Refex Industries Limited reported a standalone net profit of ₹73.39 crore for the quarter ended June 30, 2026, marking a 122% year-on-year increase from ₹32.97 crore in Q1FY25. The surge was primarily driven by robust performance in its core Ash & Coal Handling business, which benefited from healthy execution across major project locations despite intermittent diesel supply constraints. Consolidated net profit rose to ₹64.55 crore from ₹20.37 crore YoY, reflecting improved operational efficiency and the initial contribution from its new wind energy business. The company’s Board of Directors approved the results on July 29, 2026, under Regulation 30 of the SEBI Listing Regulations.

Standalone revenue from operations grew 76% YoY to ₹619.25 crore, compared to ₹351.11 crore in the corresponding period last year. EBITDA for continuing operations stood at ₹105 crore, up from ₹39.6 crore, with an EBITDA margin of 17%. Management highlighted that the Ash & Coal Handling segment remains the largest contributor to revenue and profitability, operating at a volume run rate of 65,000 to 70,000 tons per day. The company also recorded ₹295 crore in execution from its wind energy business during the quarter, following the successful erection of India’s first 5.3 megawatt wind turbine in Koppal, Karnataka.

The company classified Power Trading, Refrigerant Gases, and Green Mobility segments as discontinued operations. Discontinued operations resulted in a standalone loss of ₹24.68 lakh and a consolidated loss of ₹997.63 lakh. Management clarified that the refrigerant gas business is fully closed, while the mobility business will be demerged into a separate listed entity by the end of Q3FY27, eliminating these losses from future P&L statements. Additionally, upfront amounts aggregating to ₹130.69 crore related to convertible warrants were forfeited as balance consideration was not received within the stipulated period.

Strategic Developments and Guidance

Refex Industries is progressing with its Composite Scheme of Amalgamation involving Refex Green Mobility Limited. The National Company Law Tribunal (NCLT), Chennai Bench, directed the company to convene meetings of Equity Shareholders and Creditors on August 05, 2026. Chairman and Managing Director Anil Jain stated that upon completion, the mobility business will operate as an independent entity focused on premium corporate mobility solutions.

In the wind energy segment, the company holds an order book of ₹1,860 crore, with ₹525 crore already executed. Management expects to execute the remaining ₹1,300 crore in the current financial year. Dinesh Kumar Agarwal, Whole-Time Director and CFO, guided that the wind business aims for a net margin of 5% to 6% by the end of FY27, after currently operating at a break-even or slight loss due to pre-operating expenses. The Silvassa assembly plant, with a capacity of 1 GW (potential revenue of ₹5,000–₹6,000 crore), is undergoing localization of components, targeting 85% localization within 12 months.

What the Numbers Show

The divergence between standalone and consolidated margins highlights the transitional phase of Refex’s growth strategy. While the standalone entity achieved an 11.9% PAT margin, driven by the mature Ash & Coal Handling business, the consolidated figure was lower due to losses in discontinued operations and early-stage investments in wind energy. The significant revenue growth in ash handling, coupled with a stable EBITDA margin of 17%, indicates strong pricing power and operational resilience despite logistical challenges. The upcoming demerger of the mobility unit is expected to sharpen the group’s focus on high-margin industrial services and renewable energy manufacturing, potentially improving overall capital efficiency and shareholder value visibility.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE056I01025/12f892840f464b71.pdf

Refex Industries Limited reported a standalone net profit of ₹73.39 crore for Q1FY27, a 122% year-on-year increase driven primarily by the recognition of ₹130.69 crore from forfeited convertible warrants. During its earnings call on July 30, 2026, management clarified that operational momentum remains strong, with the core Ash & Coal Handling business targeting a daily run rate of 90,000 tons by Q4FY27 and the new Wind Energy segment aiming for a 5% to 6% net profit margin by year-end.

The Board approved the results on July 29, 2026, following review by statutory auditors A B C D & Co LLP. The filing under Regulation 30 of SEBI Listing Regulations also detailed organizational changes, including the redesignation of Ms. Lalitha Uthayakumar, and progress on the NCLT-approved demerger of the Green Mobility business. Standalone revenue from operations rose 76% to ₹619.25 crore, while EBITDA margin improved to 17% from 11.3% in Q1FY26.

Financial Performance

Standalone revenue from continuing operations reached ₹619.25 crore in Q1FY27, compared to ₹351.11 crore in Q1FY26. Total income stood at ₹627.26 crore, aided by other income of ₹800.61 lakh, which included proceeds from the forfeited warrants. Profit before tax from continuing operations was ₹98.35 crore, resulting in a net profit of ₹73.64 crore after tax expenses of ₹24.71 crore. Discontinued operations contributed a loss of ₹24.68 lakh, leading to a total standalone net profit of ₹73.39 crore.

On a consolidated basis, revenue grew to ₹916.31 crore from ₹351.86 crore in Q1FY26. However, discontinued operations incurred a loss of ₹99.76 crore after tax, reducing the total consolidated net profit to ₹64.55 crore. Basic earnings per share were ₹5.37 on a standalone basis and ₹5.38 on a consolidated basis.

EBITDA approximated as Profit before tax + Finance Costs + Depreciation/Amortization for continuing operations.

Segmental Insights and Guidance

The Ash & Coal Handling Business contributed ₹610.50 crore in segment revenue, generating an EBIT of ₹111.47 crore. Management noted that despite intermittent diesel supply constraints due to geopolitical developments, the company maintained uninterrupted service delivery. The current daily volume run rate is between 65,000 and 70,000 tons. While Q2 is expected to be slower, management targets scaling up to close to 90,000 tons per day by Q4FY27. The company currently operates in 42 thermal power plants, covering 30% to 35% of India’s thermal power plant market.

The Wind Energy segment reported revenue of ₹295 crore (approximated from segment data) with a marginal EBIT loss of ₹0.34 crore. A key milestone was the successful erection of India’s first 5.3 megawatt wind turbine in Koppal, Karnataka. Management guided that the wind business should achieve a net margin of 5% to 6% by the end of FY27, with total execution targeted at ₹1,700 crore to ₹1,800 crore for the year. The company holds an order book of ₹1,860 crore in wind energy, of which ₹525 crore has been executed.

Corporate Developments

Ms. Lalitha Uthayakumar has been redesignated from President – Refrigerant Gas Business to General Manager – Accounts, effective August 01, 2026, following the discontinuation of the Refrigerant Gas Business. She will cease to be a Senior Managerial Personnel from the same date.

Regarding corporate restructuring, the NCLT Chennai Bench directed meetings of equity shareholders and creditors on August 05, 2026, concerning the Composite Scheme of Amalgamation and Arrangement involving Refex Green Mobility Limited and Refex Mobility Limited. The mobility business is expected to be fully demerged by the end of Q3FY27, operating as an independent listed entity.

Additionally, the company disclosed a reduction in pledged shares, with further releases expected in the next two weeks as per the repayment plan. Promoters indicated they may continue acquiring shares from the market when opportunities arise.

What the Numbers Show

The significant profit surge is largely non-operational, stemming from the ₹130.69 crore warrant forfeiture. Excluding this, the core Ash & Coal Handling business demonstrates robust health with high EBIT margins. The Wind Energy segment, while currently operating at a loss due to pre-operational expenses, shows clear path to profitability with a 5-6% net margin target by FY27 end. The transition away from discontinued operations (Refrigerant Gas and Mobility) simplifies the financial structure, allowing investors to focus on the growth trajectory of the two main pillars: established cash flow from ash handling and future scale from wind energy.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE056I01025/2672ae4c-38d3-4b7c-937a-171c9fb1335f.pdf