{"id":14518,"date":"2026-08-20T10:37:15","date_gmt":"2026-08-20T10:37:15","guid":{"rendered":"https:\/\/www.incredmoney.com\/blog\/?p=14518"},"modified":"2026-08-20T10:37:29","modified_gmt":"2026-08-20T10:37:29","slug":"the-tempsens-instruments-india-ipo","status":"publish","type":"post","link":"https:\/\/www.incredmoney.com\/blog\/the-tempsens-instruments-india-ipo\/","title":{"rendered":"Feel The Heat: The Tempsens Instruments (India) IPO"},"content":{"rendered":"<p><em>Tempsens Instruments (India) Limited is going for an IPO. They hold a ~11% share of India&#8217;s temperature sensor market, and is the country&#8217;s only domestic manufacturer of non-contact sensors.<\/em><\/p>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"ipo-summary\">IPO Summary<\/h2>\n<div class=\"pencraft pc-display-flex pc-alignItems-center pc-position-absolute pc-reset header-anchor-parent\"><\/div>\n<div class=\"captioned-image-container\">\n<figure>\n<div class=\"image2-inset\"><picture><source srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 1456w\" type=\"image\/webp\" sizes=\"100vw\" \/><img decoding=\"async\" class=\"sizing-normal\" src=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png\" sizes=\"100vw\" srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!isx8!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png 1456w\" alt=\"\" width=\"600\" height=\"441.34615384615387\" data-attrs=\"{&quot;src&quot;:&quot;https:\/\/substack-post-media.s3.amazonaws.com\/public\/images\/88b03c6b-af58-4076-aac8-dc3e2f74d722_2048x1507.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:1071,&quot;width&quot;:1456,&quot;resizeWidth&quot;:600,&quot;bytes&quot;:null,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:false,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}\" \/><\/picture><\/div>\n<\/figure>\n<\/div>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"introduction\">Introduction<\/h2>\n<div class=\"pencraft pc-display-flex pc-alignItems-center pc-position-absolute pc-reset header-anchor-parent\"><\/div>\n<p>India\u2019s non-contact temperature sensor market has one problem: almost none of it is made in India.<\/p>\n<p>The domestic temperature sensor market is worth ~\u20b91,880 Cr in FY26, and the country depends almost entirely on imports for it. But, one company builds pyrometers and thermal imagers domestically.<\/p>\n<p>Tempsens Instruments (India) Limited designs and manufactures temperature sensing solutions, electrical heating solutions, and specialised cables for industries such as power, steel, oil and gas, defence, and aerospace.<\/p>\n<p>It is the largest manufacturer of contact and non-contact temperature sensors in India by revenue.<\/p>\n<p>And they\u2019re going public, with an IPO consisting of a Fresh Issue of ~\u20b995 Cr and an Offer for Sale of ~\u20b9555 Cr.<\/p>\n<p>Of the fresh issue proceeds, some will go towards capacity expansion in electrical heating and specialised cables, rest towards repayment of borrowings.<\/p>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"the-business-model\">The Business Model<\/h2>\n<div class=\"pencraft pc-display-flex pc-alignItems-center pc-position-absolute pc-reset header-anchor-parent\"><\/div>\n<p>Tempsens operates through\u00a0<strong>three product verticals<\/strong>:<\/p>\n<ul>\n<li>temperature sensing solutions,<\/li>\n<li>electrical heating solutions, and<\/li>\n<li>specialised cables.<\/li>\n<\/ul>\n<p>All three verticals sell into the same set of industries, including metal, petrochemical, power, oil and gas, defence, and glass.<\/p>\n<p>The company operates on a make-to-order basis.<\/p>\n<p>A customer specifies technical requirements, Tempsens converts those into engineering drawings, and production begins only once the design is approved.<\/p>\n<div class=\"captioned-image-container\">\n<figure>\n<div class=\"image2-inset\">\n<picture><source srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 1456w\" type=\"image\/webp\" sizes=\"100vw\" \/><img fetchpriority=\"high\" decoding=\"async\" class=\"sizing-normal\" src=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png\" sizes=\"100vw\" srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!tqlG!