Thermax Q1 FY27 Results: Revenue Rises 7%, Profit Impacted by Project Cost Overrun; Revised Investor Presentation Highlights Global Growth Strategy
Thermax Limited, a leading provider of energy and environmental solutions, has announced its financial results for the first quarter of FY2027 and has also submitted a revised Q1 FY27 investor presentation to the BSE and the National Stock Exchange (NSE) under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The quarter presented a mixed performance for the Pune-based engineering company. While Thermax delivered healthy revenue growth, expanded its order book to a record level, and showcased several major project milestones worldwide, profitability declined sharply due to a one-time project cost overrun in its Industrial Infra business.
The revised investor presentation also highlights Thermax’s expanding global footprint, new engineering achievements, and continued focus on clean energy, industrial decarbonization, and sustainable infrastructure.
Thermax Q1 FY27 Financial Highlights
Thermax reported consolidated revenue from operations of ₹2,303 crore during the quarter ended June 30, 2026, compared with ₹2,158 crore in the corresponding quarter last year, reflecting a 7% year-on-year growth.
However, profitability came under pressure.
| Particulars | Q1 FY27 | Q1 FY26 | YoY Change |
|---|---|---|---|
| Revenue from Operations | ₹2,303 crore | ₹2,158 crore | +7% |
| Profit Before Tax (PBT) | ₹42 crore | ₹211 crore | -80% |
| Profit After Tax (PAT) | ₹22 crore | ₹151 crore | -85% |
| Order Booking | ₹2,809 crore | ₹2,748 crore | +2% |
| Order Book | ₹14,045 crore | ₹11,376 crore | +23% |
Despite lower earnings, the company closed the quarter with a record order book of ₹14,045 crore, providing strong revenue visibility for future periods.
Why Did Thermax’s Profit Decline?
The sharp decline in profit was primarily driven by a ₹91 crore increase in the estimated completion cost of a single Industrial Infra project. During project execution, the company identified additional costs that significantly impacted quarterly earnings.
Profitability was also affected by:
- Lower export sales in the Industrial Products segment.
- Absence of the ₹56 crore Package Scheme of Incentives (PSI) income recognized during the corresponding quarter of FY26.
- Higher project execution costs in specific infrastructure contracts.
Despite these challenges, Thermax maintained steady revenue growth and continued to win new business across its key operating segments.
Record Order Book Supports Long-Term Growth
One of the biggest positives from the quarter was Thermax’s healthy order inflow.
The company booked ₹2,809 crore worth of new orders during Q1 FY27, taking its total order backlog to ₹14,045 crore, an increase of 23% over the previous year.
Among the major wins during the quarter was an order worth more than ₹400 crore for supplying boiler pressure parts to a large data centre project in the United States.
The Green Solutions business also reported stronger order bookings following improved order inflows and a revised methodology for reporting long-term service contracts.
Revised Investor Presentation Highlights Global Expansion
Alongside the quarterly earnings, Thermax submitted a revised investor presentation that provides additional details on its global operations and long-term growth strategy.
The presentation highlights the company’s continued expansion across international markets and its growing focus on sustainable engineering solutions.
Key highlights include:
- FY26 consolidated revenue of ₹10,694 crore
- 18 manufacturing facilities, including 14 in India and 4 overseas
- Sales and service network spanning more than 30 countries
- Global workforce of approximately 9,291 employees
These figures underline Thermax’s transformation into a global engineering company serving customers across energy, industrial, infrastructure, chemicals, water, and environmental sectors.
Industrial Products Business Achieves Key Milestones
The Industrial Products division executed several notable projects during the quarter, reflecting Thermax’s expertise in energy efficiency and industrial sustainability.
Major achievements include:
- Commissioning of a multi-utility plant capable of generating both steam and thermic fluid heat from a single energy source for a rubber glove manufacturer in Thailand.
- Installation of a 60 TR steam-driven vapour absorption chiller at Dipped Products Limited (Sri Lanka) for rubber processing applications.
- Engineering of high-capacity Waste Heat Recovery Electrostatic Precipitators (ESPs) for 650 TPD kiln lines in the steel industry.
- Supply of a compact 30 KLD VapoNovae+ Zero Liquid Discharge (ZLD) system for a leading Indian automotive component manufacturer.
These projects demonstrate Thermax’s continued focus on improving industrial energy efficiency while helping customers reduce emissions and optimize resource utilization.
Industrial Infrastructure Business Continues to Expand
The Industrial Infra segment also secured several important projects despite the cost overrun that affected quarterly earnings.
Key developments include:
- Delivery of a 60 TPH Flexisource fuel-flexible boiler by Thermax Babcock & Wilcox Energy Solutions for the paper industry.
- Securing a CFBC boiler order for a captive power project in eastern India’s steel sector capable of using both imported and domestic coal.
- Successful commissioning of a 4.9 MW biomass-based multi-utility plant for a medical materials manufacturer in Thailand.
These projects strengthen Thermax’s position as a leading provider of clean energy and industrial infrastructure solutions.
Thermax Strengthens Digital Capabilities
During the quarter, Thermax also completed the acquisition of a controlling stake in ExactSpace Technologies, increasing its shareholding to 51%.
ExactSpace develops AI-powered industrial software that helps manufacturers optimize equipment performance, improve operational efficiency, and enhance predictive maintenance capabilities. The acquisition supports Thermax’s strategy of integrating digital technologies with its engineering solutions.
Corporate Restructuring to Simplify Operations
The Board of Directors also approved a Composite Scheme of Arrangement, subject to regulatory approvals.
The restructuring includes:
- Demerger of the Bio-CNG EPC business of Thermax Bioenergy Solutions Private Limited into Thermax Limited.
- Merger of Thermax Cooling Solutions Limited with Thermax Limited.
The company stated that the restructuring is intended to simplify the group structure, improve operational efficiency, and streamline business operations without affecting shareholders or the consolidated financial statements.
Outlook
Thermax continues to benefit from increasing investments in renewable energy, industrial decarbonization, clean air, clean water, and sustainable manufacturing solutions.
While Q1 FY27 earnings were impacted by a one-time project cost escalation, the company’s record order book, expanding international presence, strategic acquisitions, and continued project execution provide a solid foundation for long-term growth.
The revised investor presentation reinforces management’s commitment to supporting customers through energy transition, digital transformation, and resource-efficient technologies. With a diversified portfolio, strong engineering capabilities, and a growing global footprint, Thermax remains well positioned to capitalize on emerging opportunities across industrial and infrastructure markets.