Ramkrishna Forgings Q2 PAT Jumps to Rs 183 Crore

New Delhi, Oct 24 (PTI) Ramkrishna Forgings on Thursday reported an over two-fold jump in its profit after tax to Rs 183 crore during the September quarter, on higher income.

It posted Rs 80 crore Profit After Tax (PAT) in the July-September period of the preceding 2023-24 fiscal, the company said in an exchange filing.

The company's total income rose to Rs 952.43 crore from Rs 867.97 crore in the year-ago period.

In a separate statement, the company said its board has also approved the first interim dividend of Re 1 per equity share for the FY25.

During the quarter, Ramkrishna Forgings signed a share purchase agreement to sell its 100 per cent stake in its wholly-owned subsidiary, Globe All India Services to Yatra Online, for a cash consideration of Rs 128 crore (net of debt).

In the September quarter, the board also approved the establishment of an Aluminium Forging Facility in Jamshedpur. It has sanctioned an investment of Rs 57.5 crore for the facility, which will primarily serve the electric vehicle (EV) market. The facility will have a total installed capacity of 3,000 MT per annum and is expected to be commissioned by Q2 FY26.

The company completed the acquisition of 100 per cent equity shares of Resortes Libertad S.A. de C.V., an existing Mexican company. Following this acquisition, Resortes Libertad S.A. de C.V. became its wholly-owned subsidiary effective from August 13, 2024. The company has been renamed to Ramkrishna Forgings Mexico S.A. de C.V.

"In this quarter, the company has received a significant order inflow, amounting to Rs 1,522 crore to be executed over a period of four years across various geographies and segment. Further, our capacity expansion plans and initiatives to streamline our corporate structure continue to progress well," Naresh Jalan, Managing Director at Ramkrishna Forgings, said.

Kolkata-based Ramkrishna Forgings is a leading manufacturer of forged metal products.

It manufactures and supplies forgings of carbon and alloy steel, micro alloy steel to sectors like railways, bearings, oil and gas, power and construction and automotive, among others.