Thermax Ltd (THERMAX) Q2FY26 Concall Summary - Sep-2025 Qtr
Performance Overview
- The company has taken a significant one-time hit in the Industrial Infrastructure segment related to a large, three-year-old refinery project, which management has termed a "kitchen sink" quarter, expressing confidence that the worst is behind them.
- Despite challenges in the project business, the company anticipates a strong second half for the fiscal year, projecting an overall order book growth of over 20% for the full year, driven by a robust pipeline in both domestic and international markets.
- The Industrial Products segment demonstrated resilience with high-teens order growth, particularly in the heating business, which recorded its highest-ever monthly booking in September, indicating a positive mix shift ahead.
- The Chemicals business faced headwinds from international competition and investments in future growth, but management sees a strong volume recovery starting in Q3, expecting to reach a quarterly order book of INR 230-240 crores imminently.
- Management has adopted a clear strategy of avoiding low-margin, long-duration government projects, having passed on approximately INR 10,000 crores worth of such projects over the last year to focus on building a higher-quality, more profitable order backlog.
Financial Metrics
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Operating Performance / Business Segments
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Key Discussions & Insights
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Outlook and Guidance
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Challenges / Concerns
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Industry / Competitive Landscape
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Overall Summary
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