Tempsens Q2 FY27: sales rise 34 percent
Tempsens H1 sales rise 34 percent to Rs 255 crore on sensors and exports, margins narrow on hiring and new units
Tempsens Instruments (India) makes factory thermometers the way a kitchen thermometer works for cooking, only built for furnaces, steel plants and machines, plus the heaters and heat-proof cables that go with them. On 30 October 2026 it published an investor presentation for the quarter and half year ended 30 September 2026, reporting consolidated revenue from operations of Rs 136.31 crore in Q2 FY27, up 34.0 percent year on year, and Rs 255.02 crore in H1 FY27, up 33.7 percent year on year . The takeaway is growth came with thinner profitability as hiring and newly consolidated overseas units lifted costs while material margins stayed steady, and the company is now betting new plants and certifications to convert pipelines into volumes .
Growth baseline from FY24 to H1 FY27
Tempsens describes itself as the largest manufacturer of contact and non-contact temperature sensors in India and the only Indian maker of non-contact sensors. It cites 21.3 percent share in temperature sensors and 28.52 percent of FY26 revenue from exports to more than 80 countries over FY23 to FY26 .
Revenue compounded at 27.23 percent over FY24 to FY26 to reach Rs 444.88 crore in FY26 . H1 FY27 financial information is unaudited and subject to limited review under listing rules .
EBITDA shows core operating profit before interest, tax, depreciation and amortisation. Adjusted PAT is profit after tax excluding amortisation on acquisitions .
Source: .
| Period | Revenue from operations in Rs crore | EBITDA in Rs crore | Adjusted PAT in Rs crore |
|---|---|---|---|
| FY24 | 274.81 | 61.13 | 40.92 |
| FY25 | 378.53 | 97.32 | 66.30 |
| FY26 | 444.88 | 113.17 | 74.87 |
For FY26, the deck puts EBITDA margin (on total income) at 24.83 percent, adjusted PAT margin at 16.42 percent and return on capital employed at 21.61 percent .
Return on capital employed was 22.82 percent in FY24 and 23.08 percent in FY25. Adjusted return on equity was 20.02 percent in FY24, 23.05 percent in FY25 and 20.70 percent in FY26 .
The latest half shows the same high growth with lower margins. Margins below are on total income, as the deck calculates them.
Source: .
| Period | Revenue from operations in Rs crore | EBITDA in Rs crore and margin | Adjusted PAT in Rs crore and margin |
|---|---|---|---|
| Q2 FY26 | 101.71 | 26.09 at 25.1 percent | 17.11 at 16.4 percent |
| Q1 FY27 | 118.71 | 26.59 at 22.0 percent | 17.30 at 14.3 percent |
| Q2 FY27 | 136.31 | 28.32 at 20.4 percent | 20.28 at 14.6 percent |
| H1 FY26 | 190.73 | 49.08 at 25.2 percent | 32.12 at 16.5 percent |
| H1 FY27 | 255.02 | 54.92 at 21.2 percent | 37.58 at 14.5 percent |
EBITDA rose 8.6 percent year on year in Q2 FY27 and 11.9 percent in H1 FY27. Adjusted PAT rose 18.5 percent in Q2 FY27 and 17.0 percent in H1 FY27 .
Reported profit for H1 FY27 was Rs 35.70 crore against Rs 30.24 crore in H1 FY26, up 18.06 percent. That was aided by a deferred tax credit of Rs 1.50 crore in Q2 FY27 .
Total income in H1 FY27 was Rs 259.41 crore against Rs 195.06 crore in H1 FY26. That included other income of Rs 4.39 crore against Rs 4.33 crore .
Temperature sensing is now more than half of product sales
Temperature Sensing Solutions grew 72.8 percent year on year to Rs 72.56 crore in Q2 FY27. It grew 57.3 percent to Rs 132.90 crore in H1 FY27, about 53 percent of H1 product revenue .
