jump in profitability highlights a healthier margin profile and strengthens confidence in the company’s growth trajectory.

The revenue mix shows a strong dependence on ZLD systems, contributing 90.60% and driving margins. Effluent recycling adds 6.78%, while sewage treatment and O&M contribute 1.48% and 1.13%, respectively, with O&M building a recurring base. Geographically, 69% of revenue is domestic, while 31% comes from exports, supported mainly by African projects and emerging East Asia opportunities.

The company holds an order book of  Rs 450+ crore with a bidding pipeline of  Rs 2,600 crore and a 20–25% win rate. Though slightly below last year’s  Rs 500 crore level, management expects a rebound. It targets a confirmed order book of  Rs 700 crore by March 2026, supported by the Hutni order and  Rs 400–500 crore in final-stage bids.

Effwa’s  Rs 150+ crore EPC win from Hutni Projekt marks a major strategic milestone. The project covers BOD treatment, raw water systems, and full ZLD deployment for SAIL. Management views this as validation from global engineering firms, strengthening Effwa’s position in the regulation-heavy steel sector and boosting credibility for future large ZLD bids in India and overseas.

Effwa Infra & Research Limited is a specialised water treatment and environmental engineering company focused on zero-liquid discharge, effluent recycling and industrial wastewater solutions. Known for its strong technical capability and execution track record, the company serves steel, power and manufacturing sectors while expanding its domestic and international presence through high-value EPC and O&M projects.

Written by Abhishek Singh

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