The agency has affirmed the company's short-term rating at 'CARE A1+'. CARE Rating stated that the reaffirmation of the ratings assigned to the bank facilities and instruments of Bharat Forge (BFL) continue to factor its established market position as India's largest manufacturer and exporter of auto components, consistently healthy profitability in the Indian manufacturing operations and long-standing relationship with global automotive original equipment manufacturers (OEMs) and Tier-I suppliers, particularly in the commercial vehicle (CV) segment. The rating has positively factored the robust order book position in the defence segment, ramp-up of the greenfield aluminium forging capacity in North America and the funds raised through qualified institutional placement (QIP), which will be largely utilized towards debt repayment/pre-payment. The rating strengths are constrained due to working capital intensive operations and volatility in end-user sectors. Despite diversification, even today, a large proportion of its revenue is derived from the automotive segment, thereby exposing the company to inherent cyclicality of the automobiles industry. The ratings are further constrained on account of the susceptibility of the operating margins to commodity price risk and forex risk. Turnaround in the performance of overseas operations and any large-sized unanticipated debt-funded capex or acquisitions leading to deterioration in the capital structure and debt coverage metrics from the existing levels would continue to remain the key rating monitorable. Bharat Forge (BFL) is the flagship company of the Kalyani Group providing engineering solutions for diverse automotive and industrial applications. It is India's one of the largest forging company with forging-based engine and chassis components with focus on crankshafts and front-axle beams, largest exporter of auto components and amongst the leading manufacturers of industrial components. It has a diversified global customer base including the top five CV and PV manufacturers in the world. The scrip rose 0.88% to currently trade at Rs 1,291.05 on the BSE. Powered by Capital Market - Live

Bharat Forge announced that its wholly owned subsidiary Kalyani Strategic Systems has entered into a Cornerstone Investment Agreement (Cornerstone Investment Agreement) with Edgelab S.p.A, Italy (Edgelab) on 13 December 2024 for the acquisition of 25% of Edgelab's equity share capital, pursuant to its proposed initial public offer. Edgelab is an Innovative SME with expertise in designing and manufacturing of high-tech vehicles in the field of marine robotics, with a variety of application areas including scientific research, archaeology, undersea, offshore applications, underwater professional and port area control. Edgelab specializes in design and manufacture of Autonomous Underwater Vehicles for both civilian purposes and defense applications.Powered by Capital Market - Live

Bharat Forge announced the successful fund raise of Rs 1,650 crore with the closure of its qualified Institutional Placement (QIP) on 9 December 2024. The issue witnessed significant interest across Domestic & Foreign Qualified Institutional investors resulting in more than 10X demand of the issue size. More than 90% allocation was made to marquee Domestic & Foreign Long Only funds and Insurance Companies. The issue of the QIP was done at Rs 1,320 per share while the floor price as per SEBI ICDR was Rs 1,323.54 per share. The QIP proceeds will be utilized for debt repayment and funding of earlier announced inorganic growth initiatives. Powered by Capital Market - Live

The company's board authorized and declared the opening of the issue on Wednesday, 4 December 2024. The floor price of Rs 1,323.54 is at a discount of 3.95% to the previous day's closing price of Rs 1,377.90 on the BSE. The company may offer a discount of not more than 5% on the floor price so calculated for the issue. The issue price will be determined by the company in consultation with the bookrunning lead manager appointed for the issue. Bharat Forge manufactures an extensive array of critical and safety components for several sectors including automobiles (across commercial & passenger vehicle), oil & gas, aerospace, locomotives, marine, energy (across renewable and non-renewable sources), construction, mining and general engineering. The company's consolidated net profit rose 7.2% to Rs 243.59 crore despite a 2.3% decline in net sales to RS 3,688.51 crore in Q2 FY25 over Q2 FY24. Powered by Capital Market - Live

Bharat Forge Ltd is up for a fifth straight session today. The stock is quoting at Rs 1338.25, up 0.97% on the day as on 12:44 IST on the NSE. The benchmark NIFTY is down around 1.01% on the day, quoting at 24030.45. The Sensex is at 79346.41, down 1.11%. Bharat Forge Ltd has slipped around 3.26% in last one month. Meanwhile, Nifty Auto index of which Bharat Forge Ltd is a constituent, has slipped around 1.51% in last one month and is currently quoting at 23517.35, down 1.22% on the day. The volume in the stock stood at 7.67 lakh shares today, compared to the daily average of 8.88 lakh shares in last one month. The benchmark November futures contract for the stock is quoting at Rs 1335.65, up 0.71% on the day. Bharat Forge Ltd is up 20.05% in last one year as compared to a 19.57% jump in NIFTY and a 32.88% jump in the Nifty Auto index.The PE of the stock is 41.07 based on TTM earnings ending September 24.Powered by Capital Market - Live

In March 2023, the Ministry of Defence, Government of India, had accorded the Acceptance of Necessity (AoN) for procurement of the 155mm/52cal Advanced Towed Artillery Gun System (ATAGS) along with the Gun Towing Vehicles (GTVs) for the Indian Army. After completion of due technical evaluation process and commercial bids opening, the contract negotiation procedure between Bharat Forge and the Indian Ministry of Defence is currently underway. The contract negotiation procedure is expected to conclude before the end of the current financial year 2024-25.Powered by Capital Market - Live

Net profit of Bharat Forge rose 7.20% to Rs 243.59 crore in the quarter ended September 2024 as against Rs 227.23 crore during the previous quarter ended September 2023. Sales declined 2.27% to Rs 3688.51 crore in the quarter ended September 2024 as against Rs 3774.19 crore during the previous quarter ended September 2023. ParticularsQuarter EndedSep. 2024Sep. 2023% Var. Sales3688.513774.19 -2 OPM %17.5316.47 - PBDT598.52550.09 9 PBT385.18338.76 14 NP243.59227.23 7 Powered by Capital Market - Live

The Board of Bharat Forge at its meeting held on 14 November 2024 has approved the following change in senior management: (a) Krishnan Iyer - President and Chief Operational Officer (COO) of Closed Die Forging Division (CDFD) is designated as SMP w.e.f 14 November 2024. (b) Srinivasu Malladi - Vice President Human Resources (HR) is designated as SMP w.e.f. 14 November 2024. (c) Resignation of Atul Jagtap as Vice President - Materials with effect from 24 November 2024Powered by Capital Market - Live

Bharat Forge Ltd fell for a fifth straight session today. The stock is quoting at Rs 1319.2, down 3.04% on the day as on 12:59 IST on the NSE. The benchmark NIFTY is down around 0.94% on the day, quoting at 23659.1. The Sensex is at 78018.99, down 0.83%.Bharat Forge Ltd has eased around 11.47% in last one month.Meanwhile, Nifty Auto index of which Bharat Forge Ltd is a constituent, has eased around 14.07% in last one month and is currently quoting at 23269.1, down 2.27% on the day. The volume in the stock stood at 3.8 lakh shares today, compared to the daily average of 8.7 lakh shares in last one month. The benchmark November futures contract for the stock is quoting at Rs 1324.9, down 2.4% on the day. Bharat Forge Ltd jumped 24.24% in last one year as compared to a 20.25% rally in NIFTY and a 36.59% spurt in the Nifty Auto index.The PE of the stock is 42.26 based on TTM earnings ending June 24.Powered by Capital Market - Live

Bharat Forge will hold a meeting of the Board of Directors of the Company on 14 November 2024Powered by Capital Market - Live