Anup Engineering: Business Overview & Financial Analysis
The Anup Engineering Limited is an Indian heavy engineering company and part of the Lalbhai Group, headquartered in Ahmedabad, Gujarat. Established in 1962, the company manufactures static and rotary process equipment including heat exchangers, pressure vessels, reactors, columns and towers, industrial centrifuges, silos, piping spools and custom-fabricated equipment. Its manufacturing footprint includes facilities in Ahmedabad and Kheda in Gujarat, along with Mabel Engineers Private Limited in Tamil Nadu, a wholly owned subsidiary. The company serves industries including oil & gas, fertilizer, specialty chemicals, water and wastewater, refinery, LNG, hydrogen, petrochemicals, power and nuclear.
Product Segment Revenue Mix of The Anup Engineering (Q1 FY2027)
The Anup Engineering Limited reports its revenue across multiple process-equipment product categories.
- Heat Exchangers – Rs 33.3 crore, representing 26.7% of Q1 FY2027 revenue
- Vessels – Rs 75.3 crore, representing 60.1% of Q1 FY2027 revenue
- Towers & Reactors – Rs 7.1 crore, representing 5.7% of Q1 FY2027 revenue
- Tank & Silos – Rs 3.5 crore, representing 2.8% of Q1 FY2027 revenue
- Centrifuge & Others – Rs 6.0 crore, representing 4.8% of Q1 FY2027 revenue
- Total Revenue from Operations – Rs 125.2 crore
Vessels were the largest product category during Q1 FY2027, contributing 60.1% of consolidated revenue, followed by heat exchangers at 26.7%. The product mix can vary significantly between quarters depending on project execution milestones and the nature of equipment being delivered.
Geographic Revenue Breakdown of The Anup Engineering (Q1 FY2027)
The company serves both domestic and international customers through its heavy engineering operations.
- Domestic Revenue – Rs 61.3 crore, representing 49.0% of Q1 FY2027 revenue
- Export Revenue – Rs 50.6 crore, representing 40.0% of Q1 FY2027 revenue
- Deemed Export / SEZ Revenue – Rs 13.3 crore, representing 11.0% of Q1 FY2027 revenue
- Total Revenue from Operations – Rs 125.2 crore
The geographic mix remained broadly balanced, with management describing the export-to-domestic mix as approximately 50:50 when considering the broader business. International orders remain strategically important, particularly for specialised and proprietary process equipment.
Order Book & Executable Pipeline of The Anup Engineering (Q1 FY2027)
The Anup Engineering entered FY2027 with improving order momentum after remaining selective on order intake during the previous year.
- Pending Order Book as of 6 August 2026 – Rs 985 crore, including Letters of Intent (LOIs)
- Order Booking During Q1 FY2027 – ~Rs 315 crore
- Orders Booked During FY2027 up to 6 August 2026 – Rs 538 crore
- Orders Already Booked for Q1 FY2028 – ~Rs 240 crore
- Active Order Inquiry Pipeline – ~Rs 1,100 crore
- Domestic Share of Pending Order Book – 61.3%
- Export Share of Pending Order Book – 38.7%
The Rs 985 crore pending order book was the company's strongest order-book position in recent periods. Management also indicated that future order intake could run at around Rs 200 crore to Rs 250 crore per quarter, supported by an inquiry pipeline of approximately Rs 1,100 crore.
Manufacturing Infrastructure & Plant Scale of The Anup Engineering (Q1 FY2027)
The Anup Engineering operates manufacturing facilities across Gujarat and Tamil Nadu, supported by an engineering centre in Vadodara.
- Ahmedabad Manufacturing Facility – 45,000 sq m total shop area and 23,000 sq m covered area
- Ahmedabad Single-Piece Equipment Capacity – Up to 500 MT
- Ahmedabad Maximum Equipment Diameter – Up to 5.5 metres, subject to transportation limitations
- Kheda Manufacturing Facility – 125,000 sq m total shop area
- Kheda Single-Piece Equipment Capacity – Up to 1,000 MT
- Kheda Maximum Production Length – Up to 100 metres
- Mabel Engineering Facility, Tamil Nadu – 20,000 sq m total shop area
- Mabel Single-Piece Equipment Capacity – Up to 75 MT
- Vadodara Engineering Centre – Supports engineering and design activities
- Overall Manufacturing Capacity – Around 20,000 MT per annum
- Overall Revenue Potential – Approximately Rs 1,200 crore annually
The Kheda facility significantly expands the company's ability to manufacture large and complex equipment. Phase 1 was commissioned in June 2023, while Phase 2A was progressively commissioned through FY2026.
