Purpose The purpose of this paper is to determine the temperature distribution of a thin rectangular plate made of thermosensitive functionally graded (FG) material. By finding out thermal deflection and stress resultants, the thermal stresses have been obtained and analyzed. Design/methodology/approach Initially, the rectangular plate is kept at the surrounding temperature. The upper, lower and two parallel sides (y=0, b and z=0, c) are thermally insulated, while other parallel sides (x=0, a) are given convective-type heating, that is, the rate of change of the temperature of the rectangular plate is proportional to the difference between its own temperature and the surrounding temperature. The non-linear heat conduction equation has been converted to linear form by introducing Kirchhoff’s variable transformation and the resultant heat conduction equation is solved by integral transform technique with hyperbolic varying point heat source. Findings A mathematical model is prepared for FG ceramic–metal-based material, in which alumina is selected as the ceramic and nickel as the metal. The thermal deflection and thermal stresses have been obtained for the homogeneous and nonhomogeneous materials. The results are illustrated numerically and depicted graphically for comparison. During this study, one observed that variations are seen in the stresses, due to the variation in the inhomogeneity parameters. Research limitations/implications The paper is constructed purely on theoretical mathematical modeling by considering various parameters and functions. Practical implications This type of theoretical analysis may be useful in high-temperature environments like nuclear components, spacecraft structural members, thermal barrier coatings, etc., as the effect of temperature and evaluation of temperature-dependent and nonhomogeneous material properties plays a vital role for accurate and reliable structural analysis. Originality/value In this paper, the authors have used thermal deflection and resultant stresses to determine the thermal stresses of a thin rectangular plate with temperature- and spatial variable-dependent material properties which is a new and novel contribution to the field.