Order Book Or Contract Wins
Expected: CurrentHIGH confidence
What: Order Book Value: ₹15,000 Crores
“The consolidated order book stands currently at approximately INR15,000 crores.”
Welspun Enterprises Ltd: Why Is It Outperforming Nifty 500?
ActiveWeak4w Streak
In , Welspun Enterprises Ltd (Water Treatment) is outperforming Nifty 500 with +5.2% relative strength. Fundamentals: Weak. On a 4-week streak.
Welspun Enterprises Ltd Key Facts
- PE Ratio
- 21.6x
- Market Cap
- ₹7,228 Cr
- PAT Growth YoY
- -60%
- Revenue Growth YoY
- -12%
- OPM
- 20.0%
- RS vs Nifty 500
- +5.2%
PE: Mid ExpansionWatch Value
What's Happening
📊Debt increased 29% YoY — leverage rising
👔Promoter buying — stake up 1.0% this quarter
🌐FII stake decreased 0.7% this quarter
🏛️DII accumulation — stake up 4.4%
💰Trading 56% below estimated fair value — significant discount
Earnings Acceleration Triggers
1. Order Book Or Contract Wins
CurrentHIGH
2. Demerger Spin Off Value Unlock
Q1/Q2 FY27HIGH
3. Tam Expansion Changing Consumption
Medium-termMEDIUM
Key Risks
1. Delays in statutory clearances for the Dharavi-Ghatkopar Tunnel project
HIGH2. Local disturbances and sensitivities due to elections impacted project sites
MEDIUM3. Extended monsoon impacted execution efficiency
LOWSector-Specific Signals
Consolidated Order Book₹15,000 Cr
Water Segment Order Book₹11,000 Cr
O&M Contracts Value₹5,400 Cr
Transport Revenue Contribution44%-19%
Key Numbers
PAT Growth YoY
-60%
Inflection Down
Revenue YoY
-12%
Inflection Down
Operating Margin
20.0%
+200 bps YoY
PE Ratio
21.6
Current Price
₹522
Dividend Yield
0.57%
Fundamental Score
39/100
Weak
3Y PAT CAGR
+41%
Market Cap
7.2K Cr
Valuation
Significantly Undervalued12-Week Performance
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
12 weeks agoThis week
Why Are Welspun Enterprises Ltd's Earnings Accelerating?
Based on Q3 FY26 earnings • Updated Apr 19, 2026
Demerger Spin Off Value Unlock
Expected: Q1/Q2 FY27HIGH confidence
What: Debt Reduction: ₹800 Crores
“approximately INR800 crores of debt, is expected to move off our balance sheet, significantly strengthening our financial position.”
Tam Expansion Changing Consumption
Expected: Medium-termMEDIUM confidence
What: Addressable Opportunity: ₹4.5 Lakh Crores
“translating into an addressable opportunity of approximately INR4.5 lakh crores.”
EBITDA Margin at 21.6%
MEDIUM confidence
What: EBITDA Margin at 21.6%
“However, EBITDA margin improved meaningfully to 21.6%, an expansion of 2%, driven by operational efficiency and cost discipline.”
What Are the Key Risks for Welspun Enterprises Ltd?
Earnings deceleration risks from management commentary
Delays in statutory clearances for the Dharavi-Ghatkopar Tunnel project
HIGHTrigger: Pending formal process-related approvals from CRZ and other agencies.
Management view: Actively engaging with authorities; work expected to start in Q4.
Monitor: regulatory
Local disturbances and sensitivities due to elections impacted project sites
MEDIUMTrigger: Local observations and election-related sensitivities at the Dharavi site.
Management view: Intervention by authorities is now taking place to resolve issues.
Monitor: labor
Extended monsoon impacted execution efficiency
LOWTrigger: Weather disruptions delayed construction activities across multiple sites.
Management view: Execution shifted to subsequent quarters.
Monitor: climate
What Is Welspun Enterprises Ltd's Management Saying?
