Ramkrishna Forgings Limited held its Q3FY26 earnings conference call on January 27, 2026, providing comprehensive insights into quarterly performance and future growth prospects. The management discussed financial results, new order wins, and strategic initiatives during the analyst interaction hosted by IIFL Capital Services Limited.

Consolidated Financial Performance

The company reported strong consolidated performance for Q3FY26, demonstrating sequential improvement across key metrics:

New Order Wins and Business Mix

During Q3FY26, the company secured significant new orders worth ₹680 crores with a program life of 4 years. The order composition reflects the company's diversification strategy:

Railway Business Momentum

The railway segment emerged as a key growth driver with substantial progress in bogie assemblies. Managing Director Naresh Jalan highlighted that bulk supplies to Indian Railways have commenced, with the company qualifying for significant orders. The railway segment now contributes 7.3% of business in 9-month FY26, with management targeting double-digit revenue contribution within the next 2 years.

Capacity Utilization and Expansion Updates

The company's forging capacity utilization stood at 66% in Q3FY26, with management expecting improvement to 80-85% by the end of FY26. Key capacity developments include:

Revenue Growth Guidance

Management provided optimistic growth projections, with Naresh Jalan stating expectations of 10-15% year-on-year revenue growth for the next consecutive 3 years. The company anticipates maintaining export contribution at around 35% of total revenue in FY27, with domestic business comprising 65%.

Market Outlook and Strategic Focus

The management expressed confidence in North American market recovery, stating that "the worst is behind" for exports. The company is actively pursuing passenger vehicle segment opportunities, targeting 10% revenue contribution from PV segment by FY28. Additionally, the European Free Trade Agreement is expected to enhance competitiveness in European markets by eliminating existing duties.

Ramkrishna Forgings Limited has announced the commencement of commercial production at its new aluminium forging facility, marking a strategic expansion into a new segment of the forging industry. The company disclosed this development under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

New Aluminium Forging Facility Details

The company has commenced commercial production of its aluminium forging facility at Ramkrishna Forgings Limited – Plant V, located at Vill. Baliguma, PO Kolabira, Dist. Saraikela-Kharsawan, Jharkhand, effective January 20, 2026. The facility has been designed with a production capacity of 3,000.00 tonnes per annum (TPA).

Capacity Addition Overview

The aluminium forging facility represents a completely new vertical for the company. Prior to this addition, Ramkrishna Forgings had no existing capacity in aluminium forging, making this a greenfield expansion into an entirely new product category.

Strategic Rationale and Market Focus

The new aluminium forging facility is strategically positioned to enhance the company's presence in the electric vehicle (EV) market. This project enables Ramkrishna Forgings to make a foray into the specialized field of aluminium forging, diversifying its product portfolio beyond traditional steel forging operations.

The aluminium forging capability is particularly relevant for the automotive industry, especially in the context of lightweight components required for electric vehicles. This expansion aligns with the growing demand for aluminium components in the EV sector, where weight reduction is crucial for improving battery efficiency and vehicle performance.

Investment and Financing Structure

The total investment for the aluminium forging facility amounts to ₹57.50 crores. The company has adopted a balanced financing approach, utilizing a combination of debt financing and internal accruals to fund this capacity expansion. This financing strategy demonstrates the company's commitment to maintaining financial prudence while pursuing growth opportunities.

Regulatory Compliance and Disclosure

The announcement was made in compliance with SEBI regulations, specifically under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has also adhered to the requirements outlined in SEBI Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, and SEBI Circular No. SEBI/HO/CFD/CFD-PoD-2/CIR/P/2024/185 dated December 31, 2024.

The disclosure has been made available on the company's website at www.ramkrishnaforgings.com , ensuring transparency and accessibility for all stakeholders. Company Secretary and Compliance Officer Rajesh Mundhra (ACS - 12991) has signed the regulatory filing, confirming the accuracy and completeness of the information provided.