Synopsis:
Triveni Turbine reported a disappointing quarter with a steep drop in revenue and profits, led by deferred deliveries and weaker international demand. However, record order book levels, strong domestic enquiry momentum, and a major clean-tech product launch offer long-term growth visibility. The board also recommended a ₹2 final dividend for FY25.
A capital goods stock slipped sharply after reporting weak earnings for the June quarter, impacted by deferred dispatches, subdued exports, and delayed inspections due to geopolitical tensions. Despite a robust closing order book and the launch of a high-tech, CO₂-based industrial heat pump, investors reacted negatively to the quarter’s performance.
Triveni Turbine Ltd, with a market capitalization of Rs. 17,465.75 crore, hit an intraday low of Rs. 540, falling 8.52 percent from the previous close of Rs. 590.35. The stock faced selling pressure after the company reported sequential and annual declines across key financial metrics.
What’s the News?
Quarter-on-quarter, revenue from operations fell 31 percent from Rs. 538 crore in Q4FY25 to Rs. 371 crore in Q1FY26. Operating profit dropped 38.3 percent from Rs. 120 crore to Rs. 74 crore, while profit before tax declined 34.1 percent from Rs. 132 crore to Rs. 87 crore. Net profit slipped 32.6 percent from Rs. 95 crore to Rs. 64 crore. The company reported an operating margin of 20 percent during the quarter.
Year-on-year, revenue dropped 19.9 percent from Rs. 463 crore to Rs. 371 crore. Operating profit declined 22.9 percent from Rs. 96 crore to Rs. 74 crore, and PBT fell 19.4 percent from Rs. 108 crore to Rs. 87 crore.
Net profit decreased 20 percent from Rs. 80 crore in the corresponding period last year to 64 crore. However, EBITDA margin improved from 24.8 percent to 25.8 percent, while PAT margin was nearly stable at 17.3 percent versus 17.4 percent last year.
Triveni Turbine has also recommended a final dividend of Rs. 2 per equity share of Re. 1/- for the financial year ended March 31, 2025. The record date for determining eligible shareholders is September 1, 2025, and the dividend, if approved at the AGM scheduled on September 8, 2025, will be paid on or before October 7, 2025.
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Comments from the Management
On quarterly performance: Chairman and Managing Director Mr. Dhruv M. Sawhney said, “Performance in the quarter gone by was disappointing largely on account of deferment of dispatches and orders to coming quarters.
Several international customers were reluctant to travel amid geopolitical uncertainties due to India-Pakistan and Israel-Iran tensions, resulting in postponement of inspections delaying the dispatches and revenue recognition.”
On outlook: He added, “Despite this, concerted efforts are being made to realign operations and we are confident that on an annualized basis i.e. for the financial year FY 26, the Company can maintain its growth trajectory.”
On order book: “At the end of June 30, 2025, the closing order book increased 20 percent year-on-year to a record Rs. 2,074 crore. Over the past three years, the outstanding order book has nearly doubled.”
On enquiry pipeline:“The overall enquiry pipelines in both Product and Aftermarket segments remain robust and globally diversified, providing good visibility for the coming year. Domestic product enquiry growth was strong at approximately 130 percent.”
Operational Highlights
The company reported order booking of Rs. 536 crore in Q1FY26, down 16 percent year-on-year. Export order booking declined 40 percent to Rs. 251 crore. In contrast, domestic order booking grew 32 percent year-on-year to Rs. 285 crore and made up 53 percent of the total orders.
Product segment order booking dropped 20 percent year-on-year to Rs. 390 crore, with turnover falling 17 percent to Rs. 255 crore. Aftermarket segment booking stood at Rs. 146 crore, a 3 percent YoY decline, while turnover fell 25 percent to Rs. 117 crore. The segment contributed 31 percent to quarterly revenue, down from 34 percent in Q1FY25.
Major Product Launch: India’s First CO₂-Based Heat Pump
In a significant milestone, Triveni Turbine launched India’s first CO₂-based high-temperature ultra-efficient industrial heat pump, designed for process industries requiring heat up to 122°C. The product delivers a best-in-class Coefficient of Performance (COP) of 6.
Unlike standard heat pumps that use synthetic refrigerants, this product uses carbon dioxide (CO₂ or R-744) , a natural, non-toxic, and nonflammable refrigerant with zero ozone depletion and a GWP of just 1. The launch aligns with India’s efforts to phase out hydrofluorocarbons (HFCs) under the Kigali Amendment.
Tested at the company’s newly commissioned Heat Pump Test Centre in Bengaluru, the unit met all performance benchmarks. It targets industries like pharmaceuticals, chemicals, food & beverage, distilleries, textiles, and pulp & paper, and supports applications like steam generation, pasteurization, distillation, and metal cleaning.
Shareholding Update
While foreign institutional investors (FIIs) reduced their stake from 28 percent to 25.45 percent, the Government of Singapore took a fresh position in the company with a 1.10 percent stake.
About the Company
Triveni Turbine Ltd is among the leading industrial steam turbine manufacturers in India and globally, focused on turbines up to 100 MW. With over 6,000 installations across 80+ countries, it provides solutions for sectors like sugar, distilleries, cement, steel, oil & gas, and waste-to-energy. Apart from manufacturing, the company offers extensive aftermarket services and is backed by strong in-house R&D and partnerships with global institutions.
Written By Manan Gangwar
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