Key quotes from recent conference calls
“We had guided that approximately 90% of the FY '26 revenues would be driven by the existing secured order book. [Previous Revenue Guidance FY26 guidance]”
“This milestone enables us to move forward with asset monetization, which we expect to complete in Q1 or Q2 of FY '27. [Initiative: Asset Monetization]”
“First, we saw delay in statutory clearances from the Dharavi-Ghatkopar Tunnel. This shifted execution from Q3 into Q4. [Risk (regulatory): HIGH]”
“But because of local disturbances, we could not do it, and there was a sensitivity because there were local elections, etcetera, at that point in time. [Risk (labor): MEDIUM]”
What Did Welspun Enterprises Ltd Report This Quarter?
Headline numbers from the latest earnings call
Revenue
₹806 Crores
YoY -12%
Why: Delays in statutory clearances for the Dharavi-Ghatkopar Tunnel and an extended monsoon impacted execution timelines.
Revenue was hit by timing issues and weather disruptions rather than structural loss.
EBITDA
₹174 Crores
YoY -1%Margin 21.6%
Why: Operational efficiency and cost discipline helped maintain margins despite the double-digit revenue decline.
Margins expanded by 200 bps YoY due to better project mix and cost control.
PAT
₹31 Crores
YoY -61%
Why: Impacted by a one-time exceptional loss of ₹49 crores from the write-off of an oil and gas block.
Adjusted for the exceptional write-off, PAT grew 4% YoY.
Other Highlights
• Consolidated cash reserves of ₹1,400 crores providing liquidity for growth.
• Exceptional loss of ₹49 crores recognized from Adani Welspun Enterprises write-off.
• CRISIL revised outlook from stable to positive for AA- rating.
What Sector Metrics Matter for Welspun Enterprises Ltd?
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Consolidated Order Book
₹15,000 Cr
Why: Includes O&M contracts and is net of intercompany adjustments.
Water Segment Order Book
₹11,000 Cr
Why: Focus on wastewater treatment and large-scale water supply.
O&M Contracts Value
₹5,400 Cr
Why: Provides stable long-term cash flows over 15 years.
Transport Revenue Contribution
44%
YoY -19%
Why: Impacted by project completions and delays in new awards.
Water Revenue Contribution
32%
YoY -15%
Why: Mainly due to slow progress in UP Jal Jeevan Mission.
Tunnelling Segment Growth
39%
YoY +39%
Why: Strong execution in subsidiary Welspun Michigan.
Consolidated Net Debt
₹466 Cr
Why: Strong net worth of ₹3,148 crores supports the leverage position.
First Annuity Received (Aunta-Simaria)
₹72 Cr
Why: Received from NHAI as scheduled.
What Is Welspun Enterprises Ltd's Management Guidance?
Forward-looking targets from management for FY26
OPM Guidance
19%
Capex Plan
₹7300 Cr
Revenue Outlook
₹3,600 - ₹3,700 Crores
Margin Outlook
REAFFIRMED
Capex Plan
₹7,300 Crores
Pune-Shirur Road BOT project
Management Tone: CAUTIOUS
Guidance Changes
LOWERED
Revenue FY26: ₹4,000 Crores → ₹3,600 - ₹3,700 Crores
How Fast Is Welspun Enterprises Ltd Growing?
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | -12% | +39% | Inflection Down |
| PAT (Net Profit) | -60% | +41% | Inflection Down |
| OPM | 20.0% | +200 bps | Volatile |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 19, 2026.
Other Top Water Treatment Stocks Beating Nifty 500
Frequently Asked Questions: Welspun Enterprises Ltd
Based on publicly available financial data. This is educational research, not investment advice.
What were Welspun Enterprises Ltd's latest quarterly results?
Welspun Enterprises Ltd's latest quarterly results (Dec 2025) show
- PAT Growth YoY: -59.7% (inflecting downward)
- Revenue Growth YoY: -12.2%
- Operating Margin: 20.0% (volatile)
Is Welspun Enterprises Ltd's profit growing or declining?
Welspun Enterprises Ltd's profit is declining with an inflecting downward trend.
- PAT Growth YoY: -59.7% (latest quarter)
- PAT Growth QoQ: -68.4% (sequential)
- 3-Year PAT CAGR: +41.1%
- Trend: Inflecting downward — consistent growth pattern
What is Welspun Enterprises Ltd's revenue growth trend?
Welspun Enterprises Ltd's revenue growth trend is inflecting downward.