Source: .
| Period | Temperature Sensing in Rs crore | Specialised Cables in Rs crore | Electric Heating in Rs crore |
|---|---|---|---|
| Q2 FY26 | 42.00 | 36.40 | 22.30 |
| Q1 FY27 | 60.30 | 32.50 | 25.00 |
| Q2 FY27 | 72.56 | 40.98 | 21.70 |
| H1 FY26 | 84.50 | 72.10 | 32.40 |
| H1 FY27 | 132.90 | 73.50 | 46.70 |
Management says H1 growth includes Tempsens Germany, Tempsens Polska and Tempsens Measurement and Control consolidated during the period. Prior periods were not restated so growth is not strictly comparable .
The accounts list Tempsens Instruments GmbH as a subsidiary from 16 January 2026. Tempsens Polska became its child from the same date after the German unit was a shared joint venture from 17 December 2025 to 15 January 2026 .
Tempsens Measurement and Control, formerly Techin Gauges India, became a subsidiary from 20 March 2026 .
Beyond that inorganic lift, management says organic growth was led by thermal power and by factory equipment makers. That includes makers of chemical vapour deposition equipment used to lay thin films in chip and materials plants .
It cites ramping despatches for fuel-cell temperature sensors and growth in demand for CVD sensors. The order pipeline remains healthy across thermal and nuclear power, steel and glass .
On the September 2026 call, management said temperature sensing was 45 percent of FY26 revenue. It said about two-thirds of FY26 revenue came from projects and equipment makers and one-third from replacement demand .
Top 10 customers were 19 percent of FY26 revenue and no end market was above 22 percent .
For new demand, the EDGE series of non-contact sensors is a thermal plus visual camera. It comes in 384 by 288 and 640 by 480 pixel versions for temperature monitoring and surveillance .
It is co-developed with Micro-Epsilon for equipment makers in semiconductors, batteries and heavy industry. Dispatches are expected from Q3 FY27 .
Management sizes the newer Micro-Epsilon addressed market at about Rs 3,000 crore. It says it addresses less than about 1 percent today .
For fuel cells, sensors map temperature across the cell to hold efficiency in a tight band. Management says field trials are in advanced stages and focus is on executing at scale .
Volumes are to be disclosed as executed, though management claims clear visibility and a solid order book in execution phase .
Heaters grow on oil and gas, cables wait on export timing
Electric Heating Solutions revenue grew 44.1 percent year on year to Rs 46.70 crore in H1 FY27. Management links this to ramp-up of the heater factory .
That followed 148.8 percent growth in Q1 FY27 on a low base. The factory had commissioned toward the end of Q1 FY26 .
Growth was led by significant dispatches to oil and gas customers in India, South-East Asia and the Middle East. Key drivers remain oil and gas and equipment makers across automotive, life sciences and plastics .
Certification is the near-term gate for furnaces. Laboratory furnaces for temperature testing are ETL and CE approved, with bulk despatches to start from Q3 FY27 .
Major certification for standard furnaces is completed, with supplies to start in Q3 FY27 for a life-sciences equipment maker under a five-year framework .
The mid-voltage heater platform for energy transition covers up to 15 megawatt electric heaters. Uses include carbon capture, battery storage and green hydrogen, tested to 7.2 kilovolt .
Explosion-proof certification for that platform is targeted by Q4 FY27 .
Specialised Cables was the soft spot, up only 2 percent year on year to Rs 73.50 crore in H1 FY27. Q2 FY27 recovered 12.6 percent year on year and 26.0 percent quarter on quarter to Rs 40.98 crore from a softer Q1 .
Management says the H1 softness reflects timing of export order execution, not demand loss. Dispatches were executed for thermal power, oil and gas in Africa for a new customer and chemicals in India .
Focus areas remain exports, thermal and nuclear power and cable harnesses. Supplies of high-temperature wiring harnesses to an equipment maker are to start in Q3 FY27 .
UL certification for harnesses for extreme-temperature hazardous environments is already in place. Oil and gas approvals in the Middle East are expected to open a new export market .
Management cautions pipeline references do not represent a committed order book .
Exports double and pass one-third of sales
Tempsens positions itself as one of India's largest exporters of temperature sensors and allied solutions. Export growth was 46.49 percent CAGR over FY24 to FY26 with 28 distributors globally .
