Thermon Reports Q1 Fiscal 2026 Results Amid Challenges

Thermon ( (THR) ) has released its Q1 earnings. Here is a breakdown of the information Thermon presented to its investors.

Thermon Group Holdings, Inc., headquartered in Austin, Texas, is a global leader in industrial process heating solutions, providing essential services such as flow assurance, process heating, and temperature maintenance across various sectors including chemical, petrochemical, and renewable energy.

In its first quarter of fiscal 2026, Thermon reported a revenue of $108.9 million, marking a 5.4% decrease from the previous year, primarily due to market uncertainties and delayed backlog conversion. Despite these challenges, the company achieved a slight increase in net income to $8.6 million, with earnings per diluted share rising to $0.26.

Key financial metrics for the quarter included a gross profit of $48.0 million, a gross margin improvement to 44.1%, and an adjusted EBITDA of $21.2 million, reflecting an 8.6% decline. The company also reported a robust backlog growth of 27.1% year-over-year, driven by strong demand in key markets and strategic initiatives focusing on decarbonization and digitization.

Looking ahead, Thermon maintains a positive outlook for fiscal 2026, reaffirming its full-year guidance. The company is optimistic about its strategic positioning to capitalize on secular trends such as electrification and re-shoring, while continuing to execute its margin improvement initiatives and maintaining financial discipline.