Refex Industries Surges on ₹100 Crore Order and Stellar Q2 Performance

Refex Industries' stock price experienced a significant surge, climbing up to 13% to an intraday high of ₹362 on Friday, November 28, 2025. This upward movement was propelled by the company announcing a major new order worth approximately ₹100 crore and by the release of robust Q2 financial results for FY26.

New Order Boosts Refex Industries

• Refex Industries Limited announced on Friday that it has procured a substantial order valued at around ₹100 crore.
• The order involves the excavation, loading, and transportation of pond ash or bottom ash, services crucial for various industrial and infrastructure projects.
• This significant contract is expected to be executed within a timeframe of four months.
• The order comes from a prominent business conglomerate, indicating strong demand for Refex Industries' core operational capabilities.

Strong Q2 Financial Performance

• The company's financial performance in the second quarter of FY26 (Q2FY26) showed considerable improvement.
• Revenue from continuing operations stood at ₹431 crore.
• EBITDA surged by approximately 72% year-on-year to ₹73.82 crore, up from ₹42.86 crore in Q2FY25, reflecting improved operational efficiency.
• The EBITDA margin expanded significantly to 17.44% in Q2FY26.
• Net profit for the quarter rose to ₹52.08 crore, a notable increase from ₹33.70 crore in Q2FY25.
• The net profit margin also improved to 12.09% in Q2FY26.

Strategic Expansion Through Subsidiary

• Earlier in the week, Refex Industries informed about the incorporation of a new entity, Venwind Refex Projects Limited.
• This company was incorporated on November 25, 2025, as a wholly-owned subsidiary of Venwind Refex Power Limited.
• Consequently, Venwind Refex Projects Limited has become a step-down subsidiary of Refex Industries Limited, signalling strategic growth initiatives.

Management Commentary

• Anil Jain, Chairman and Managing Director of Refex Industries, commented on the Q2 performance.
• He stated that Q2 reflected a steady improvement, recovering from an early monsoon-led slowdown in Q1 and continued monsoon impact in Q2.
• Jain highlighted that the Ash & Coal Handling segment showed recovery, supported by new project ramp-ups despite challenging weather conditions.
• He reiterated the company's focus on disciplined execution, cost efficiency, and sustainable growth for the second half of the fiscal year.

Company Overview

• Refex Industries Limited is a diversified Indian enterprise founded in 2002.
• Its primary operations include eco-friendly refrigerant gases, coal and ash handling for thermal power plants, and power trading.
• The company is part of the larger Refex Group, which is involved in renewable energy, medical technologies, and green mobility solutions.

Impact

• The ₹100 crore order is expected to significantly boost Refex Industries' revenue and profitability in the coming quarters.
• Strong Q2 results demonstrate the company's operational resilience and efficiency, likely enhancing investor confidence.
• The strategic incorporation of a new subsidiary may signal future expansion or diversification efforts, potentially creating long-term value.
• The stock's positive movement reflects market appreciation for these developments.
• Impact Rating: 7/10

Difficult Terms Explained

• Scrip: Refers to a company's stock or share.
• BSE Sensex: A benchmark index of the Bombay Stock Exchange, representing the performance of 30 large, well-established companies.
• Intraday High: The highest price a stock reached during a single trading day.
• Exchange Filing: Official communication from a company to stock exchanges, usually disclosing important information to the public.
• Pond ash/Bottom ash: By-products from coal combustion in power plants, often used in construction or infrastructure projects.
• Wholly-owned subsidiary: A company controlled by another company (the parent company) that owns 100% of its shares.
• Step-down subsidiary: A company that is indirectly controlled by a parent company, typically through an intermediate subsidiary.
• Q2FY26: The second quarter of the fiscal year 2025-2026.
• Ebitda: Earnings Before Interest, Taxes, Depreciation, and Amortization – a measure of a company's operating performance.
• Ebitda Margin: EBITDA divided by revenue, showing how much profit a company makes from its operations per dollar of sales.
• Net Profit Margin: Net profit divided by revenue, indicating the percentage of profit earned from sales.
• BAU: Business As Usual – refers to normal operational activities.