Triveni Turbine Stock Soars 32% in Just 6 Days After Impressive Q1 Earnings

Triveni Turbine shares have jumped 32% in just six days, continuing their post-earnings rally. Despite a weaker overall market, the stock surged 20% today, reaching a record high of ₹838 per share, before closing with a 12.33% gain at ₹787. Investors remain enthusiastic following the company’s strong June quarter results, released on August 6, which exceeded all analyst expectations.

The company reported a 23.1% year-on-year increase in total revenue, reaching ₹4.6 billion. Product sales went up by 24.2% to ₹3.1 billion, and revenue from after-sales services grew by 21.1% to ₹1.6 billion.

EBITDA (a measure of profit) rose by 34.8% to ₹956 million, with a margin improvement of 180 basis points to 20.6%. The net profit after tax also saw a big jump of 31.7%, reaching ₹800 million, surpassing expectations. The company’s order inflow for Q1 FY25 was ₹6.4 billion, a 40.4% increase from last year, with export orders rising by 74.1% due to strong demand from the oil and gas sector in the Middle East.

Analysts are optimistic about Triveni Turbine’s future, highlighting strong export prospects, a solid order book of ₹17.3 billion, and growing interest in their new high-capacity turbines. Despite domestic orders slowing down due to elections, the company expects order finalizations to pick up in the coming months, especially in industries like steel, cement, renewable energy, and waste-to-energy projects.

The company’s investments in its US subsidiary are paying off, leading to more business opportunities there. Triveni Turbine plans to keep focusing on its aftermarket services, given the strong demand for maintenance and refurbishment.

Following the Q1 results, brokerage firms Prabhudas Lilladher and Motilal Oswal upgraded their ratings on the stock, setting target prices at ₹719 and ₹720 per share, respectively. However, Triveni Turbine’s stock has already surpassed these targets.