Latest Quarterly Financial Performance of The Anup Engineering (Q1 FY2027)
The Anup Engineering reported a sharp decline in Q1 FY2027 revenue and profitability due to planned lower execution, delayed order intake from the previous year and supply-chain challenges.
- Consolidated Revenue from Operations – Rs 125.2 crore (-28.5% YoY vs Rs 175.2 crore in Q1 FY2026)
- Consolidated EBITDA – Rs 9.5 crore (-76.5% YoY vs Rs 40.4 crore)
- Consolidated EBITDA Margin – 7.6% vs 23.0% in Q1 FY2026
- Consolidated Profit Before Tax (PBT) – Rs 0.9 crore vs Rs 35.3 crore
- Consolidated Net Profit After Tax (PAT) – Rs 0.6 crore (-97.8% YoY vs Rs 26.3 crore)
- Consolidated PAT Margin – 0.6% vs 15.0%
- Standalone Net Profit After Tax (PAT) – Rs 1.11 crore
Management explained that EBITDA margins were affected mainly by lower revenue and the resulting under-absorption of fixed costs, while gross margins remained intact. Project execution had started during the quarter, but revenue recognition was delayed because contractual milestones had not yet been reached.
Consolidated Annual Financial Performance of The Anup Engineering (FY2026)
The Anup Engineering reported its highest-ever revenue and EBITDA during FY2026, although PAT declined due to higher finance costs, depreciation and exceptional items.
- Full Year Consolidated Revenue from Operations – Rs 822.3 crore (+12.2% YoY vs Rs 732.8 crore in FY2025)
- Full Year Consolidated EBITDA – Rs 174.2 crore (+5.4% YoY vs Rs 165.2 crore)
- Full Year EBITDA Margin – 21.2% vs 22.5% in FY2025
- Full Year Profit Before Tax (PBT) – Rs 139.3 crore (-2.7% YoY vs Rs 143.2 crore)
- Full Year Consolidated PAT – Rs 110.4 crore (-6.7% YoY vs Rs 118.3 crore)
- Full Year PAT Margin – 13.4% vs 16.1%
- Return on Capital Employed (ROCE) – 21%
Revenue increased 12.2% to Rs 822.3 crore, while EBITDA rose to Rs 174.2 crore. EBITDA margin remained above 20%, although it moderated compared with FY2025.
PAT declined 6.7% to Rs 110.4 crore. The company attributed lower PBT growth to higher net interest costs and depreciation. FY2026 PAT also included exceptional gratuity expense related to the new Labour Code and a tax reversal.
Balance Sheet Structure & Financial Health Ratios of The Anup Engineering (Q1 FY2027)
The Anup Engineering maintains a relatively conservative financial structure while investing in capacity and working capital required for project execution.
- FY2026 Consolidated Net Worth – Rs 691.0 crore
- FY2026 Long-Term Borrowings – Rs 33.9 crore
- FY2026 Short-Term Borrowings – Rs 73.9 crore
- Net Fixed Assets & Capital Work-in-Progress at FY2026-end – Rs 393.0 crore
- Cash Balance Around 6 August 2026 – ~Rs 45 crore
- Long-Term Debt Around 6 August 2026 – ~Rs 44 crore
- Net Cash Position Around Q1 FY2027 Concall – ~Rs 1 crore positive
Management stated during the Q1 FY2027 earnings call that the company had moved back to a broadly cash-positive position, with approximately Rs 45 crore of cash against roughly Rs 44 crore of long-term debt at that point.
The earlier figures of Rs 115 crore of treasury holdings, Rs 520 crore of net worth, an 85-day working capital cycle and ICRA/CARE AA- ratings should not be treated as Q1 FY2027 company-reported figures based on the disclosures reviewed.
