Bharat Forge Ltd (BHARATFORG)
₹695.5▲1.28%
Key Stats
₹680.4
Day's Price Range
₹702.9
₹595
52-Week Price Range
₹847.95
| Returns | |
| 1 Month Return | -8.64 % |
| 3 Month Return | 6.33 % |
| 1 Year Return | -6.89 % |
Company Financials
Value in ₹ crore
Peer Comparsion
PE
Rank 12
29.27
EPS
Rank 27
₹23.46
BVPS
Rank 27
₹141.08
Dividend Yield
Rank 24
0.34%
ROE
Rank 24
14.75%
Price To Book Ratio
Rank 16
4.86
Debt To Asset
Rank 3
0.59
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Company Information
Bharat Forge Ltd BFL the Pune based Indian multinational is a global provider of high performance innovative safety critical components and solutions to various industrial sectors including Automotive Railways Power Defence Construction Mining Aerospace Marine and Oil Gas. The company is a part of Kalyani Group. The company has the largest repository of metallurgical knowledge in the region and offers complete service supply capability to their geographically dispersed marquee customers from concept to product design engineering manufacturing testing and validation. The company has its manufacturing facilities spread across India Germany Sweden France and North America. The company manufactures a wide range of safety and critical components for the automotive nonautomotive sector. It is the countrys largest manufacturer and exporter of automotive components and leading chassis component manufacturer. The company customer base includes virtually every global automotive OEM and Tier 1 supplier.Bharat Forge Ltd was incorporated in the year 1961. In the year 1996 the company commenced commercial production. In the year 1995 the company commenced exports to erstwhile USSR by winning a large contract for under carriage components. In the year 1990 they made investment in stateofart forging technology. Also they commissioned 16000 MT press line. In the year 1991 the company commenced supply of engine chassis components to Japan USA and UK. In the year 2001 the company commissioned their second 16000 MT press line. Also they acquired the order book of Dand Kirkstall. In the year 2002 they made investment of 80 million in Research Development Testing Validation and stateoftheart Heavy Duty Truck Crankshaft Machining facilities. In November 21 2003 the company acquired Carl Dan Peddinghus GmbH Co. KG CDP of Germany and with this acquisition the company emerged as worlds second largest forging company. Also they acquired Imatra Kilsta AB Sweden Scottish Stampings Scotland. In the year 2005 the company signed a joint venture contract with FAW Corporation for their forging business. In September 21 2005 the company through their wholly owned subsidiary Bharat Forge Beteiligungs GmbH Germany acquired Imatra Kilsta AB Sweden along with its wholly owned subsidiary Scottish Stampings Ltd Scotland together called Imatra Forging Group which are now renamed as Bharat Forge Kilsta AB BF Kilsta and Bharat Forge Scottish Stampings Ltd respectively. Also they acquired Federal Forge now known as Bharat Forge America Inc. which provided the company with a manufacturing presence in USA one of their largest markets.In the year 2006 the company made investment of 100 million to setup dedicated stateoftheart forging machining facilities for nonauto components. In the year 2008 they signed an MoU with NTPC. In August 2008 they commissioned Indias Largest Commercial Open Forging Press. Also the company in association with Alstom formed a joint venture in Indian to manufacture stateoftheart super critical power plant equipment. In March 2009 the company started operations in the new stateoftheart 80 MtrT counterblow hammer in Baramati for production of heavy forgings for large diesel engines and aerospace applications as well as Machining line for heavy duty.During the year 200910 the company incorporated a joint venture JV company BFNTPC Energy Systems Ltd BFNESL with a 51 equity interest held by the company and balance held by NTPC Limited for the manufacture of critical items of Balance of Plants and other equipment for which India still remains dependent on imports. Also the company set up two joint venture companies in partnership with ALSTOM Power Holdings S.A. for manufacturing subcritical and supercritical thermal power plant equipment. The two JV companies named ALSTOM Bharat Forge Power Ltd and Kalyani ALSTOM