Top Water Treatment Stocks in March 2025: Va Tech Wabag, Ion Exchange and More

India boasts the world’s fifth-largest water and wastewater treatment market, currently valued at approximately $11 billion and projected to surpass $18 billion by 2026. Despite housing 18% of the global population, India has access to just 4% of the world’s freshwater resources, making water scarcity a pressing challenge.

To tackle this, the government has launched several large-scale initiatives aimed at improving water infrastructure and addressing environmental and public health concerns. The Jal Jeevan Mission, introduced in 2019, seeks to provide safe and adequate drinking water through functional household tap connections to all rural households by 2024.

Other key initiatives, including the Atal Mission for Rejuvenation and Urban Transformation (AMRUT), the National Mission for Clean Ganga (NMCG), and various Community Drinking Water Schemes, further drive the expansion of India’s water treatment sector.

As the industry grows, several companies are positioned to benefit from these developments. Let’s explore some of the top stocks in India’s water treatment sector..

Top 5 Stocks in the Water Treatment Sector In March 2025 – Market Cap Basis

Note: The stocks listed above are ranked based on their market capitalisation as of March 4, 2025.

Overview of the Best Water Treatment Stocks in March 2025

1. Thermax Limited

Thermax Group, headquartered in Pune, India, specialises in heating, cooling, water and waste management, and specialty chemicals. It also provides turnkey power solutions, industrial wastewater treatment, and air pollution control systems.

In Q3 FY 2024-25, Thermax reported a consolidated operating revenue of ₹2,508 crore, marking an 8% growth from ₹2,324 crore in the same quarter of the previous year.

Key metrics:

• ROE: 15.53%
• ROCE: 17.66%

2. Va Tech Wabag Ltd

WABAG is a global leader in total water management, specialising in turnkey execution and operation of water and wastewater treatment plants for municipal and industrial sectors. With over 6,500 projects worldwide, the company focuses on water conservation, optimisation, recycling, and reuse solutions.

For Q3 FY 2024-25, VA Tech WABAG reported a consolidated net profit of ₹70.2 crore, marking an 11.6% YoY increase from ₹62.9 crore in the previous year.

Key metrics:

• ROE: 14.45%
• ROCE: 16.58%

3. Ion Exchange (India) Ltd

Ion Exchange is a leading water and environmental management company in India with over six decades of expertise. It offers comprehensive solutions for water, wastewater treatment, solid waste management, and waste-to-energy projects globally.

For Q3 FY25, Ion Exchange reported an operating income of ₹6,905 million and an operating EBITDA of ₹754 million, with an EBITDA margin of 10.92%. The company recorded a net profit of ₹496 million

Key metrics:

• ROE: 21.13%
• ROCE: 24.06%

4. Enviro Infra Engineers Ltd

Enviro Infra Engineers is a leading provider of water and wastewater treatment solutions in India, catering to both municipal and industrial sectors. The company specialises in turnkey projects for sewage treatment plants, water treatment plants, and effluent treatment systems, focusing on sustainable and innovative solutions.

Enviro Infra Engineers reported a strong financial performance in Q3 FY25, with consolidated net profit soaring 104.9% YoY to ₹36.70 crore. Revenue from operations also saw significant growth, rising 65.04% YoY to ₹247.45 crore.

Key metrics:

• ROE: 51.95%
• ROCE: 42.78%

5. Taylormade Renewables Ltd

TRL specialises in innovative water treatment solutions, offering advanced technologies for wastewater management and Zero Liquid Discharge (ZLD). The company has developed TRL Rain Technology, a nature-inspired distillation alternative that transforms industrial waste into valuable water resources.

Its patented TRL RAIN system effectively treats hazardous wastewater, while TRL ZEO-MEMBRANE ensures efficient disposal with ZLD options.

Key metrics:

• ROE: 25.3%
• ROCE: 24.7%

Top Water Treatment Companies Sorted by Debt-to-Equity Ratio

Note: The above list ranks the top water treatment sector stocks in India based on debt to equity as of March 4, 2025.

Best Water Treatment Stocks In March 2025 – Net Profit Margin Basis

Note: The above list ranks the top water treatment sector stocks in India based on net profit margin as of March 4, 2025.

Conclusion

India’s water treatment sector is experiencing rapid growth, driven by increasing water demand, government initiatives, and advancements in technology. Companies in this space are expanding their capabilities to address challenges related to water conservation, recycling, and wastewater management.

As the industry evolves, financial and operational performance indicators continue to shape the market landscape, reflecting the sector’s overall development.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.