Source: .
| Period | Within India in Rs crore | Outside India in Rs crore |
|---|---|---|
| Q2 FY26 | 76.60 | 24.20 |
| Q1 FY27 | 78.00 | 39.80 |
| Q2 FY27 | 81.40 | 53.90 |
| H1 FY26 | 142.50 | 46.50 |
| H1 FY27 | 159.40 | 93.70 |
Domestic revenue grew 11.9 percent year on year to Rs 159.40 crore in H1 FY27. Q2 FY27 was up 6.2 percent to Rs 81.39 crore .
Export revenue more than doubled by 101.5 percent to Rs 93.70 crore in H1 FY27. Q2 FY27 exports were Rs 53.88 crore .
Management attributes the export jump to Tempsens Germany and Tempsens Polska plus sustained growth in key export markets .
Exports were about 37 percent of product revenue in H1 FY27 against about 25 percent in H1 FY26. In Q2 FY27 the share was about 40 percent .
Product revenue here excludes other operating revenue. That was about Rs 1.90 crore and Rs 1.70 crore for H1 FY27 and H1 FY26 .
For Q2, other operating revenue was about Rs 1.10 crore and Rs 1.0 crore for Q2 FY27 and Q2 FY26 respectively .
In Q1 FY27, domestic revenue was up 18.5 percent to Rs 78 crore. Export revenue was up 78.3 percent to Rs 39.80 crore, about 34 percent of total from about 25 percent a year earlier .
That Q1 export lift came from Germany and Poland plus South-East Asia and North America .
Management says it entered Mexico, Poland and South Korea and is ramping the Middle East, South-East Asia and Europe. It targets oil and gas, steel, cement and energy for process industries while most equipment-maker play is domestic .
For FY26 the geographic split was India 71.46 percent, Europe 9.74 percent and Asia Pacific 6.68 percent. Africa and Middle East and North Africa was 10.01 percent, with the balance in North and South America .
Materials steady, staff costs explain margin fall
Gross material margin, or sales left after raw materials and inventory change, was 45.7 percent in H1 FY27. That was against 46.0 percent in FY26, broadly in line with historical annual levels .
Cost of material consumed was Rs 150.78 crore in H1 FY27 against Rs 108.51 crore in H1 FY26. Inventory change was minus Rs 12.22 crore against minus Rs 9.16 crore .
Total expenses were Rs 216.66 crore against Rs 157.14 crore, up 37.88 percent .
Management says it books raw materials when orders are received so price swings are passed to customers. It makes its own alloys and mineral-insulated cables serving all three verticals .
On the September call, management said it held about Rs 110 crore to Rs 120 crore of inventory with 65 to 70 percent in raw material .
The squeeze came below that line. Employee benefits rose 40.7 percent year on year to Rs 42.06 crore in H1 FY27 on expanded headcount .
That included an employee stock option charge of Rs 1.14 crore against Rs 0.06 crore .
Restated employee cost was Rs 30.00 crore in FY24 and Rs 49.86 crore in FY25. It was Rs 63.83 crore in FY26 .
Management says recently acquired businesses added employee cost on a relatively lower revenue base during integration. Other expenses grew slower than revenue .
It expects margins to stay broadly similar to last year as seeded projects take off and hiring is absorbed. Profit growth is expected to be in line with revenue growth by end FY27 .
It guides FY27 revenue growth in line with blended three-year growth. It notes temperature sensors and heaters carry slightly better margin profile than cables .
IPO cash halves debt, capex is just starting
The August 2026 initial public offer was 2,16,66,666 shares of Rs 4 face value at Rs 300 per share. It listed on NSE and BSE on 28 August 2026 .
It comprised a fresh issue of 31,66,666 shares for Rs 95.00 crore where cash comes to the company. It also had an offer for sale of 1,85,00,000 shares for Rs 555.00 crore where cash goes to selling shareholders .
Net proceeds were Rs 87.26 crore after Rs 7.73 crore of issue costs borne by the company. That was against Rs 87.32 crore planned .
Source: .
| Object | Actual net proceeds in Rs crore | Utilised to 30 Sep 2026 in Rs crore | Unutilised in Rs crore |
|---|---|---|---|
| Capex for heating and cables | 18.13 | 0.61 | 17.52 |
| Repayment of borrowings | 55.00 | 55.00 | 0.00 |
| General corporate purposes | 14.13 | 0.00 | 14.13 |
| Total | 87.26 | 55.61 | 31.65 |
Total borrowings fell about 48 percent to Rs 40.73 crore at 30 September 2026. That was from Rs 77.95 crore at 31 March 2026 .