Power Ltd will manufacture turbine and generators for power plants in the 300 800 MW range and auxiliaries like heat exchangers condensers and deaeraters respectively. During the year the company entered into Preliminary Joint Venture and Shareholders Agreement with AREVA NP France to create a manufacturing facility for heavy forgings and castings for the power sector particularly Nuclear Power segment and other heavy industries in India. In January 2010 the first phase of the capacity creation plan for the nonauto components business was completed with the commissioning of the ring rolling facility at Baramati. Also they established Kalyani Centre for Technology Innovation. During the year 201011 the company commissioned new vertical heat treatment facility for manufacture of Turbine and Generator Rotors alongwith thermo stability test facility. Also Ring Rolling Mill in BARAMATI became fully operational and became a supplier of critical rings for different customers specially for Gear Box manufacturers. Also they company made an additional investment of Rs 150 crore in expanding machining line further for crankshaft machining in Baramati.In 2012 the companies power equipment jointventure with Alstom bags Rs. 1570 crore order from NTPC Ltd.In 2013 NTPC orders three supercritical turbine islands from AlstomBharat. Bharat Forge Alstom Power JV bags Rs 2251 cr order from NTPC.In 2014 there was a amalgamation of Joint Venture Companies Safran and Bharat Forge to form partnership to address opportunities in Indian civil and military aerospace. The Kalyani Group Sign a Strategic Partnership for the Air Defence of IndiaIn 2015 High Tech Rail Component Manufacturing Facility at Bharat Forge Centre for Advanced Manufacturing Baramati was inaugurated. Also during the year production began at AlstomBharat Forges new turbine and generator manufacturing facility in India. The company awarded Recognition Prize Energy Efficiency Award 2015. Also during the year the company announced the acquisition of Oil Gas Machining Company Mecanique Generale Langroise MGL in France. During the year Bharat Forge formalized a significant supply agreement for long term cooperation with RollsRoyce. On 17 February 2016 Boeing and Bharat Forge BFL announced the first shipment of titanium flaptrack forgings made by the Indian supplier for Boeings NextGeneration 737. Bharat Forge will also supply forgings for the 737 MAX scheduled to enter into service in 2017. The companies continue to address opportunities to expand BFL work in support of Boeing and its supply chain partners around the world. BFL also intends to expand its capabilities to offer higher value machining and manufacture of assemblies.On 29 March 2016 Bharat Forge announced that the company has teamed up with US based AM General LLC to bid for Indias Light Specialist Vehicle LSV program using AM Generals battletested HMMWV as the LSVs base platform with final build and production to take place in India. The teaming between the two companies will lead to providing cost effective and bestinclass mobility solutions for Indian Armed Forces. On 26 April 2016 Bharat Forge announced that Boeing has awarded a contract to the company for titanium forgings for the Boeing 777X. The titanium forgings will be developed and manufactured by Bharat Forge using a closed die forging process. On 7 June 2016 Bharat Forge announced that its joint venture with GE viz. Alstom Bharat Forge Power Private Ltd. ABFPPL has won a contract worth 219 million approximately from NTPC. ABFPPL will supply two units of 800 MW ultrasupercritical Steam Turbine Generator Islands on EPC basis along with related civil work for the Telangana Super Thermal Power Project Phase1. On 8 November 2016 Bharat Forge announced that its Board of Directors has approved divestment of its 49 stake in the power equipment JV with Alstom Alstom Bharat Forge Power Private Limited ABFPL for US 35 million. The JV incorporated in Delhi with its manufacturing facility at Sanand was formed in 2009 to address opportunities arising from the expansion in the Indian power sector. On 18 November 2016 the Finance Risk Management Committee constituted by the Board of Directors of Bharat Forge Limited BFL approved the proposed acquisition of 100 shareholding of Walker Forge Tennessee LLC WFT through the companys US subsidiary Bharat