- Revenue Growth YoY: -12.2%
- Revenue Growth QoQ: +0.4% (sequential)
- 3-Year Revenue CAGR: +38.7%
How is Welspun Enterprises Ltd's operating margin trending?
Welspun Enterprises Ltd's operating margin is volatile.
- Current OPM: 20.0%
- OPM Change YoY: +2.0% basis points
- OPM Change QoQ: -2.0% basis points
What is Welspun Enterprises Ltd's 3-year profit and revenue CAGR?
Welspun Enterprises Ltd's long-term compounding rates
- 3-Year Profit CAGR: +41.1%
- 3-Year Revenue CAGR: +38.7%
Is Welspun Enterprises Ltd's growth accelerating or decelerating?
Welspun Enterprises Ltd's earnings growth is inflecting downward with negative momentum on a sequential basis.
- YoY Acceleration: -117.8% bps
- Sequential Acceleration: -47.0% bps
What is Welspun Enterprises Ltd's trailing twelve month (TTM) performance?
Welspun Enterprises Ltd's trailing twelve month (TTM) performance
- TTM PAT: ₹335 Cr
- TTM PAT Growth: +2.5% YoY
- TTM Revenue: ₹3,000 Cr
- TTM Revenue Growth: +0.2% YoY
- TTM Operating Margin: 19.8%
Is Welspun Enterprises Ltd overvalued or undervalued?
Welspun Enterprises Ltd appears significantly undervalued based on our fair value analysis.
- Valuation Signal: Significantly Undervalued
- Current PE: 21.6x
- Price-to-Book: 2.7x
What is Welspun Enterprises Ltd's current PE ratio?
Welspun Enterprises Ltd's current PE ratio is 21.6x.
- Current PE: 21.6x
- Market Cap: 7.2K Cr
- Dividend Yield: 0.57%
How does Welspun Enterprises Ltd's valuation compare to its history?
Welspun Enterprises Ltd's current PE is 21.6x.
- Current PE: 21.6x
- Valuation Assessment: Significantly Undervalued
What is Welspun Enterprises Ltd's price-to-book ratio?
Welspun Enterprises Ltd's price-to-book ratio is 2.7x.
- Price-to-Book (P/B): 2.7x
- Book Value per Share: ₹194
- Current Price: ₹522
Is Welspun Enterprises Ltd a fundamentally strong company?
Welspun Enterprises Ltd is rated Weak with a fundamental score of 39.05/100. This score is calculated from objective financial metrics
- Revenue Growth YoY: -12.2% (10% weight)
- PAT Growth YoY: -59.7% (10% weight)
- PAT Growth QoQ: -68.4% (10% weight)
- Margins stable (10% weight)
Is Welspun Enterprises Ltd debt free?
Welspun Enterprises Ltd has a debt-to-equity ratio of N/A.
- Total Debt: ₹1,000 Cr
What is Welspun Enterprises Ltd's return on equity (ROE) and ROCE?
Welspun Enterprises Ltd's return ratios over recent years
- FY2023: ROCE 10.0%
- FY2024: ROCE 18.0%
- FY2025: ROCE 18.0%
Is Welspun Enterprises Ltd's cash flow positive?
Welspun Enterprises Ltd's operating cash flow is negative (FY2025).
- Cash from Operations (CFO): ₹-273 Cr
- Free Cash Flow (FCF): ₹-290 Cr
- CFO/PAT Ratio: -77% (weak cash conversion)
What is Welspun Enterprises Ltd's dividend yield?
Welspun Enterprises Ltd's current dividend yield is 0.57%.
- Dividend Yield: 0.57%
- Current Price: ₹522
Who holds Welspun Enterprises Ltd shares — promoters, FII, DII?
Welspun Enterprises Ltd's shareholding pattern (Mar 2026)
- Promoters: 56.1%
- FII (Foreign): 3.5%
- DII (Domestic): 9.3%
- Public: 29.0%
Is promoter holding increasing or decreasing in Welspun Enterprises Ltd?
Welspun Enterprises Ltd's promoter holding has remained stable recently.
- Current Promoter Holding: 56.1% (Mar 2026)
- Previous Quarter: 56.1% (Dec 2025)
- Change: 0.00% (stable)
How long has Welspun Enterprises Ltd been outperforming Nifty 500?
