Thejo H1 FY27 revenue rises 30%, profit after tax gains 39%

Thejo Engineering Limited reported consolidated revenue from operations of Rs 375.95 crore for the half-year ended September 30, 2026, up 30% from Rs 288.66 crore a year earlier, while profit after tax rose 39% to Rs 33.12 crore. Profit growth exceeded revenue growth, while inventories, receivables and fixed assets also increased.

How did Thejo perform in H1 FY27?

Thejo increased total income by 29% to Rs 379.66 crore in H1 FY27 from Rs 293.20 crore in H1 FY26, principally because revenue from operations increased by Rs 87.29 crore. Other income declined to Rs 3.70 crore from Rs 4.53 crore, so the reported expansion in total income came from operating revenue rather than other income.

Profit before tax rose 39% to Rs 46.17 crore from Rs 33.29 crore, and consolidated profit after tax increased to Rs 33.12 crore from Rs 23.87 crore. Basic earnings per equity share, which the results state are not annualised, rose to Rs 32.31 from Rs 22.61. Profit attributable to owners was Rs 35.05 crore, compared with Rs 24.53 crore, while non-controlling interests recorded a loss of Rs 1.94 crore.

What drove Thejo’s H1 FY27 revenue growth by segment?

Thejo’s manufacturing units delivered the largest percentage increase among the two largest segments, with H1 segment revenue rising 42% to Rs 162.89 crore from Rs 114.31 crore. Service-unit segment revenue increased 20% to Rs 249.81 crore from Rs 208.11 crore, while the Others segment increased to Rs 32.12 crore from Rs 13.52 crore.

Inter-segment revenue rose to Rs 68.86 crore in H1 FY27 from Rs 47.28 crore in H1 FY26, and net sales after this elimination were Rs 375.95 crore. Manufacturing segment profit before interest and tax increased to Rs 34.67 crore from Rs 23.30 crore. Service-unit segment profit before interest and tax declined to Rs 23.26 crore from Rs 23.67 crore despite its higher segment revenue.

The manufacturing segment added Rs 48.57 crore of revenue and Rs 11.37 crore of segment profit before interest and tax over the prior-year half. The Others segment reported profit before interest and tax of Rs 2.24 crore, compared with Rs 0.09 crore a year earlier. Total segment profit before interest and tax was Rs 60.17 crore, up from Rs 47.05 crore, before finance costs of Rs 2.79 crore and unallocable net expenses of Rs 11.21 crore.

How did Thejo’s costs and comprehensive income change?

Thejo’s total expenses rose 28% to Rs 333.49 crore in H1 FY27 from Rs 259.91 crore in H1 FY26, below the 29% increase in total income. Employee-benefit expense increased to Rs 113.57 crore from Rs 97.53 crore, other expenses rose to Rs 131.66 crore from Rs 95.79 crore, and cost of materials consumed increased to Rs 77.68 crore from Rs 64.19 crore.

Depreciation and amortisation rose to Rs 10.43 crore from Rs 6.10 crore, while finance costs increased to Rs 2.79 crore from Rs 2.55 crore. Purchases of stock-in-trade were Rs 4.47 crore, compared with Rs 0.58 crore a year earlier. Changes in inventories of finished goods, work-in-progress and stock-in-trade were negative Rs 7.10 crore, compared with negative Rs 6.83 crore in H1 FY26.

The tax charge increased to Rs 13.06 crore from Rs 9.43 crore, comprising current tax of Rs 12.45 crore and deferred tax of Rs 0.60 crore in H1 FY27. Total comprehensive income increased to Rs 35.25 crore from Rs 30.40 crore. The foreign-currency translation adjustment was Rs 1.63 crore, lower than Rs 6.09 crore in H1 FY26, reducing the year-on-year increase in comprehensive income relative to profit after tax.

What changed in Thejo’s balance sheet and cash flow?

Thejo’s total assets increased to Rs 610.96 crore at September 30, 2026 from Rs 548.69 crore at March 31, 2026. Property, plant and equipment rose to Rs 138.42 crore from Rs 119.65 crore, capital work-in-progress increased to Rs 14.08 crore from Rs 12.67 crore, and inventories increased to Rs 95.35 crore from Rs 79.90 crore.

Trade receivables rose by Rs 17.80 crore to Rs 191.17 crore, while other current assets increased to Rs 35.43 crore from Rs 26.06 crore. Cash and cash equivalents in the statement of assets and liabilities were Rs 30.70 crore at September 30, 2026, compared with Rs 53.53 crore at March 31, 2026. Bank balances other than cash equivalents increased to Rs 40.42 crore from Rs 31.30 crore.

Net cash generated from operating activities was Rs 24.81 crore in H1 FY27, down from Rs 28.21 crore in H1 FY26, despite profit before tax increasing to Rs 46.17 crore. The cash-flow statement records Rs 17.81 crore absorbed by trade receivables, Rs 15.45 crore by inventories and Rs 9.37 crore by other current assets. Those outflows were partly offset by Rs 5.89 crore from trade payables and Rs 3.51 crore from other current financial liabilities.

How did Thejo fund investment during H1 FY27?

Thejo reported investing cash outflow of Rs 26.29 crore in H1 FY27, compared with Rs 37.63 crore in H1 FY26, while purchases of property, plant and equipment increased to Rs 22.02 crore from Rs 12.28 crore. Net investment in bank deposits was Rs 5.96 crore, compared with Rs 27.14 crore in the previous half, accounting for the lower overall investing outflow.

Net financing cash outflow was Rs 3.33 crore, compared with Rs 9.62 crore in H1 FY26. Thejo received Rs 14.32 crore from long-term borrowings and repaid Rs 7.62 crore of long-term borrowings, while dividend payments were Rs 5.42 crore. Non-current borrowings on the September 30 balance sheet were Rs 9.50 crore, up from Rs 1.39 crore at March 31, 2026.

The cash-flow statement reported cash and cash equivalents of Rs 39.70 crore at the end of H1 FY27, compared with Rs 46.97 crore at the end of H1 FY26. It reported a net increase of Rs 4.52 crore during H1 FY27, after operating inflow of Rs 24.81 crore, investing outflow of Rs 26.29 crore, financing outflow of Rs 3.33 crore and a Rs 0.29 crore exchange translation gain.

Conclusion

Thejo combined a 30% rise in H1 FY27 revenue with a 39% increase in profit after tax as total expenses grew at a slower rate than total income and manufacturing segment profit increased. However, service-unit profit before interest and tax declined slightly, while the expansion in receivables, inventory and other current assets contributed to operating cash flow falling to Rs 24.81 crore.

The next disclosed reporting point follows the half-year ended September 30, 2026, whose consolidated results were approved by the board on November 11, 2026 after Audit Committee review on November 10. The disclosed figures point to receivables of Rs 191.17 crore, inventories of Rs 95.35 crore, property and equipment purchases of Rs 22.02 crore, and the service-unit profit trend as items to monitor in subsequent results.