Ramkrishna Forgings Q1 profit up 298% as company announces fresh capacity expansion

Ramkrishna Forgings reported a 297.63% year-on-year jump in consolidated profit after tax (PAT) to ₹46.88 crore for the quarter ended June 30, 2026, from ₹11.79 crore a year earlier. Revenue from operations rose 19.84% to ₹1,216.67 crore from ₹1,015.26 crore, while earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 46% to ₹222 crore from ₹152 crore. EBITDA margin expanded to 18.2% from 15% in the corresponding quarter last year.

The forging company's total expenses rose at a slower pace than revenue, increasing 16.07% to ₹1,154.77 crore from ₹994.91 crore.

Sequential performance

 

On a sequential basis, revenue from operations was largely unchanged at ₹1,216.67 crore, compared with ₹1,216.78 crore in the March quarter. Profit after tax declined 16.2% to ₹46.88 crore from ₹55.94 crore, while total expenses edged up marginally to ₹1,154.77 crore from ₹1,154.35 crore.

 

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Fresh capacity expansion

The board approved a ₹170.52 crore capital expenditure plan to strengthen the company's manufacturing capabilities and deepen its presence in the passenger vehicle segment. The investment will be used to set up a 4,000-metric-tonne press line and create additional capacity for manufacturing passenger vehicle components, primarily for export markets.

The project will add 8,800 metric tonnes of annual production capacity, taking the company's total forging capacity beyond its existing 311,400 metric tonnes. According to the company, the expansion is expected to be completed by September 2027 and will be financed through a mix of equity and debt. It said the investment is aimed at expanding its footprint in export-oriented passenger vehicle components while augmenting its forging capabilities to cater to future demand.

Shares of the company settled nearly flat at ₹584.50 on the National Stock Exchange (NSE), ending the session up 0.086%.