Thermon Group reported consolidated revenue of $147.3 million for the third quarter of fiscal 2026, representing a 9.6% year-over-year increase. Gross profit rose by 10.5% to $68.7 million, driving a gross margin expansion to 46.6%. On a GAAP basis, net income was $18.3 million, or $0.55 per diluted share, compared to $0.56 per share in the prior-year quarter. Non-GAAP adjusted net income improved 15.3% to $21.9 million, or $0.66 per diluted share, while adjusted EBITDA grew 11.9% to $35.6 million, resulting in an adjusted EBITDA margin of 24.2%.

Thermon secured new orders of $158.2 million during the quarter, up 14.1% from the year-ago period, delivering a book-to-bill ratio of 1.1x. Continued strong bookings across petrochemical, power generation and infrastructure end markets underpin utilization of the company’s global manufacturing footprint. The balance sheet remains solid, with a net leverage ratio of 0.8x, providing financial flexibility for strategic investments and potential bolt-on acquisitions.

Thermon reported non-GAAP adjusted EPS of $0.66 for Q3, surpassing the consensus estimate of $0.59 per share. This marks a notable improvement over the $0.56 per share reported in the third quarter of fiscal 2025. The upside was driven by higher gross margins and disciplined operating expense management, as well as favorable foreign exchange impacts in key international markets.

In light of the quarter’s performance, management has raised full-year fiscal 2026 guidance for revenue growth and adjusted EBITDA. The company now expects consolidated revenue growth to exceed prior projections and anticipates adjusted EBITDA margin expansion driven by continued cost efficiencies and higher utilization. CEO Bruce Thames emphasized that record bookings and historic profitability positions Thermon to deliver on its long-term financial targets.