The Bharat Forge stock has been outperforming off late, spurred by steady rise in North American Class 8 truck orders as well as a steady improvement in the oil & gas segment.
The first half saw the company post 30 percent growth in revenue and 40 percent in EBITDA. Baba Kalyani, CMD, Bharat Forge is confident of not only maintaining the growth rate but said they aim to do better than that going forward.
The company also has big expansion plans for the domestic market, said Kalyani, adding that they would spend Rs 500 crore expanding capacity within their facilities outside Pune and also spend Rs 200 crore to set up facility in Andhra Pradesh for light weight components.
The orderbook for oil and gas business is also pretty strong he said, it is almost 4-5 times last year. He said they are manufacturing more and more products in that segment in an effort to increase the share of that in the total pie. The response from customers is very encouraging, he added. Read More…