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png 1456w\" alt=\"\" width=\"1128\" height=\"526\" data-attrs=\"{&quot;src&quot;:&quot;https:\/\/substack-post-media.s3.amazonaws.com\/public\/images\/f7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:526,&quot;width&quot;:1128,&quot;resizeWidth&quot;:null,&quot;bytes&quot;:324486,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:&quot;image\/png&quot;,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:&quot;https:\/\/ipoanalysis.substack.com\/i\/211869604?img=https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Ff7397681-0814-4f03-be98-5955fa0f57e0_1128x526.png&quot;,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}\" \/><\/picture>\n<div class=\"image-link-expand\">\n<div class=\"pencraft pc-display-flex pc-gap-8 pc-reset\"><\/div>\n<\/div>\n<\/div><figcaption class=\"image-caption\">Source: Tempsens RHP<\/figcaption><\/figure>\n<\/div>\n<p>Tempsens generates revenue from two streams:\u00a0<strong>Projects\/OEM business<\/strong>, which involves large orders for new installations or plant upgrades, and\u00a0<strong>MRO (maintenance, repair and operations) business<\/strong>, involving smaller, recurring replacement orders once existing equipment reaches the end of its service life.<\/p>\n<p>They run 15 manufacturing units globally,\u00a0<mark data-color=\"#ffe599\">ten in Udaipur<\/mark>\u00a0and five overseas across\u00a0<mark data-color=\"#ffe599\">UAE, South Korea, Indonesia, Germany, and Poland<\/mark>.<\/p>\n<p>Tempsens\u2019 top 10 customers contributed ~19% of revenue in FY26 and its top 20 customers have stayed with it for an average of 10 years.<\/p>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"unit-economics\">Unit Economics<\/h2>\n<div class=\"pencraft pc-display-flex pc-alignItems-center pc-position-absolute pc-reset header-anchor-parent\"><\/div>\n<div class=\"captioned-image-container\">\n<figure>\n<div class=\"image2-inset\"><picture><source srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 1456w\" type=\"image\/webp\" sizes=\"100vw\" \/><img decoding=\"async\" class=\"sizing-normal\" src=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png\" sizes=\"100vw\" srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!F6g8!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png 1456w\" alt=\"\" width=\"572\" height=\"493.82142857142856\" data-attrs=\"{&quot;src&quot;:&quot;https:\/\/substack-post-media.s3.amazonaws.com\/public\/images\/7e585718-0e0d-42de-81fd-c7c2f891eb21_2048x1768.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:1257,&quot;width&quot;:1456,&quot;resizeWidth&quot;:572,&quot;bytes&quot;:null,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}\" \/><\/picture><\/div>\n<\/figure>\n<\/div>\n<ul>\n<li><strong>Material costs<\/strong>, the largest line, fell from \u20b962 per \u20b9100 of revenue in FY24 to \u20b956 in FY26. This two-year decline is a big driver of margin expansion.<\/li>\n<li><strong>Employee costs<\/strong>\u00a0rose steadily, from \u20b911 per \u20b9100 of revenue in FY24 to \u20b914 in FY26, reflecting the headcount added through the Marathon Heater amalgamation and a few acquisitions.<\/li>\n<li><strong>EBITDA<\/strong>\u00a0expanded from \u20b922 per \u20b9100 of revenue in FY24 to \u20b925 in FY26, with the fall in material costs doing most of the work.<\/li>\n<\/ul>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"operating-metrics\">Operating Metrics<\/h2>\n<ul>\n<li><strong>Revenue Mix by Vertical:\u00a0<\/strong>Electrical Heating Solutions\u2019 share of revenue rose more than fivefold, from 4% in FY24 to 21% in FY26, largely through the Marathon Heater amalgamation completed in FY25. Temperature Sensing Solutions\u2019 share fell correspondingly, though it\u2019s still the\u00a0<mark data-color=\"#ffe599\">largest vertical in absolute terms<\/mark>.<\/li>\n<\/ul>\n<div class=\"captioned-image-container\">\n<figure>\n<div class=\"image2-inset\">\n<picture><source srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 1456w\" type=\"image\/webp\" sizes=\"100vw\" \/><img decoding=\"async\" class=\"sizing-normal\" src=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png\" sizes=\"100vw\" srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!QeSh!