Capex Allocation & Kheda Expansion Roadmap of The Anup Engineering (FY2027–FY2028)
The company has substantially completed the latest expansion phase at its Kheda manufacturing facility and currently has capacity available to support its near-term growth plan.
- Kheda Phase 1 – Two bays commissioned in June 2023
- Kheda Phase 2A – One full bay commissioned in Q2 FY2026
- Additional Open Bay – Commissioned in January 2026
- Kheda Phase 3 – Three bays identified as a future expansion plan
- Kheda Revenue Potential – Around Rs 400 crore to Rs 450 crore annually
- Overall Manufacturing Capacity – Around 20,000 MT per annum
- Overall Revenue Potential – ~Rs 1,200 crore annually
With Kheda Phase 2 fully operational, management believes the existing manufacturing infrastructure provides sufficient capacity for the company's near-term execution requirements.
The previously stated Rs 45 crore Kheda Phase-2 outlay, Rs 20 crore machine-modernisation outlay, Rs 50-65 crore annual capex guidance and 20% project ROCE hurdle should not be presented as official FY2027-FY2028 guidance without specific supporting company disclosure.
Strategic Outlook & Management Commentary of The Anup Engineering (Q1 FY2027 Concall)
Management has positioned FY2027 as a year of stabilisation, consolidation, stronger execution and risk management amid geopolitical uncertainty and volatile input costs.
- FY2027 Consolidated Revenue Growth Guidance – 5% to 10%
- FY2027 EBITDA Margin Guidance – Around 15%
- Pending Order Book – Rs 985 crore as of 6 August 2026
- Active Inquiry Pipeline – ~Rs 1,100 crore
- Expected Future Order Intake – Around Rs 200 crore to Rs 250 crore per quarter
- Orders Booked for FY2027 up to 6 August – Rs 538 crore
- Technical Services FY2027 Revenue Target – ~Rs 25 crore
- Technical Services Margin Potential – Above 30%
- Technical Services FY2028 Revenue Aspiration – ~Rs 100 crore
- Technical Services Third-Year Aspiration – ~Rs 200 crore
- Thermal Power Orders Secured – More than Rs 150 crore
- Strategic Growth Areas – Nuclear, thermal power, clean-energy storage, hydrogen, green fertilizer, technical services and proprietary licensed equipment
Management expects Q1 FY2027 to represent the low point of the year, with execution expected to improve progressively over the following quarters as longer-lead-time projects reach revenue-recognition milestones.
The company is also focusing on more niche and proprietary products to improve win rates and margin profiles, while simultaneously growing high-volume products such as air-cooled heat exchangers and developing its higher-margin technical services vertical.
The earlier guidance of Rs 700+ crore revenue, 21% to 23% EBITDA margins, 30% export revenue and execution of the entire order book within three to four quarters should not be used. The official Q1 FY2027 guidance is 5% to 10% consolidated revenue growth with EBITDA margin of around 15%.
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Sources & References
- The Anup Engineering Limited, Q1 FY2027 Investor Presentation, 6 August 2026.
- The Anup Engineering Limited, Q1 FY2027 Earnings Conference Call Transcript, 6 August 2026.
- The Anup Engineering Limited, Unaudited Consolidated and Standalone Financial Results for the quarter ended 30 June 2026.
- The Anup Engineering Limited, Q4 & FY2026 Investor Presentation.
- The Anup Engineering Limited, FY2025-26 Annual Report.
- BSE Limited & National Stock Exchange of India (NSE) Corporate Disclosures for The Anup Engineering Limited
- Ticker Finology The Anup Engineering Page
Disclaimer
The information presented above on The Anup Engineering has been compiled from the company's Annual Reports, Investor Presentations, Earnings Call (Concall) Transcripts, official regulatory filings and the financial data available on Finology Ticker. Certain figures, classifications or comparisons may vary due to differences in accounting policies, reporting methodologies or subsequent restatements by the company. This content is intended solely for informational purposes and should not be considered as investment advice. Investors are advised to refer to the latest company filings and the updated financial data, ratios and disclosures available on this Finology Ticker The Anup Engineering page before making any investment decision. Investment in securities market are subject to market risks. Read all the related documents carefully before investing.