Despite a slowdown, Thermax sees orders firming up in FY13

Moneycontrol.com

Capital goods maker Thermax, is hopeful of finalizing fresh orders in the second half of this year and is also bullish on maintaining margins by atleast 100-150 basis points, despite unfavourable market conditions.

While replying to a volley of analyst' queries in an earnings call today, the company managing director, M.S Unnikrishnan said, "We will negotiate at least 30% of the estimated order book from captive power plants in the second half of this year."

Thermax has multiple portfolios such as package boilers, absorption chillers, chemicals, standard water treatment plants which still have potential for growth even in this challenging market conditions believes the management.

For the matter of fact, the power related businesses is affected by the tough market conditions, QoQ and Thermax has been aggressively promoting its product businesses in sectors insulated from the slowdown while focusing on cost optimisation.

Meanwhile, the Pune-based company's order balance dropped to stand at Rs 5,042 crore during the June quarter compared to Rs 6,804 crore,YoY
Also on a consolidated basis, the company’s net profit dropped 40% to Rs 52 crore. Income also dropped 5.6%,YoY to Rs 1,170 crore."We are working towards maintaining our margins," added Unnikrishnan.