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fe66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png 1456w\" alt=\"\" width=\"578\" height=\"357.2802197802198\" data-attrs=\"{&quot;src&quot;:&quot;https:\/\/substack-post-media.s3.amazonaws.com\/public\/images\/e66412cf-28d6-4b52-bfb9-198b5bb9e6de_2048x1266.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:900,&quot;width&quot;:1456,&quot;resizeWidth&quot;:578,&quot;bytes&quot;:null,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}\" \/><\/picture>\n<div class=\"image-link-expand\">\n<div class=\"pencraft pc-display-flex pc-gap-8 pc-reset\"><\/div>\n<\/div>\n<\/div>\n<\/figure>\n<\/div>\n<ul>\n<li><strong>R&amp;D Expenditure\u00a0<\/strong>grew from \u20b90.31 Cr in FY24 to \u20b91.16 Cr in FY26, though it still remains just\u00a0<strong>under 0.3% of revenue<\/strong>. Tempsens Instruments has produced 12 granted patents till date.<\/li>\n<\/ul>\n<div class=\"captioned-image-container\">\n<figure>\n<div class=\"image2-inset\">\n<picture><source srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 1456w\" type=\"image\/webp\" sizes=\"100vw\" \/><img decoding=\"async\" class=\"sizing-normal\" src=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png\" sizes=\"100vw\" srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!ZO_V!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png 1456w\" alt=\"\" width=\"578\" height=\"357.2802197802198\" data-attrs=\"{&quot;src&quot;:&quot;https:\/\/substack-post-media.s3.amazonaws.com\/public\/images\/5065ba85-7559-4ef8-bd0a-bd292447bb83_2048x1266.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:900,&quot;width&quot;:1456,&quot;resizeWidth&quot;:578,&quot;bytes&quot;:null,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}\" \/><\/picture>\n<div class=\"image-link-expand\">\n<div class=\"pencraft pc-display-flex pc-gap-8 pc-reset\"><\/div>\n<\/div>\n<\/div>\n<\/figure>\n<\/div>\n<ul>\n<li><strong>Export revenue<\/strong>\u00a0grew from \u20b959 Cr in FY24 to \u20b9126 Cr in FY26, a CAGR of ~46%,\u00a0<mark data-color=\"#ffe599\">more than double the growth rate of domestic revenue<\/mark>\u00a0over the same period.<\/li>\n<\/ul>\n<div class=\"captioned-image-container\">\n<figure>\n<div class=\"image2-inset\"><picture><source srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 1456w\" type=\"image\/webp\" sizes=\"100vw\" \/><img decoding=\"async\" class=\"sizing-normal\" src=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png\" sizes=\"100vw\" srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!eL2T!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png 1456w\" alt=\"\" width=\"578\" height=\"357.2802197802198\" data-attrs=\"{&quot;src&quot;:&quot;https:\/\/substack-post-media.s3.amazonaws.com\/public\/images\/6c3ff681-8d6f-4bc8-9a92-95dc2f92b6ff_2048x1266.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:900,&quot;width&quot;:1456,&quot;resizeWidth&quot;:578,&quot;bytes&quot;:null,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}\" \/><\/picture><\/div>\n<\/figure>\n<\/div>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"the-financial-stuff\">The Financial Stuff<\/h2>\n<div class=\"pencraft pc-display-flex pc-alignItems-center pc-position-absolute pc-reset header-anchor-parent\"><\/div>\n<div class=\"captioned-image-container\">\n<figure>\n<div class=\"image2-inset\"><picture><source srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_424,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_848,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_1272,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_1456,c_limit,f_webp,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 1456w\" type=\"image\/webp\" sizes=\"100vw\" \/><img decoding=\"async\" class=\"sizing-normal\" src=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png\" sizes=\"100vw\" srcset=\"https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_424,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 424w, https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_848,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 