Quarterly Earnings
Ramkrishna Forgings Q1 FY27 Results: PAT Jumps 298% YoY, Revenue Up 20%, Announces ₹170 Crore Capex
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Ramkrishna Forgings Limited reported a strong start to FY27 with revenue increasing 19.8% YoY to ₹1,217 crore and profit after tax rising 297.6% YoY to ₹47 crore. EBITDA grew 47% YoY with significant margin expansion. The company also announced a ₹170 crore capital expenditure plan to expand passenger vehicle component manufacturing capacity.
PRICE-SENSITIVE TRIGGER
Event: Ramkrishna Forgings Q1 FY27 Results
Type: Quarterly Earnings
Impact: Positive
Immediate Effect: Strong earnings growth, improving operating margins and a new capacity expansion plan reinforce the company’s long-term growth outlook.
Metrics:
Key Financial Metrics:
- Revenue from Operations: ₹1,217 crore (+19.8% YoY)
- EBITDA: ₹218 crore (+47.0% YoY, +4.9% QoQ)
- EBITDA Margin: 17.96% (+332 bps YoY, +85 bps QoQ)
- PAT: ₹47 crore (+297.6% YoY, -16.2% QoQ)
- PAT Margin: 3.85% (+269 bps YoY, -74 bps QoQ)
- Profit Before Tax: ₹65 crore (vs ₹24 crore in Q1 FY26)
- Capital Expenditure: ₹170 crore
Highlight:
- PAT Growth: 297.6% YoY
What Happened ?
Ramkrishna Forgings delivered strong Q1 FY27 financial performance driven by healthy domestic demand, export growth and improved operating leverage.
Revenue from operations rose to ₹1,217 crore while EBITDA increased to ₹218 crore, resulting in EBITDA margin expansion to 17.96%.
Net profit increased nearly fourfold year-on-year to ₹47 crore, reflecting improved profitability and business mix.
The company also announced a ₹170 crore capital expenditure program to manufacture passenger vehicle components and install a 4,000 metric tonne press line for expanding forging capacity.
Additionally, Mr. Chaitanya Jalan was redesignated as Joint Managing Director effective July 24, 2026.
key details
Business & Strategic Updates:
- Revenue increased 19.8% YoY to ₹1,217 crore.
- EBITDA rose 47.0% YoY to ₹218 crore.
- EBITDA margin expanded to 17.96%.
- PAT increased 297.6% YoY despite a sequential decline.
- Profit Before Tax improved significantly to ₹65 crore.
- Company announced ₹170 crore capex.
- Investment will support passenger vehicle component manufacturing.
- New 4,000 MT press line will expand forging capacity.
- Chaitanya Jalan redesignated as Joint Managing Director.
- Management highlighted:
- Strong domestic demand.
- Healthy export growth.
- Better operating leverage.
- Improved product mix.
- Company continues building its presence in aerospace and semiconductor forgings.
Note:
- The capex announcement complements the company’s long-term strategy of expanding capacity, entering higher-value segments and improving manufacturing capabilities.
Risk Analysis
Summary:
Although quarterly performance remained strong, future growth depends on successful execution of expansion projects, continued demand across automotive markets and sustained export momentum.
Key Risks:
- PAT declined 16.2% sequentially.
- Execution risk associated with the ₹170 crore capex project.
- Export market recovery remains important.
- Automotive demand cycles may affect utilization.
- Macroeconomic and regulatory uncertainties remain.
Worst Case:
- Delays in commissioning new capacity or weaker demand across domestic and export markets could slow revenue growth and margin expansion.
Risk Level: Medium
Company Commentary
- FY27 has begun with strong business momentum.
- Domestic demand and export growth remained healthy.
- Improved operating leverage strengthened profitability.
- Capacity expansion and value-added products will support future growth.
- Ramkrishna Forgings remains optimistic about opportunities in aerospace, semiconductor and other high-growth industrial segments.
Official Exchange Filing: Ramkrishna Forgings Limited
