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    Trishakti Indus Q1 FY27 earnings call

    531279
    Services·23 Jul 2026
    Management Summary

    Trishakti Industries Limited reported a robust Q1 FY27, with total income surging 310% YoY to ₹16.8 crores and PAT reaching ₹4.30 crores. The company maintained a strong 65% EBITDA margin and achieved 100% fleet utilization. Strategic initiatives include entry into the wind energy segment and international expansion into UAE and KSA, with a significant CapEx plan underway.

    Highlights

    6

    • Total income increased by nearly 310% YoY to INR 1,680 lakhs (₹16.8 crores), reflecting strong growth.

    • EBITDA grew approximately four times YoY to INR 1,087 lakhs (₹10.87 crores), demonstrating operational leverage.

    • Maintained a healthy EBITDA margin of approximately 65%, showcasing business model strength.

    • Profit after tax rose to INR 430 lakhs (₹4.30 crores), marking the strongest quarterly financial performance in company history.

    • Achieved 100% fleet utilization, indicating efficient deployment and strong demand.

    • Announced strategic entry into the wind energy equipment rental segment and expansion into UAE and KSA markets.

    Concerns

    3

    • Receivable days were at 200 days, though management expects improvement to 60-70 days.

    • EBITDA margins in the KSA market are projected to be lower at 50-52% compared to India's 60-65%.

    • Maintenance OpEx is expected to increase after the initial three-year OEM warranty period for new machines.

    Key financials

    Single quarter

    05 metrics
    1. 01Total Income1,680 lakhs+3.1%YoY
    2. 02EBITDA1,087 lakhs+3%YoY
    3. 03EBITDA Margin65%
    4. 04PBT538 lakhs
    5. 05PAT430 lakhs

    Capital allocation

    3
    high confidence
    CategoryHeadline
    Capex

    ₹400 crores

    Internal accruals and bank financing (HDFC, Axis, ICICI banks) with LTV at 50-60% for new machines, allowing 100% funding without upfront cost for machines.

    Debt

    Gross ₹80 crores

    Cost 8.5%

    Liquidity

    Liquidity disclosed

    Company is currently at a very healthy cash flow position.

    Guidance & targets

    7
    CategoryTargetPriority
    Revenue
    Annual Recurring Revenue (ARR)
    INR 70-72 crores
    		High
    Profitability
    EBITDA Margin
    60-65%
    		High
    Profitability
    PAT Margin
    25-30%
    		High
    Operational Efficiency
    Fleet Utilization
    Above 95%
    		High
    Working Capital
    Receivable Days
    Under 60-70 days
    		High
    New Segment Contribution
    Wind Energy Revenue/Profitability
    Meaningful contribution
    		Medium
    Geographic Expansion
    UAE and KSA Operations Start
    Operations start
    		High

    What to watch in Q2 FY27

    5

    Receivable Days

    This financial year
    Current200 days
    TargetUnder 60-70 days

    Why it matters

    Improvement in working capital management is crucial for cash flow and financial health.

    If you actually do a deep dive in the annual report, you will be seeing that from the core business which you're doing, the payments we are receiving is under 60 days. If you see under 60-90 days, there is not much receivables at all. From our top line we will be having this year, it will be a very small chunk. So, in this financial year, you'll be seeing that everything will be streamlined back to, like, it should be in this financial year. (Page 11)

    Risks & concerns

    4
    RiskSeverity

    Increased Maintenance Costs for Older Fleet

    After the initial 3-year OEM warranty period, maintenance OpEx is expected to increase by 4-5% of the top line, potentially reducing EBITDA margins from 65% to 58-62%. — Management acknowledged

    medium

    Lower EBITDA Margins in KSA Market

    While yields are higher, the cost of operation in KSA is also high, leading to projected EBITDA margins of 50-52%, lower than India's 60-65%. — Management acknowledged

    low

    Supply Side Constraints for New Machines

    Manufacturers are currently unable to produce more than 2-4 machines per month, creating a supply bottleneck despite strong demand. — Management acknowledged

    medium

    Demand Halt in KSA Market

    There has been a complete halt in demand in the KSA market for the last six months, though management expects it to normalize in the next six months. — Management acknowledged

    low

    Q&A highlights

    8

    “The reason for us to expand into wind energy is because the 800-ton machines are used for 3.3-megawatt projects, but now the industry is moving towards 5-megawatt wind turbines. For this, the 900-ton machines are required. Hence, we are seeing a good opportunity here.”

    Highlights the strategic rationale and market opportunity for a new high-growth segment, driven by technological shifts in wind turbine size.

    asked by Chaitanya Pujara

    2 min read6 chapters

    Detailed Narrative

    01

    Q1 FY27 Financial Performance Overview

    Trishakti Industries Limited delivered a strong Q1 FY27 performance, with total income increasing by a significant 310% year-over-year to INR 1,680 lakhs (₹16.8 crores). EBITDA saw approximately a four-fold increase to INR 1,087 lakhs (₹10.87 crores), while maintaining a healthy EBITDA margin of around 65%. Profit after tax (PAT) for the quarter stood at INR 430 lakhs (₹4.30 crores), marking the strongest quarterly financial performance in the company's history.

    02

    Strategic Entry into Wind Energy Segment

    The company announced its strategic entry into the wind energy equipment rental segment, specifically targeting the growing demand for 900-ton machines required for 5-megawatt wind turbines. This move capitalizes on the industry shift from 3.3-megawatt projects (using 800-ton machines) and positions Trishakti as a first-mover in this specialized, high-ticket segment. Management expects meaningful contribution from this segment by Q3 and Q4 FY27, with machines having a lead time of approximately five months for manufacturing and transportation.

    03

    International Expansion into UAE and KSA

    Trishakti Industries plans to expand its operations into the United Arab Emirates and Kingdom of Saudi Arabia, driven by requests from existing EPC clients like L&T and Afcon. The company anticipates higher yields in these markets (approximately 4% monthly compared to 2.5% in India) despite higher operating costs, with projected EBITDA margins of 50-52%. The expansion will be executed independently without local collaborations, with operations expected to commence within FY27, focusing initially on renewable energy projects.

    04

    Capital Expenditure and Funding Strategy

    The company has an ongoing INR 400 crore CapEx plan for FY27, with approximately INR 270 crores already deployed. The remaining INR 130-140 crores will be invested in India, including the wind energy segment and new tower cranes for data centers, with INR 100 crores already ordered. Funding is primarily through internal accruals and bank financing from institutions like HDFC, Axis, and ICICI, with current LTVs at 50-60% allowing for 100% machine funding without upfront costs. The current debt stands at INR 80-85 crores with an average cost of debt between 8.5-8.75%.

    05

    Operational Efficiency and Fleet Management

    Trishakti achieved 100% fleet utilization during the quarter, reflecting strong demand and efficient deployment of its equipment across various sectors including renewable energy, infrastructure, railways, and oil & gas. The company's strategy of acquiring newer machines (2024-2027 make) provides a competitive edge, as OEMs cover maintenance for the first three years, leading to lower operational costs and higher EBITDA margins compared to competitors with older fleets. The company also plans to introduce EV machinery in Q2 FY27, with initial orders already placed.

    06

    Outlook and Working Capital Management

    For FY27, the company projects an executable order book of INR 70-72 crores, expecting to achieve 60-65% EBITDA margins and 25-30% PAT margins on this. Management is focused on improving working capital, specifically aiming to reduce receivable days from the current 200 days to under 60-70 days within the current financial year. This streamlining is expected to enhance cash flow and overall financial efficiency.

    This is an AI-generated summary of a publicly available earnings call transcript.