848w, https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_1272,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 1272w, https:\/\/substackcdn.com\/image\/fetch\/$s_!CKpE!,w_1456,c_limit,f_auto,q_auto:good,fl_progressive:steep\/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2Fb74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png 1456w\" alt=\"\" width=\"584\" height=\"688.2857142857143\" data-attrs=\"{&quot;src&quot;:&quot;https:\/\/substack-post-media.s3.amazonaws.com\/public\/images\/b74b639f-775c-48d4-a1ef-794e95390f01_1738x2048.png&quot;,&quot;srcNoWatermark&quot;:null,&quot;fullscreen&quot;:null,&quot;imageSize&quot;:null,&quot;height&quot;:1716,&quot;width&quot;:1456,&quot;resizeWidth&quot;:584,&quot;bytes&quot;:null,&quot;alt&quot;:null,&quot;title&quot;:null,&quot;type&quot;:null,&quot;href&quot;:null,&quot;belowTheFold&quot;:true,&quot;topImage&quot;:false,&quot;internalRedirect&quot;:null,&quot;isProcessing&quot;:false,&quot;align&quot;:null,&quot;offset&quot;:false}\" \/><\/picture><\/div>\n<\/figure>\n<\/div>\n<ul>\n<li><strong>Revenue from Operations<\/strong>\u00a0grew from \u20b9275 Cr in FY24 to \u20b9445 Cr in FY26, a CAGR of 27%.<\/li>\n<li><strong>Finance Costs\u00a0<\/strong>more than tripled, from \u20b91.59 Cr to \u20b95.22 Cr, tracking the rise in short-term borrowings used to fund working capital.<\/li>\n<li><strong>Profit After Tax\u00a0<\/strong>grew from \u20b940.92 Cr in FY24 to \u20b971.07 Cr in FY26, a CAGR of 31.79%. On an\u00a0<strong>adjusted basis<\/strong>, which strips out the amortisation impact of the Marathon amalgamation and other acquisitions, PAT was \u20b975 Cr in FY26.<\/li>\n<\/ul>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"key-risks\">Key Risks<\/h2>\n<ul>\n<li><strong>Revenue concentration:<\/strong>\u00a0The Projects\/OEM segment contributed ~68% of revenue in FY26, and the smaller MRO business isn\u2019t big enough to cushion a slowdown in project awards.<\/li>\n<li><strong>Import dependency.<\/strong>\u00a0Imported materials were ~20% of purchases in FY26, up from 14% in FY24, exposing margins to currency and duty swings on orders priced before procurement.<\/li>\n<\/ul>\n<h2 class=\"header-anchor-post\" class=\"header-anchor-post\" id=\"conclusion\">Conclusion<\/h2>\n<div class=\"pencraft pc-display-flex pc-alignItems-center pc-position-absolute pc-reset header-anchor-parent\"><\/div>\n<p>Tempsens Instruments sells engineered products as India\u2019s only domestic maker of non-contact temperature sensors, and its make-to-order model across three product verticals, gives it pricing power that shows up in a large EBITDA Margin low 0.2x leverage. But, the Projects\/OEM business supplies two-thirds of revenue and is lumpy by nature.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Tempsens Instruments (India) Limited is going for an IPO. They hold a ~11% share of India&#8217;s temperature sensor market, and is the country&#8217;s only domestic manufacturer of non-contact sensors. IPO Summary Introduction India\u2019s non-contact temperature sensor market has one problem: almost none of it is made in India. The domestic temperature sensor market is worth [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":14519,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[59],"tags":[2],"class_list":["post-14518","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ipo","tag-blog"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Feel The Heat: The Tempsens Instruments (India) IPO - InCred Money<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.incredmoney.com\/blog\/the-tempsens-instruments-india-ipo\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Feel The Heat: The Tempsens Instruments (India) IPO - InCred Money\" \/>\n<meta property=\"og:description\" content=\"Tempsens Instruments (India) Limited is going for an IPO. They hold a ~11% share of India&#8217;s temperature sensor market, and is the country&#8217;s only domestic manufacturer of non-contact sensors. IPO Summary Introduction India\u2019s non-contact temperature sensor market has one problem: almost none of it is made in India. 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