Ion Exchange India’s Growth Analyzed

Ion Exchange India’s stock price jumped 6.21% to reach Rs 406.40 after the company announced a significant influx of orders. These orders, totaling around Rs 205 crore, came from various customers looking for advanced water treatment solutions. This positive news is driven by demand for Ultra-pure water and Waste water treatment projects, highlighting the company’s growing market position.

Key Points

• Large orders: Rs 205 crore secured from multiple clients.
• Rayzon Energy: Rs 95 crore contract for PV solar project.
• INOX Solar: Rs 110 crore for water treatment and ZLD.
• Project timelines: 9-10 months completion expected.
• Diverse solutions: Covers entire water cycle technologies.
• Financial Results: Revenue up 13.88% to Rs 733.94 crore.

Project Breakdown

The core of this growth stems from several key contracts. Rayzon Energy has awarded Ion Exchange India a Rs 95 crore project for a 5.1 GW PV solar project at Kathwada Village in Surat. This project specifically requires an Ultra-pure Water system and an Effluent Treatment Plant (ETP) with Zero Liquid Discharge (ZLD) capabilities.

Furthermore, INOX Solar has commissioned Ion Exchange India for Rs 110 crore. This contract encompasses the design, manufacture, and installation of an ultrapure water generation system, a wastewater treatment system, and a ZLD system. These projects demonstrate a strong demand for Ion Exchange’s complete range of water treatment technologies.

Importantly, the company anticipates completing these projects within 9 months and 10 months respectively, starting from the date of contract award. This quick turnaround time is crucial for meeting customer needs and capitalizing on market opportunities.

Ion Exchange India provides a wide array of water treatment solutions, covering the entire water cycle. This includes pre-treatment, process water treatment, waste water treatment, recycling, zero liquid discharge, sewage treatment, packaged drinking water, and even sea water desalination. The company also produces resins and specialty chemicals used in these applications.

Despite the positive order intake, the company’s consolidated net profit decreased by 2.77% to Rs 49.53 crore compared to Rs 50.94 crore in the previous quarter (Q2 FY24). However, revenue from operations increased by 13.88% year-over-year (YoY) to Rs 733.94 crore.

“Ion Exchange India’s strategic investments in advanced water technologies are positioning the company for continued growth and market leadership.”