Pune-based automotive forging company Bharat Forge on Monday, November 6, reported that its consolidated net profit rose nearly 52% year-on-year (YoY) to ₹214.86 crore in the July to September quarter of FY24 against ₹141.55 crore in the same quarter of FY23.
The
company's revenue from operations increased 22.6% to
₹3,774 crore in the second quarter, driven by a growth in export and a growth in domestic revenue. It was
₹3,076 crore in the corresponding quarter of last fiscal.
Whereas the total expenses of the company increased 21% to ₹3,488 crore in Q2FY24 from ₹2,885 crore in Q2FY23.
Bharat Forge's EBITDA (earnings before interest, taxation, depreciation, and amortization) stood at ₹606.8 crore, up 34% from ₹453 crore in the same quarter last year. EBITDA margin expanded to 27%, as against 24.3% in the year-ago period, driven by operating leverage and a sharp focus on cost control.
The
strong financial performance and debt reduction of
₹307 crore resulted in ROCE (net-of-cash) inching closer to the 20% mark, the company said in a regulatory filing.
Defence vertical secured new biz worth ₹1,100 cr
Bharat Forge's defence business continues to move from strength to strength in terms of execution and order wins. During the quarter, the company’s defence vertical, KSSL secured new business worth ₹1,100 crore taking the executable order book to ₹3,000 crore, over the coming 24 months.
The overseas operations performance has also shown improvement, the company said.
"Barring any untoward global disturbances which may impact demand sentiment, we expect the momentum in our businesses to continue in H2 FY24 performance along with strong cash flow generation,” said Chairman and Managing Director BN Kalyani.
Following the quarterly earnings announcement, shares of Bharat Forge Ltd rallied 3.59% to trade at ₹1,067.90 apiece on the NSE. The scrip has gained 36% in the last six months.
First Published: Nov 6, 2023 12:42 PM IST