Forge America. WFT is a leading supplier of complex steel and highalloy steel engine chassis components to a diverse group of customers across Automotive Industrial sectors. The transaction value is US 14 million which will be funded through internal accruals debt. This proposed acquisition is focused on establishing BFLs manufacturing footprint in North America and on increasing BFLs product offering into the Passenger Car and Commercial Vehicle segments as well into industrial sectors such as Construction Mining and allied industries. This will also enable BFL to expand its presence in North America.Kalyani Rafael Advanced Systems KRAS a Joint Venture between Kalyani Strategic Systems Ltd. a subsidiary of Bharat Forge and Rafael Advanced Defense Systems Ltd. of Israel inaugurated their stateoftheart facility at Hyderabad on 3 August 2017. KRAS would be Indias first private sector advanced defence subsystems manufacturing entity. Spread across an area of 24000 sq.ft. the facility will enable production of highend technology systems for Indian Armed Forces. It will be engaged in development of a wide range of advanced capabilities like Command Control and Guidance ElectroOptics Remote Weapon Systems Precision Guided Munitions and System Engineering for System Integration. The facility will also target to export products to other countries.The Board of Directors of Bharat Forge BFL at its meeting held on 10 August 2017 approved acquisition of the entire remaining 40 stake in its subsidiary company Analogic Controls India Limited ACIL. Upon acquisition ACIL will become a wholly owned subsidiary of the company. ACIL is engaged in the design and development of reliable onboard/ground systems safety arming mechanism launcher relay unit reliable electronic systems and subsystems for mission critical applications. ACIL offers products and services for mission technologies of national importance in Defence Aerospace Communications and Industrial Electronics. ACIL clocked turnover of Rs 7.34 crore in FY 201617. BFL the erstwhile promoters of ACIL and ACIL had entered into a Share Subscription Agreement and Shareholders Agreements on 23 April 2013 and 18 June 2013 respectively for acquiring 60 stake in ACIL by BFL.The Board of Bharat Forge at its meeting held on 10 August 2017 also recommended issue of bonus shares to the holders of equity shares of the company in the ratio of 1:1. Further On October 3 2017 the Company had issued bonus shares in the proportion of 1:1 i.e. 1 one bonus equity share of Rs 2/ each for every 1 one fully paidup equity share. Accordingly the Company has allotted 232794316 Equity shares of Rs 2/ each fully paidup to the shareholders of the Company. On 10 August 2017 Bharat Forge announced that it has secured its maiden order from the Ministry of Defence to supply 1050 Dual Technology Detection Equipment. The order worth Rs 201.60 crore will be manufactured in India and is to be concluded within two years. On 17 January 2018 Bharat Forge announced that it has opened a Research Development facility in UK in MIRA Technology Park the UKs leading automotive technology park and Enterprise Zone where it will be developing components subsystems focused on Electric Vehicles. This facility will complement the capabilities knowledge established over the past 2 years in Kalyani Centre for Technology Innovation KCTI Kalyani Centre for Manufacturing Innovation KCMI in Pune focused on delivering solutions for Electric Vehicles. On 8 February 2018 Bharat Forge announced strategic investment of upto Rs 30 crore for eventual stake of 45 in an EV startup Tork Motorcycles. Bharat Forge is making a strategic investment in Tork Motorcycles as a part of its overall EMobility powertrain development. Torks strength lies in its inhouse team that has designed developed and built the complete electric motorcycle. Their knowledge in the overall EV powertrain development will help Bharat Forge gain access to technologies in personal Emobility space. Accordingly the Company has acquired first tranche of 30.37. TORK Motors is an electric drive train company mainly focused on electrical two wheeler and/or premium electric motor cycle.During the FY2018the Company has purchased remaining 40 shares of Analogic Control India Limited ACIL from its erstwhile promoters. With this acquisition ACIL became a