The split was Rs 7.18 crore non-current and Rs 33.55 crore current after the Rs 55 crore repayment. The debt-equity ratio improved to 0.06 times from 0.15 times .
Debt to EBITDA was 0.49 times in FY24 and 0.74 times in FY25. It was 0.69 times in FY26 .
Finance costs were Rs 2.47 crore in H1 FY27 against Rs 2.45 crore in H1 FY26. Lower costs are expected in subsequent periods .
Operating cash profit before tax adjusted for non-cash items rose 16.2 percent to Rs 50.72 crore in H1 FY27. Cash generated from operations was Rs 57.15 crore against Rs 22.05 crore .
Net operating cash was Rs 49.09 crore against Rs 10.89 crore after Rs 8.06 crore tax paid .
Inventories rose to Rs 139.93 crore at 30 September 2026 from Rs 111.94 crore at 31 March 2026. Trade receivables eased to Rs 83.13 crore from Rs 85.74 crore .
Cash and cash equivalents rose to Rs 96.57 crore from Rs 28.48 crore. Other bank balances rose to Rs 35.11 crore from Rs 5.76 crore .
Capital expenditure was Rs 36.73 crore in H1 FY27 including Rs 25.99 crore for leasehold land for cables expansion. Work in progress was Rs 5.43 crore against Rs 0.61 crore at March-end .
Right-of-use assets, largely leasehold land, were Rs 56.83 crore against Rs 31.24 crore .
Four plants that can add about Rs 500 crore at full use
Management lists four builds between Q4 FY27 and Q3 FY28 with aggregate indicative peak revenue of about Rs 500 crore at full utilisation. That is against the Rs 444.88 crore FY26 base .
It stresses peak potential is neither forecast nor guidance and will take time to ramp from about 80 percent current use .
Unit 1 for contact sensors for equipment makers is a brownfield of about 50,000 square feet within existing Unit 1. Commissioning is expected by Q3 FY28 with peak of about Rs 120 crore a year .
The deck also lists a new Gulf office in Ajman in the United Arab Emirates .
Unit 6 for mid-voltage heaters and pressure vessels is a brownfield of about 50,000 square feet. Commissioning is expected by Q1 FY28 with peak of about Rs 200 crore a year .
About 25,000 square feet is already commissioned for custom-built furnaces .
Unit 8 for specialised cables focused on exports is a greenfield. Commissioning is expected by Q2 FY28 with peak of about Rs 60 crore a year .
The Tempsens-Victura joint venture plant has an agreement to acquire a built shed of about 80,000 square feet. Production is expected to commence by Q4 FY27 with peak of about Rs 120 crore a year .
Unit 8 and the Victura facility are separate and additive. The Victura shed is subject to completion of the purchase .
Only Rs 0.61 crore of the Rs 18.13 crore IPO capex earmark has been deployed. That leaves Rs 17.52 crore plus Rs 14.13 crore for general purposes still available for this build .
What to track from here is dated rather than promised. Management points to harness supplies from Q3 FY27 and EDGE dispatches from Q3 FY27 .
It points to bulk lab furnace despatches from Q3 FY27 and standard furnace supplies to the life-sciences customer from Q3 FY27 .
It targets explosion-proof approval for mid-voltage heaters by Q4 FY27 and Victura output from Q4 FY27 .
Equipment-maker plus new products are targeted at more than 25 percent of revenue from FY28. Heavy-industry order visibility is four to four and a half months against nine to 12 months for equipment makers .
---
Sources
- 1 Investor Presentation Q2 H1
- 2 Earnings-call transcript, 2026-09-22
- 3 Tempsens Instruments (India) Ltd - 544886 - Consolidated And Standalone Unaudited Financial Results For The Quarter And Half Year Ended September 30, 2026
- 4 Tempsens Instruments (India) Ltd - 544886 - Quarter Ended 30Th June, 2026
- 5 Investor presentation, Sep 2026
- 6 Tempsens Instruments (India) Ltd — historical financial matrix and financial statement analysis