Refex operating margin trails utility peer median by 14.97 points
Standalone Q1FY27 margin was 17.02% versus a 31.99% median across nine reported Utilities peers; management highlighted expected capacity additions of 1,800 MW.
Filed 29 Jul 2026, 19:52 IST · after market close · Refex Industries Ltd (REFEX)
Key takeaways
- Refex's standalone operating margin was 17.02%, 14.97 percentage points below the 31.99% median for nine Utilities peers.
- Standalone net profit was Rs 73.39 cr after a 25.12% tax rate and Rs 8.01 cr of other income.
- Management said the companies taken over from the NCLT are expected to add 1,800 MW of capacity.
Price around the results
Standalone margin ranks near the bottom of Utilities peers
Refex's 17.02% standalone operating margin was 14.97 percentage points below the 31.99% median among nine Utilities companies that had reported the quarter. It ranked third from the bottom, making relative operating profitability the clearest concern in the result.
Profit included other income and a 25.12% tax rate
The Rs 73.39 cr standalone net profit included Rs 8.01 cr of other income, while interest was Rs 11.02 cr. The 25.12% tax rate also shaped profit conversion from the Rs 98.35 cr profit before tax.
Management outlined an ash-handling and capacity expansion model
Management said the companies taken over from the NCLT are expected to contribute 1,800 MW of non-commissioned capacity additions. The presentation describes an integrated model combining ash-plant operations with complete ash utilisation, while the company said partner-led investments are intended to upgrade systems without upfront capex for power generators. Management also stated targets of carbon neutrality by 2040 and water neutrality by 2035.
Results were filed after market hours
Refex filed the standalone results after market close on 29 July 2026. The results are therefore too fresh for a market reaction to assess, and there is no post-result move to compare with the stock's history.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹619 cr |
| Other income | ₹8 cr |
| Expenses | ₹514 cr |
| Operating profit | ₹105 cr |
| Operating margin (%) | 17.02% |
| Interest | ₹11 cr |
| Depreciation | ₹4 cr |
| Profit before tax | ₹98 cr |
| Tax | ₹25 cr |
| Net profit | ₹73 cr |
| EPS (₹) | ₹5.35 |
Operating margin of 17.02% compares with a Utilities sector median of 31.99% across 9 peers that have reported Q1FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
Guidance & outlook
- Refex targets carbon neutrality by 2040 and water neutrality by 2035.
Expansion
- The company expects 1,800 MW of capacity additions from companies taken over from the NCLT.
New initiatives
- Refex’s integrated ash-handling model combines plant O&M with complete ash utilization through a single entity.
- Partner-led investments are intended to upgrade systems without upfront capex for the power generator.
- Refex’s Trees for Life programme pledges to plant 100,000 saplings by 2030.
- Refex targets planting 10,000 mangrove saplings at Uyalikupapam, Tamil Nadu, by FY 2026.
What to watch
- Whether standalone operating margin changes from 17.02% relative to the 31.99% Utilities-peer median.
- Progress on management's stated 1,800 MW of expected capacity additions.
- Whether other income remains close to the Rs 8.01 cr reported this quarter.