Thermax gains 4% as subsidiary bags order worth Rs 293 crore

TBWES has concluded a Rs 293 crore order for a boiler package comprising 3 x Oil & Gas fired boilers on EPC basis for a refinery and petrochemical complex in western India

Shares of Thermax were up 4 per cent at Rs 1,418.55 on the BSE in intra-day trade on Thursday after Thermax Babcock and Wilcox Energy Solutions (TBWES), a wholly-owned subsidiary of the company, concluded a Rs 293 crore order for a boiler package comprising 3 x Oil & Gas fired boilers on EPC basis for a refinery and petrochemical complex in western India.

The scope of supply includes design, manufacture, installation, erection, commissioning and testing of the 3 x Oil & Gas fired boilers. Thermax said this turnkey project, based on EPC, encompasses civil, structural, mechanical, E&I controls work in a press release.

Overall, Thermax has been reporting order inflows in the range of around Rs 1,500 to Rs 1,700 crore from each of the last three quarters owing to a broad-based recovery in sectors, ranging from cement, steel, food & beverages, refinery etc. The consolidated order inflow for Q1FY22 was at Rs 1,696 crore (Vs. Rs 608 crore in Q1FY21) amid challenges. Consequently, the consolidated order book as of Q1FY22 stood at Rs 6,109 crore, up 17 per cent year-on-year (YoY), ICICI Securities said in a note.

Going forward, continued order inflow momentum, strong balance sheet and prudent working capital management are likely to improve revenue visibility and competitive advantage amid the challenging environment, the brokerage firm said.