Triveni Turbine

“We remain optimistic on growths of both profit as well as revenue for the full-year FY 2027, which will of course be backended as suggested by the note.”

“optimistic on the growth, both in margins and absolute and on a percentage basis in the second half of this year. And as we look at the full-year FY 2027, we are confident to exhibit top line and bottom line growth.”

“But again, we are optimistic based on our current order booking and order book size on the growth. The extent of growth should be on the higher end of what you are suggesting.”

“But we look at the entity breaking even for sure. As you would imagine, even in this first Q1, we've incurred a substantial loss in the U.S. subsidiary operations.”

“We are also targeting to make this year as a break-even for U.S.”

“When we look at this current year, the utilisation of the facility will be adequate. It will obviously not be at a high utilisation level.”

“On the order booking front, the order booking for the quarter stood at ₹5.68 billion as compared to ₹5.36 billion in Q1 FY 2026, a growth of 6.1%”

“Export order booking grew 53.4% year-over-year, accounting for 68% of the total order booking as against 47% in Q1 FY 2026.”

“The share of aftermarket order booking increased to 39% of total order booking compared to 27% in Q1 FY 2026, a growth of 54%.”

“Domestic and product order booking witnessed a slowdown during the quarter, lower by 35.4% and 11.6% respectively on a year-on-year basis.”

“The closing order book stood at ₹21.8 billion as of the 30th of June as compared to ₹20.74 billion a year ago, reflecting a 5.1% year-on-year increase.”

“Domestic sales grew by 27.4% to ₹2.4 billion”

“those are in certain areas such as gas turbine utility businesses, which provide long-term and a good margin visibility for this company, not only for this current year, but for coming years.”

“The exact number is going to be less than 10% of the number that you would have suggested.”

“And while we're optimistic on growth on the order booking both in the aftermarket and the product side, the product will only get executed possibly in FY 2028.”

“So this year should be a little positive results we are expecting on the product sales side and followed by refurb and now overhaul opportunities.”

“Having said that, as we look forward, the enquiry generation in the international market has improved while the domestic market has seen weakness.”

“During the quarter, our U.S. subsidiary continued to receive healthy enquiries as well, and that's a market which continues to grow in both enquiry book as well as our optimism towards future demand for both products and aftermarket services from a very large market.”

“The Indian market has seen a decline, and that is broad-based across all industries.”

“But having said that, we see this continued strength in certain markets in the international market in terms of revenue enquiry growth, which includes the United States and Southeast Asia. There are some green shoots in Europe as well. The markets in North Africa, Middle East are quite depressed.”

“But by considering whatever opportunities which are open for finalisation, we feel that it should bounce back.”

“Profitability, however, was softer in the quarter. EBITDA stood at ₹797 million at a margin of 18% against 25.8%, and a profit before tax of ₹697 million was down 20.1% at a margin of 15.7%, as opposed to 23.5% at the same quarter of the previous year.”

“So the softer order mix of H1 FY 2026 has carried through to Q1 FY 2027 profitability. Delivery phasing of certain strategic orders has also added to the softening of margins.”

“Secondly, as you rightly pointed out, a strategic order that we've taken on the NTPC CO2-based energy storage project, which was essentially meant to validate technology and to prove a use case for our equipment. This of course, was taken at negligible and near zero margins.”

“So they've been executed in line with our expected margins. So none of this is coming as a surprise to us.”

“So, there is no fixed percentage with respect to the balance of part which is being procured. It varies from order to order between 30% to 70%.”

“As a difference between Q4 FY 2026 and Q1 FY 2027 is a reduction in receivables and therefore a reversion to negative working capital and an increase in the cash balance of the company.”

“As some of you are aware, we created a demo unit for heat pump and some of the MVR orders which are under execution, that initial orders.”

“This includes the development of our Organic Rankine Cycle developments, and we are keen to expand this in the coming year.”

“It is taking time. Otherwise, these things are going as per plan, and we are confident this is going to bring a good value addition in the near future into this thing.”

“As of this current quarter, we have transitioned the role and position of our COO to that of business transformation to look at AI specific initiatives.”

“execution of certain orders, especially on the export side, have gotten deferred by clients because freight rates have gone up between 3x to 4x, and those have gotten pushed from Q1 to Q2 to maybe Q3 even.”

“But I think that this lumpiness will continue for a couple more quarters, both on the positive and negative side.”

“while there are opportunities which we are seeing because of the ongoing geopolitical tensions, the decision-making is getting deferred.”

“During the execution, if any commodity price increases there, that is a risk what we carry along with us.”

“Quarter-on-quarter, there will be volatility. There continues to be geopolitical uncertainty.”

“Revenue from operations came in at ₹4.43 billion, up by 19.2% year-on-year.”

“Probably by end of Q2, early Q3, it will come to a commissioning phase of this thing.”

“But in general, smaller orders less than 15 MW is maybe 7-8, months. 15 to 45 MW is about 9 to 12 months, 30 to 45 MW is probably about 14-15 months, and maybe 18 months for 100 MW.”

“The indications of the plant and its performance in Europe is very good and something that is appreciated by the customer. Now we have to prove it.”

“Of course, we have the capability to manufacture to that level. Will we participate or not, I think is something that we will see.”