Antony Waste Aims For 20–25% Revenue Growth, Eyes Strong Margins Over Next Five Years

Antony Waste Handling Cell is aiming for a robust 20% to 25% compound annual growth rate (CAGR) in revenue over the next three to five years, with a projected Ebitda margin of 22% to 23%, as stated by Chief Financial Officer NG Iyer. These ambitious targets come on the heels of the company's recent strides in waste management and energy generation.

“We are in India, so waste management is a problem that is standing in our face. If I'm not able to hold on to my market share, then there is something we need to work hard on. Growth of 20% to 25% is something that should be achievable over the next three to five years. The Ebitda margin profile will be improved to at least the upper range of 23%. So we feel 22 to 23% is something that should be achieved.

CapEx is done, so the interest and depreciation extent that we're seeing today is almost capped out for us. The translation of Ebitda margin to PAT should be in the range of 9% to 11%,” Iyer said during an interview with NDTV Profit.

He pointed out that the company is witnessing robust growth prospects in Delhi, Andhra Pradesh, and Maharashtra. As of December 2024, the company had a pipeline valued at Rs 8,500 crore. “We don't see a significant addition to the bottom line of the capital employed phase unless and until we bag a significantly large contract,” Iyer added.

Antony Waste Handling Cell specialises in addressing municipal solid waste (MSW) management and converting waste to energy. These efforts help reduce reliance on fossil fuels and mitigate greenhouse gas emissions. The company is heavily involved in collection, transportation, and waste processing.

In October 2024, it secured a major contract from the Navi Mumbai Municipal Corporation for door-to-door C&T of MSW, worth Rs 908 crore. Earlier, in March 2024, it bagged a Rs 77 crore project from CIDCO for processing waste via bio-mining. Additionally, in August 2023, the company launched a waste-to-energy plant in Pimpri, Maharashtra.

Iyer also reflected on the company's financial journey over the past few years. "In 2021, our turnover was over Rs 400 crore. The current turnover should be over Rs 900 crore. So that's, like, doubling our revenue in a period which has seen Covid and delays in decision making in the risk management businesses," he said.

Antony Waste Handling Cell's current net debt stands at around Rs 390 crore, with a net debt-to-equity ratio of 0.6x, the top executive revealed. 

"All my projects require CapEx to be upfront. So the CapEx that you see is already done for the existing projects for which I already signed the agreement. If I see incremental debt, that would come with new projects I may bid for," Iyer added, highlighting the company's strong liquidity and financial health.

Shares of Antony Waste Handling Cell were trading 1.41% lower at Rs 535.15 early on Wednesday, while the benchmark Nifty50 was 0.29% higher at 23,231.80 points.

Watch the full conversation here: