The shares of the leading forging company gained up to 2 percent after the company’s subsidiary has been granted a defence license for the manufacture of various defence products.
Bharat Forge Ltd has a market capitalization of Rs 79,477.32 crore, the shares were trading at Rs 1,705.00 per share, decreasing around 1.68 percent as compared to the previous closing price of Rs 1,734.15 apiece.
Reason for rise:-
According to the company filing, Kalyani Strategic Systems Limited (“KSSL”), a wholly-owned subsidiary of Bharat Forge Ltd granted defence license by the Department for Promotion of Industry & Internal Trade under The Industries (Development and Regulation) Act, 1951, for the manufacture of various defence products at its Jejuri unit.
Also read
Financial performance:-
Looking into Bharat Forge Ltd’s financial performance, revenue soared by 14 percent, from Rs 3,629 crore in Q4FY23 to Rs 4,164 crore in Q4FY24. During the same period, net profit magnified significantly by 77 percent, from Rs 128 crore to Rs 227 crore.
Order book:-
The company has executable order book stands at Rs 5,192 Crores as of March 31, 2024. The company has set up an AI/Digital manufacturing center which will catalyze the engineering/ manufacturing activities enable productivity improvement and shorten the time to market products.
Ratio analysis:-
In terms of major financial measures, the firm recorded a return on equity of 13.26% and a return on capital employed of 19.23% for the fiscal years 23-24. In addition, the net profit margin was 5.76 percent within the same time period.
Company profile:-
Bharat Forge Limited is an India-based global manufacturer of safety and vital components and solutions for industries such as automotive, railroads, defense, construction, mining, aerospace, marine, and oil & gas. The company’s segments include Forgings and Others.
Written by:- Abhishek Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
