The article outlines the growth outlook and its factors for the company, which specializes in pipe support systems, metal fabrication, and international quality-certified infrastructure products
With a market capitalization of Rs 1,099 crore, Tembo Global Industries Ltd’s share was trading at Rs 59.3 per share, flat from its previous close. The stock of the company gave no return over the last year.
About the Company
Tembo Global Industries is an engineering and manufacturing company that provides products and solutions for infrastructure and industrial projects. Its main business includes pipe support systems, metal fabrication, fasteners, anchors, MEP and HVAC products, and related engineering solutions.
The company also operates in areas such as textiles, solar power, defence, and aerospace. However, Engineering and EPC remains its main business, with the newer segments expected to support future growth.
Tembo Global has entered the ammunition manufacturing business through its subsidiary, Tembo Classic Engineering Pvt. Ltd., which has received the required ammunition manufacturing licence. The company has acquired land for its Amravati facility and plans to begin prototypes and production in Q3 FY27, with the first batch expected in Q4 FY27.
How much money did the company make as of Q1 FY27?
QoQ: Revenue declined to Rs 302 crore in Q1 FY27 from Rs 346 crore in Q4 FY26, down 13 percent QoQ. EBITDA declined to Rs 49.2 crore in Q1 FY27 from Rs 39.0 crore in Q4 FY26, up 26 percent QoQ. Net profit increased to Rs 31.2 crore in Q1 FY27 from Rs 30.1 crore in Q4 FY26, up 4 percent QoQ. EPS stood at Rs 1.62 in Q1 FY27 compared with Rs 1.45 in Q4 FY26, up 12 percent QoQ.
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YoY Performance: Revenue increased to Rs 302 crore in Q1 FY27 from Rs 248 crore in Q1 FY26, registering 22 percent growth YoY. EBITDA increased to Rs 49.2 crore in Q1 FY27 from Rs 28.2 crore in Q1 FY26, up 75 percent YoY. Net profit increased to Rs 31.2 crore in Q1 FY27 from Rs 20.1 crore in Q1 FY26, up 58 percent YoY. EPS stood at Rs 1.62 in Q1 FY27 compared with Rs 1.23 in Q1 FY26, up 32 percent YoY.
What is its FY27 guidance?
Tembo Global has guided for revenue of around Rs 1,600 crore in FY27, compared with Rs 1,090 crore in FY26. This implies revenue growth of around 46.7 percent, with management expecting the company to sustain its growth momentum during the year.
Along with the revenue target, the company is targeting an EBITDA margin of 16 to 18 percent at the company level in FY27. This reflects management’s focus on maintaining profitability while scaling revenue across its business segments.
What Will Drive Tembo Global’s Rs 1,600 Crore FY27 Revenue Target?
Strong order book: Tembo Global has an order book of more than Rs 1,500 crore, along with a bidding pipeline of over Rs 2,400 crore. Engineering and EPC remains the main growth driver, supported by demand from infrastructure, oil and gas, water, marine and industrial projects.
Engineering and EPC expansion: The company is targeting Rs 1,600 crore revenue in FY27, implying around 47 percent growth from FY26. Higher execution of existing orders, manufacturing capacity utilisation and new project wins are expected to support this target.
Solar, defence and aerospace: Solar projects are expected to contribute around Rs 50 to 60 crore in FY27. Defence is targeted to generate Rs 300 to 350 crore in FY28, while the aerospace and UAV business has an initial revenue potential of around Rs 100 crore.
Order conversion and execution: The Rs 2,400 crore bidding pipeline is not yet confirmed revenue. Its contribution will depend on converting bids into orders and executing them on time, while the newer businesses gradually add to the company’s revenue base.
Conclusion
Tembo Global’s Rs 1,500 crore plus order book provides a strong base for its Rs 1,600 crore FY27 revenue target, while the Rs 2,400 crore plus bidding pipeline offers additional growth potential. Its Engineering and EPC business remains the key driver, supported by demand across infrastructure, oil and gas, water and industrial projects.
However, the Rs 2,400 crore pipeline is not yet confirmed revenue, making order conversion and execution important for the growth target. At the same time, solar, defence and aerospace businesses are expected to add further revenue as they scale, supporting the company’s broader growth outlook.