Highlights

• Revenue from operations stood at ₹3,551 crore in Q2 FY26, a 6% increase over the same quarter last year.
• Order bookings improved, led by higher inflows in the Industrial Products segment.
• Profit before tax (PBT) declined 35% year-on-year to ₹174 crore, mainly due to the absence of incentive income recorded in the previous year.

Thermax Limited (NSE:THERMAX), a leading energy and environment solutions provider, announced its financial results for the second quarter of FY 2025-26, reporting a 6% rise in consolidated revenue to ₹3,551 crore compared to the same quarter last year. The company’s total order booking also grew, supported by increased demand in the Industrial Products segment, although profits were lower due to one-time incentive income in the prior year.

Revenue and Profit Performance

Thermax reported a revenue of ₹3,551 crore in Q2 FY26, up 6% year-on-year from ₹3,351 crore in Q2 FY25. For the first half of FY26, the company achieved revenue of ₹6,025 crore, marking steady progress compared to the same period last year.

Profit before tax (PBT) for the quarter stood at ₹174 crore, compared to ₹267 crore in Q2 FY25, representing a 35% decline. Profit after tax (PAT) came in at ₹119 crore, down 40% year-on-year. The decline in profitability was partly due to the inclusion of ₹66 crore of government incentive income in the corresponding quarter of the previous year, which was not present this year.

Despite the dip in profits, Thermax maintained stable operating margins, supported by efficient project execution and balanced input costs during the quarter.

Order Bookings and Segment Performance

The company recorded order bookings of ₹3,551 crore in Q2 FY26, showing an improvement driven by growth in Industrial Products. The Industrial Infra segment, however, recorded lower order bookings compared to last year, which had seen large project inflows.

Total order backlog as of September 30, 2025, stood at ₹12,300 crore, up 6% compared to the same period last year, indicating continued demand across core sectors.

Key demand drivers included metals, power, and petrochemical industries, while orders from food and beverage segments increased. However, there was a noticeable decline in the sugar and distillery sectors, which have historically contributed significantly to the company’s order pipeline.

Market and Industry Outlook

During the quarter, input costs for key commodities such as copper, aluminium, and zinc rose by 7–10% compared to Q1 FY26, while steel prices declined by 2% and nickel remained stable. Overall, the quarter witnessed no significant cost impact on operations.

Market indicators remained favourable, with India’s manufacturing PMI holding steady at 58.4 in June 2025, indicating continued factory expansion driven by export orders and stable input-cost conditions. The industrial demand environment continued to be positive, particularly in metals and infrastructure-related sectors, supporting Thermax’s project pipeline for the coming quarters.

Company Overview

Thermax Limited, headquartered in Pune, operates in energy and environmental engineering, offering integrated solutions for heating, cooling, power generation, water treatment, and pollution control. The company serves key industrial sectors in India and overseas, contributing to sustainable and energy-efficient industrial operations.

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