CareEdge Ratings has assigned a CARE A1+ rating to Thermax Limited for its commercial paper. This rating reflects Thermax’s strong market position in energy and environment solutions. It also highlights the company’s strong execution capabilities, diversified product portfolio, and solid financial standing. Thermax’s healthy growth and improved profitability in recent years have contributed to this positive rating. The rating was communicated to the company on January 12, 2026.
CareEdge Rating
Thermax Limited has received a CARE A1+ rating from CareEdge Ratings for its short-term instruments, specifically commercial paper. This rating indicates a high degree of safety regarding timely payment of financial obligations.
Key Strengths
The CARE A1+ rating reflects several strengths of Thermax, including its leadership position in the energy and environment sectors. Additional factors include the company’s proven execution capabilities and diversified range of products. A robust financial risk profile, marked by low leverage and strong liquidity, further supports the rating.
Financial Performance
Thermax has demonstrated healthy growth over the past few years across its operations. The company’s scale of operations grew at a compound annual growth rate (CAGR) of approximately 19% from FY22 to FY25. Operating profit margins have also improved, increasing from 6.42% in FY22 to 9.25% in FY25. This improved profitability is attributed to gains in the industrial product and chemical segments.
Source: BSE
