Enviro Infra Engineers Ltd (EIEL): Riding Strong Growth in Water Infrastructure
Enviro Infra Engineers Ltd (NSE: EIEL) is a publicly-listed specialist in turnkey water and wastewater treatment plants (WWTPs) and water supply schemes (WSSPs). Serving government-funded programs like AMRUT, Jal Jeevan Mission, and Namami Gange, it’s riding on India’s push for clean water infrastructure.
📊 Q4 FY25 & FY25 Highlights
- Q4 Revenue: ₹392.9 cr, up ~31% YoY from ₹300.3 cr.
- Q4 PAT: ₹73.2 cr (+27% YoY).
- FY25 Revenue: ₹1,085.5 cr (+49% YoY); FY25 PAT: ₹176.3 cr (+63%).
- FY25 EPS: ₹11.76 vs ₹7.97 last year.
📈 Recent Share Action & Valuation
- Shares trading around ₹245 as on July 10, 2025—38% below 52‑week high (~₹400).
- Recently surged ~18% over the past week after securing ₹306 cr in new orders.
- Technical momentum: stock recently hit intraday high of ₹283.95 and trades above its 50‑day moving average (~₹224).
⚖️ Strengths & Risks
| Strengths | Risks |
|---|---|
| Strong growth backed by government infra schemes | Revenue still small (~₹1,100 cr); scaling risk |
| Healthy margins (~16% PAT margin), efficient cost control | Project execution risks and tender delays |
| Zero promoter encumbrances; institutional-owned (~30%) | Valuation stretched—P/E ~22× vs peers (~EV/EBITDA 12–13×) |
| Strong cash flows and order inflows | Sensitive to government spending rhythms and macroeconomic slowdown |
🧭 Outlook & Catalysts
- Order pipeline: New ₹306 cr MIDC order plus JV with Altorapro expands runway.
- Margin stability: Track Q1 FY26 margins and project execution efficiency.
- Technical trigger: Sustained move above ₹280–300 could invite momentum interest.
- Sector tailwinds: Continued funding under AMRUT, JJM, and clean‑water initiatives.
✅ Conclusion
Enviro Infra stands out as a high‑quality, mid‑cap beneficiary of India’s water-wastewater infrastructure push. With strong FY25 growth, expanding order backlog, and clean financials, it’s gaining technical momentum. However, valuation remains elevated, and execution matters. Investors should monitor project delivery, order flow, and margin trends for sustainable upside.
