Electrical Industrial ApparatusIFRS · EUR

Thermon Group Holdings, Inc.

Thermon Group Holdings, Inc. designs and supplies engineered industrial process heating solutions for process industries worldwide. Its portfolio includes heating cables, heating units, boilers, blankets, tubing bundles, software, and related engineering, installation, and maintenance services, supported by manufacturing and distribution operations across North America, Europe, and Asia-Pacific.

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Revenue536m EUR
+7.6 %y/y
Operating profit (EBIT)70.7m EUR
−11.3 %y/y
EBIT margin13.2%
−2.8 ppy/y
Net income44.6m EUR
−16.7 %y/y
Free cash flow32.9m EUR
−37.8 %y/y

Fiscal year 2026 · change from previous year

Development 2021–2026

0200400600m EUR2021: 276 m EUR2021: EBIT 7.4 m EUR20212022: 356 m EUR2022: EBIT 38 m EUR20222023: 441 m EUR2023: EBIT 55 m EUR20232024: 495 m EUR2024: EBIT 75 m EUR20242025: 498 m EUR2025: EBIT 80 m EUR20252026: 536 m EUR2026: EBIT 71 m EUR202653671
RevenueOperating profit (EBIT)

Business

Share of revenue
Heat tracing and heating systems45 %

Electric heat tracing, heating cables, blankets, and related industrial heating hardware.

Engineered heating equipment20 %

Heating units, electrode and gas-fired boilers, and other process heating equipment.

Project engineering and installation services20 %

Engineering, installation, maintenance, and project execution services for customer sites.

Software and controls10 %

Design optimization software and wireless/network control systems for heating applications.

Temporary and specialty solutions5 %

Temporary power solutions, tubing bundles, and other complementary products.

Customers

Thermon sells to thousands of industrial customers, including large multinational end users and EPC firms that specify process heating systems during project design and construction. Its end markets include chemical and petrochemical, oil and gas, power generation, food and beverage, commercial, rail and transit, and newer energy-transition applications such as hydrogen, biofuels, thermal energy storage, and carbon capture.

Large industrial end users

Buy engineered heating systems for process reliability, freeze protection, and hazardous-area applications.

EPC companies

Specify and procure Thermon solutions during design and construction of large projects.

Oil and gas operators

Use heat tracing and process heating for pipelines, facilities, and maintenance needs.

Chemical and petrochemical customers

Buy heating systems for process control, safety, and uptime in complex plants.

Power, food, and industrial customers

Purchase heating and control solutions for operations, maintenance, and compliance.

Strategy

Thermon is focused on expanding through acquisitions that fit its process-heating platform and complement its product and service mix. It also emphasizes technology investment, global manufacturing flexibility, and a broader mix of non-oil-and-gas end markets to strengthen its competitive position and reduce dependence on any single industry.

Acquire complementary process-heating businessesMedium term

Adds products, customers, and geographic reach to the core platform.

Expand technology-enabled solutionsMedium term

Software and controls improve differentiation and customer stickiness.

Diversify end-market exposureMedium term

Reduces cyclicality tied to oil, gas, and large capital projects.

Optimize global supply chain and manufacturingShort term

Supports tariff mitigation, local service, and faster customer response.

Geography

Thermon operates globally through sales and service teams and distributors in more than 30 countries, with 11 manufacturing facilities on two continents. Its reportable segments are US-LAM, Canada, EMEA, and APAC, and management disclosed that approximately 52% of revenues in YTD 2026 and 44% in YTD 2025 came from outside the United States.

Risks

Thermon is exposed to cyclical capital spending in large industrial projects, especially in oil, gas, chemical processing, and power markets. It also faces execution risk from acquisitions, tariffs and supply-chain disruption, customer credit risk on project work, and product liability or indemnity claims tied to engineered equipment and field services.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Cyclicality and delays in large capital projects1Acquisition integration and execution risk2Tariffs and trade disruption3Customer credit and retainage risk4Product liability and indemnity claims5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Cyclicality and delays in large capital projectsImpact: HighLikelihood: High

    A meaningful share of demand comes from project-driven industrial spending.

    Exposure: United States and Canada project markets

  2. Acquisition integration and execution riskImpact: MediumLikelihood: Medium

    Growth strategy depends partly on buying complementary businesses.

    Exposure: M&A and post-close integration

  3. Tariffs and trade disruptionImpact: MediumLikelihood: Medium

    Cross-border manufacturing and sourcing can increase landed costs.

    Exposure: Canada-U.S. trade flows and global supply chain

  4. Customer credit and retainage riskImpact: MediumLikelihood: Medium

    Project contracts often involve milestone billing and deferred payment.

    Exposure: Fixed-price projects and EPC customers

  5. Product liability and indemnity claimsImpact: MediumLikelihood: Low

    Engineered equipment and field services can create claims if failures occur.

    Exposure: Installed systems and service work

Accounting

Judgemental items
Revenue recognition

Mix of product sales and project services creates timing differences in reported revenue.

Impact: Point-in-time control transfer versus over-time project progress

Goodwill and intangible assets

Acquisitions can create large intangible balances that may later be impaired.

Impact: Non-cash impairment charges can affect earnings

Income taxes

Global operations and acquisitions increase judgment around tax rates and deferred taxes.

Impact: Effective tax rate and deferred tax balances

Project estimates and retainage

Fixed-price contracts and milestone billing require judgment on collectability and completion.

Impact: Receivables, margins, and revenue timing

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Last updated: 24/09/2026