Abha Power and Steel secures ₹2.22 Cr orders from railway OEMs

Abha Power and Steel Limited has secured new orders worth ₹2.22 Cr from reputed Railway OEMs for the supply of castings, strengthening its position in the railway sector. The orders, awarded by domestic entities, involve the supply of goods subject to inspection and quality approval. This development underscores the company's consistent efforts to enhance its market share and maintain a strong presence in the industry.

As on June 06, 2026, the company's order book stands at approximately ₹20.50 Cr. The new orders are to be executed by June 30, 2026. The company confirmed that the orders do not involve any interest from the promoter group and are not related party transactions.

Order Details

The following table outlines the key particulars of the order disclosed pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015:

Sr. No	Particulars	Details
1	Name of the entity awarding order(s)/contract(s)	Reputed Railway OEMs
2	Significant terms and conditions of order(s)/contract(s) awarded in brief	Supply of Castings as per delivery schedule, standard terms of payment, subject to inspection and quality approval.
3	Whether order(s) / contract(s) have been awarded by domestic/ international entity	Domestic Entity
4	Nature of order(s)/contract(s)	Supply of Goods
5	Whether Domestic or International	Domestic
6	Time Period by which the order(s) / contract(s) is to be executed	By 30th June, 2026
7	Broad commercial consideration or size of the order(s) / contract(s)	₹ 2,22,38,280/-
8	Whether the promoter/ promoter group/ group companies have any interest in the entity that awarded the order(s)/contract(s)?	No
9	Whether the order(s)/contract(s) would fall within related party transactions?	No

Abha Power and Steel Limited caters to diverse industries such as Indian Railways, steel, cement, heavy engineering, mining, and power. The company operates two foundries—SG iron and steel—within its ISO 9001:2015 certified manufacturing facility at Silpahri Industrial Area, Bilaspur.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.82%	-4.09%	-14.29%	-20.82%	-13.60%	-65.30%

Abha Power and Steel Limited reported a 60.5% decline in net profit to ₹246.03 lakh for the financial year ended March 31, 2026, compared to ₹622.83 lakh in the previous year. Revenue from operations fell 11.3% to ₹6,221.51 lakh from ₹7,018.01 lakh in FY25, impacting overall profitability despite a reduction in finance costs. The company’s statutory auditors, M/s N B T & Co., issued an unmodified opinion on the audited financial results.

The Board of Directors, led by Managing Director Atish Agrawal, approved the audited financial results for the half and full year ended March 31, 2026. The meeting also reviewed the utilization of proceeds from the Initial Public Offering (IPO), confirming that funds aggregating to ₹2,683.99 lakh were fully utilized in accordance with the stated objects. The company reported no deviations or variations in the use of IPO proceeds during the period.

Financial Performance

Total income for FY26 stood at ₹6,310.91 lakh, a decrease from ₹7,082.99 lakh in the prior year. The company managed to reduce its total expenses to ₹5,973.59 lakh from ₹6,233.23 lakh in FY25. However, the cost of raw materials consumed remained high at ₹3,926.88 lakh, though it was lower than the ₹4,346.72 lakh recorded in the previous year. Finance costs also decreased to ₹170.06 lakh from ₹187.19 lakh.

For the half year ended March 31, 2026, the company reported a profit of ₹42.76 lakh, a significant drop from the ₹203.27 lakh profit recorded in the half year ended September 30, 2025. Revenue for the half year stood at ₹2,764.60 lakh. Earnings per share (EPS) for the full year declined to ₹1.32 from ₹3.94 in the previous year.

Utilization of IPO Proceeds

The company successfully utilized the net IPO proceeds of ₹2,683.99 lakh across three main categories. The allocation included funding for capital expenditure, working capital requirements, and general corporate purposes. The certificate confirming the utilization was signed by CA. Neha Nuwal, Partner at M/s N B T & Co., Chartered Accountants.

Object	Allocation (₹ in lakhs)	Utilised (₹ in lakhs)
Funding capital expenditure for modernization	1,638.93	1,638.93
Funding working capital requirements	300.00	300.00
General corporate purposes	745.06	745.06
Total	2,683.99	2,683.99

Assets and Liabilities

The company’s balance sheet size expanded to ₹8,556.18 lakh as of March 31, 2026, up from ₹7,917.72 lakh in the previous year. Shareholders' funds improved to ₹5,329.85 lakh, driven by an increase in reserves and surplus to ₹3,471.07 lakh. However, cash and bank balances depleted significantly to ₹8.33 lakh from ₹1,542.12 lakh, primarily due to heavy capital expenditure. Capital work in progress surged to ₹2,265.11 lakh from ₹711.85 lakh, reflecting the ongoing modernization efforts.