Welspun Enterprises Ltd has been outperforming Nifty 500 for 4 consecutive weeks, indicating building momentum.
Is Welspun Enterprises Ltd a new momentum entry or an established outperformer?
Welspun Enterprises Ltd is an established outperformer with 4 weeks of consecutive Nifty 500 outperformance.
What are the growth catalysts for Welspun Enterprises Ltd?
Welspun Enterprises Ltd has 4 key growth catalysts identified from recent earnings analysis
- Order Book Or Contract Wins — Strong visibility from secured projects in water and transport.
- Demerger Spin Off Value Unlock — Monetization of road assets will deleverage the balance sheet.
- Tam Expansion Changing Consumption — Union Budget 2026 focus on infrastructure, transport, and water.
- EBITDA Margin at 21.6% — Strong operational efficiency and cost discipline during a low-revenue quarter.
What are the key risks in Welspun Enterprises Ltd?
Welspun Enterprises Ltd has 3 key risks worth monitoring
- [HIGH] Delays in statutory clearances for the Dharavi-Ghatkopar Tunnel project — Pending formal process-related approvals from CRZ and other agencies.
- [MEDIUM] Local disturbances and sensitivities due to elections impacted project sites — Local observations and election-related sensitivities at the Dharavi site.
- [LOW] Extended monsoon impacted execution efficiency — Weather disruptions delayed construction activities across multiple sites.
What did Welspun Enterprises Ltd's management say in the latest earnings call?
In Q3 FY26, Welspun Enterprises Ltd's management highlighted
- "We had guided that approximately 90% of the FY '26 revenues would be driven by the existing secured order book. [Previous Revenue Guidance FY26 guida..."
- "This milestone enables us to move forward with asset monetization, which we expect to complete in Q1 or Q2 of FY '27. [Initiative: Asset Monetization..."
- "First, we saw delay in statutory clearances from the Dharavi-Ghatkopar Tunnel. This shifted execution from Q3 into Q4. [Risk (regulatory): HIGH]"
What is Welspun Enterprises Ltd's management guidance for growth?
Welspun Enterprises Ltd's management has provided the following forward guidance for FY26
- Revenue outlook: ₹3,600 - ₹3,700 Crores
- OPM guidance: 19%
- Capex plan: ₹7300 Cr for Pune-Shirur Road BOT project
- Management tone: cautious
- Milestone: [LOWERED] Revenue FY26: ₹4,000 Crores → ₹3,600 - ₹3,700 Crores
What sector-specific metrics matter most for Welspun Enterprises Ltd?
Welspun Enterprises Ltd's most important sub-sector-specific KPIs from the latest concall
- Consolidated Order Book: ₹15,000 Cr — Includes O&M contracts and is net of intercompany adjustments.
- Water Segment Order Book: ₹11,000 Cr — Focus on wastewater treatment and large-scale water supply.
- O&M Contracts Value: ₹5,400 Cr — Provides stable long-term cash flows over 15 years.
- Transport Revenue Contribution: 44% (YoY -19%) — Impacted by project completions and delays in new awards.
- Water Revenue Contribution: 32% (YoY -15%) — Mainly due to slow progress in UP Jal Jeevan Mission.
- Tunnelling Segment Growth: 39% (YoY +39%) — Strong execution in subsidiary Welspun Michigan.
Is Welspun Enterprises Ltd worth studying for long term investment?
Based on quantitative research signals, here is why Welspun Enterprises Ltd may be worth studying
- Valuation: appears significantly undervalued
What is the investment thesis for Welspun Enterprises Ltd?
Welspun Enterprises Ltd investment thesis summary:
Research Signals (Bull Case)
- Appears significantly undervalued
- Growth catalyst: Order Book Or Contract Wins
Risk Factors (Bear Case)
- Key risk: Delays in statutory clearances for the Dharavi-Ghatkopar Tunnel project
What is the future outlook for Welspun Enterprises Ltd?
Welspun Enterprises Ltd's forward outlook based on current data signals
- Earnings Trend: inflecting downward
- Revenue Trend: inflecting downward
- Margin Trend: volatile
- Valuation: Significantly Undervalued
- Key Catalyst: Order Book Or Contract Wins
- Key Risk: Delays in statutory clearances for the Dharavi-Ghatkopar Tunnel project
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.