Triveni Turbine's margin falls 7.05 points as costs outpace revenue
Revenue grew 22.86% year on year, but expenses rose 34.29%; other income contributed 11.8% of pre-tax profit.
Filed 18 May 2026, 18:13 IST · after market close · Triveni Turbine Ltd (TRITURBINE)
Key takeaways
- Standalone operating margin fell 7.05 percentage points year on year as expenses grew 34.29% against 22.86% revenue growth.
- Net profit declined 15.80% year on year to Rs 78.9 cr despite a 22.86% increase in revenue.
- The stock rose 6.94% on the results reaction day, above its 4.26% median absolute move after the past eight results.
Price around the results
Revenue growth did not translate into operating profit
Standalone revenue grew 22.86% year on year, but operating profit fell 12.98% because expenses rose faster than sales. Sequentially, revenue increased 3.17% while expenses climbed 11.58%, pushing operating margin down 6.24 percentage points. Net profit fell 15.80% year on year and 17.12% from Q3FY26.
Costs drove a third straight quarterly margin decline
Operating margin has declined for three consecutive quarters, from 24.78% in Q2FY26 to 23.37% in Q3FY26 and 17.13% in Q4FY26. Other income accounted for 11.8% of pre-tax profit, making reported earnings partly dependent on non-operating income. The year-on-year tax rate was 0.53 percentage points lower, which modestly cushioned the decline in pre-tax profit.
Margin remains above the Industrials peer median
Triveni Turbine's 17.13% operating margin was 1.47 percentage points above the 15.66% median among 71 Industrials companies that had reported the same quarter. That relative position came despite a 7.05-percentage-point year-on-year margin contraction. Interest expense was broadly unchanged sequentially, so the deterioration was mainly operational rather than financing-led.
Management points to demand and backlog support
Management said demand remained strong and sustained across its key markets, and that its order backlog and enquiry pipeline supported confidence in full-year growth. The company said the first half had been softer, while geopolitical uncertainty in West Asia could cause near-term fluctuations. Management also described Triveni Turbine as one of the top two global industrial steam turbine manufacturers.
Market reaction was stronger than the stock's usual results move
The stock rose 6.94% on the reaction day after opening with a 1.48% decline, and the move extended to 15.72% after five sessions. This was above the stock's median absolute post-results move of 4.26% across its past eight results, during which five reactions were positive and three were negative.
Q4FY26 at a glance
Standalone figures as filed with NSE — cross-checked against an independent source.
| Line item | Q4FY26 | Q3FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹603 cr | ₹584 cr | +3.17% | +22.86% |
| Other income | ₹13 cr | ₹1 cr | +2033.33% | -27.68% |
| Expenses | ₹499 cr | ₹448 cr | +11.58% | +34.29% |
| Operating profit | ₹103 cr | ₹137 cr | -24.40% | -12.98% |
| Operating margin (%) | 17.13% | 23.37% | — | — |
| Interest | ₹1 cr | ₹1 cr | +0.00% | +20.00% |
| Depreciation | ₹7 cr | ₹7 cr | -1.43% | +15.00% |
| Profit before tax | ₹109 cr | ₹130 cr | -16.22% | -16.41% |
| Tax | ₹30 cr | ₹34 cr | -13.70% | -18.01% |
| Net profit | ₹79 cr | ₹95 cr | -17.12% | -15.80% |
| EPS (₹) | ₹2.49 | ₹3.00 | -17.00% | -15.88% |
Operating margin of 17.13% compares with a Industrials sector median of 15.66% across 71 peers that have reported Q4FY26.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +6.94% | +7.07% |
| Next session | +10.04% | — |
| 5 sessions | +15.72% | +14.61% |
| 15 sessions | +9.29% | — |
| 30 sessions | +11.42% | — |
Volume on the results session was 5.16× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
Guidance & outlook
- The company sees a strong and sustained demand environment across its key markets.
- The company remains confident of delivering full-year growth based on its order backlog and enquiry pipeline.
Competition
- The company describes itself as one of the top two global industrial steam turbine manufacturers.
Problems & risks
- The first half of the year was softer.
- Geopolitical uncertainties in West Asia may cause near-term fluctuations.
What to watch
- Whether operating margin recovers from 17.13% after the third consecutive quarterly decline.
- Whether expense growth falls below the 34.29% year-on-year rate against revenue growth of 22.86%.
- Whether other income remains below or above its 11.8% share of pre-tax profit.