1. FGD compliance build-out - India has fitted FGD on only 9,280 MW of 2,07,045 MW of coal and lignite capacity, with MoEFCC deadlines running through December 2026; Ducon bids sole on smaller and medium projects and jointly on large ones. Each new thermal unit also needs ash handling and environmental systems, and management confirms the FGD business "is not going away" despite relaxations.
2. Aluminium & ash handling orders - Ducon secured an end-to-end Forced Cooling Network contract for potlines at one of India's largest aluminium smelters, covering supply through commissioning. National aluminium demand is projected to reach 0.85 crore tonnes by 2030, and management sees "tremendous, high-margin opportunities" over the next 5 years in thermal and non-ferrous metals.
3. CCUS demonstration plant - Carbon capture R&D has completed lab validation and is at pilot testing, with a design for a small industrial-size unit and plans for a demonstration plant with a client. The Union Budget 2026-27 proposes ₹20,000 crore for CCUS over five years, and management expects carbon capture revenue "sooner than later".
4. iQ Energy AI commercialization - The platform launched in October 2025, and the company is training its AI model with data from 1-2 existing clients, expecting to solicit customers fully in a couple of months. Ducon claims it can cut unplanned downtime by up to 30% and improve fuel efficiency by 10-15%, targeting a market management sizes at several billion dollars over the next decade.
5. US subsidiary scale-up - Ducon Combustion Equipment Inc. generated ₹197.82 crore revenue and ₹8.39 crore net profit in FY25, roughly 48% of parent revenue. The subsidiary sells diversified combustion and power products and gives Ducon a direct channel to foreign customers for the iQ Energy AI platform.
6. Rights issue funding - The ₹25 crore rights issue at Re. 1 per share, with a 10:13 ratio and record date of August 25, 2026, has in-principle approvals from both BSE and NSE. Proceeds augment working capital, supporting order execution without adding debt to a balance sheet already at 0.63 D/E.