Refex Industries has clarified a typographical error in its recent contract disclosure with a Madhya Pradesh public sector undertaking. The company confirmed the correct quantity for pond and fly ash lifting is 10 lakh metric tonnes, correcting the previously stated figure of 10 metric tonnes.

The clarification pertains to the ₹160 crore contract disclosed on September 19, 2026. The deal covers an initial execution timeline of 18 months. The correction does not alter the financial value or duration of the agreement.

Order in financial context

The ₹160 crore order represents approximately 22.3% of the company's average quarterly revenue of ₹717.13 crore. With this addition, the total disclosed order book stands at ₹666.90 crore across 18 orders disclosed in the last three fiscal quarters, covering approximately 0.93 quarters of average quarterly revenue.

Order track record

Order inflow activity remains consistent with recent trends, featuring multiple awards from public sector undertakings and domestic entities. Q1FY27 saw an influx of ₹320.79 crore from diverse PSU clients, while Q2FY27 recorded ₹346.12 crore including awards from Maharashtra, Telangana, and Madhya Pradesh.

Financial performance

Consolidated revenue declined to ₹928.70 crore in Q1FY27 from ₹938.10 crore in Q4FY26, while net profit fell to ₹64.60 crore from ₹94.40 crore. Operating Profit Margin (OPM) compressed to 10.58% in Q1FY27 from 15.84% in Q4FY26, indicating margin pressure despite stable topline volumes.

Revenue growth and order conversion

Annual revenue grew from ₹1,401.00 crore in FY24 to ₹2,302.10 crore in FY26. Despite flat year-on-year revenue growth in FY26, net profit expanded 34.9%, driven by margin improvements rather than volume expansion. Operating cashflow improved to ₹107.10 crore in FY26 from a negative ₹248.50 crore in FY25, indicating better working capital management and conversion of backlog into cash.

Working capital and balance sheet

The company maintains a current ratio of 2.04x, indicating ample short-term assets to cover liabilities. Total Liabilities/Equity stands at 0.88x, reflecting a conservative capital structure without excessive leverage.

Key observations

• Contract structure: Lifting of 10 Lakh Metric Tons of Pond Ash and Fly Ash under RCR Mode, extendable with mutual consent over 18 months.
• Margin stress: OPM compressed to 10.58% in Q1FY27 from 15.84% in Q4FY26, indicating execution pressure or mix shift.
• Valuation (as of September 19, 2026): P/E of 15.1x against ROCE of 22.69%.
• Cash conversion: Operating cashflow of ₹107.10 crore in FY26; backlog is converting to cash after a negative cycle in FY25.
• Client concentration: Continued dependency on PSU clients and domestic entities, which dominate the recent order book.

Refex Industries will host an analyst and institutional investor meet on September 22, 2026. The event is part of the Anand Rathi Annual Flagship Conference G-200 Summit 2026.

Company officials will participate in a group meeting scheduled for 9:00 am at the Taj Santacruz in Mumbai. The disclosure was made pursuant to Regulation 30 of the SEBI Listing Regulations and the associated master circular dated January 30, 2026.

Meeting Details

The interaction will focus exclusively on publicly available information. No unpublished price-sensitive information (UPSI) is intended for discussion during the session.

Ankit Poddar, Company Secretary and Compliance Officer, signed the disclosure. The company noted that changes may occur due to exigencies on the part of the host or the company.