Water management specialist Wave has announced a significant increase in annual revenue, surpassing half a billion pounds, with its work for public sector clients cited as a key driver of success. The Durham-based company, partly owned by Northumbrian Water, helps businesses and local authorities reduce water consumption and lower their bills.
Financial Performance and Strategic Progress
Newly filed accounts for the year ending 31st March reveal that Wave generated revenue of nearly £555 million, a notable rise from £495.5 million in the previous year. While operating profit saw a dip from £13.1 million to £11.1 million, the company strengthened its balance sheet considerably. Total shareholder funds increased to £64.8 million from £58.7 million, and Wave reduced its loans and borrowings by £22 million as it repays long-term shareholder loans originating from its 2017 joint venture formation.
Chief Financial Officer Ken Main attributed the firm's robust financial health to strong governance and a focus on sustainable growth. He confirmed the company is generating sufficient cash to fund operations and meet its repayment commitments. Wave's profitability was also supported by regulatory changes from water watchdog Ofwat, which allowed retailers to adjust price caps, coupled with wholesale price increases.
Expansion Through Acquisition and Innovation
The company's growth strategy recently included the undisclosed acquisition of the intellectual property, patents, and assets of Cambridgeshire-based water-sensing technology specialist Infersens. The two firms had previously collaborated on a Market Improvement Fund-financed project using sensors to safely reduce water demand, particularly in Legionella risk management.
Commenting on the November deal, Wave CEO Lucy Darch said the technology was "truly transformative" and would accelerate the company's ability to offer smart, scalable efficiency solutions to its customers. This move aligns with Wave's ambitious target to help its customers save 19 million cubic metres of water by 2030.
Award-Winning Service and Future Outlook
Beyond the financials, Wave's management highlighted several operational successes. These include securing and renewing crucial public sector framework agreements, progress on social and sustainability pledges, overall customer growth, and improved retention rates. The company's headcount grew slightly from 327 to 331, with new roles primarily in operations.
Wave's performance was recognised earlier this year when it was crowned Water Retailer of the Year at the 2025 Water Industry Awards in Birmingham, marking the third time the North East business has won the title. Looking ahead, the firm is focusing on negotiating more contracts directly with customers and promoting water efficiency services to help them cut consumption, reduce bills, and support industry-wide reduction targets.