WhollyOwned Subsidiary of the Company. Further during the year the Company has completed the sale of remaining balance equity of 26 in the power equipment Joint Venture Alstom Bharat Forge Power Private Limited ABFPPL. With this divestment the Company has completed its total divestment in ABFPPL. During the year 201718the Company also incorporated a wholly owned subsidiary in Israel viz. Indigeneous IL Limited with an objective of exploring targets in technology space and also explore tieups with universities/tehnology institutions in further upgrading research and development initiatives in various new technologies.As on 31 March 2018the company had 20 subsidiaries and one associate company under its roof.During the FY2019 the company has generated strong cash flows of Rs 1225 Million despite committing a Capex of Rs 8500 Million during the year. In FY19 the Company installed the first CLWT machine a 4200 T diecasting machine which is the biggest in India and the 5th largest inthe world. Besides this it acquired customers even before completing the plant construction of the CLWT plant.During the FY2020the Company promoted and incorporated a whollyowned subsidiary company in the name of Kalyani Centre for Precision Technology Limited KCPTL to carry out manufacturing activities of auto parts.As on March 31 2020 the Company has 25 subsidiaries including step down subsidiaries and 4 Associate Companies.Capex incurred in the year 201920 amounting to Rs 5164 Million towards forging and machining capacity in Maharashtra.In FY20 the Company executed the commissioning of CLWT plant. It started localizing electric powertrain for intermediate and Light Commercial Vehicle ILCV and 9M Bus segment in India.On July 10 2020 Bharat Forge Hong Kong BFHK Limited a step down subsidiary of the Group was deregistered and dissolved. The closure of BFHK did not have any material impact on the operations/results of the Group. On March 16 2021 the Company invested Rs 0.01 million to acquire 100 stake ln equity of Kalyani Powertrain Private Limited to undertake various initiative for emobility business.On May 06 2021 the Company invested Rs 0.10 million to acquire 100 stake in equity of BF Industrial Solutions Private Limited formerly known as Nouveau Power Infrastructure Private limited as a special purpose vehicle SPV for implementation of approved resolution plan of National Company Law Tribunal the NCLT for acquisition of Sanghvi Forging Engineering limited Baroda in terms of Insolvency and Bankruptcy code 2016.During FY21 the Company received prestigious order from a major global OEM for forging and premachined components. It completed trials for three Kalyani M4 vehicle Kalyani Maverick and Mine Protected Vehicle MPV. Further trials for JV Protective Carbine JVPC and FSAPDS were also completed. It was awarded a contract to supply the Kalyani M4 vehicle. In FY 2022 the Companys subsidiary Kalyani Powertrain Limited KPTL received maiden order for supply of products such as High Voltage High Power DCDC Convertors Motor Controllers for 2W applications from an Indian OEM. Its subsidiary company Tork Motors launched its flagship product line of Electric Motorbike KRATOS and KRATOSR which received 2000 orders for these bikes .In FY22 the Company in collaboration with NASA JPL developed ventilators FDA approved for emergency use authorization in and around Pune which was in great demand during the pandemic. It acquired erstwhile Sanghvi Forging Engineering Limited SFEL for Rs. 900 million. It completed the capex and commercial production at its aluminum forging facility in North Carolina US. With this the Company now has two operational aluminum forgings plants one in the US and the other in Germany. Its Advanced Towed Artillery Gun System ATAGS designed by DRDO has completed its fifth and final firing trials. Apart from this the Company signed the SPA to acquire Coimbatorebased JS Auto Cast Foundry India. It bagged new business worth Rs. 10000 Million in FY 2022 bulk of order wins coming from PV Industrial sectors.In FY22 the Company productionalized and shipped the Kalyani M4 armored vehicle to Indian Army for UN Peacekeeping mission. Its KM4 armored vehicles became the only one in category to complete desert trials at Rann of Kutch. During the year 2022 the international business secured new orders worth USD 150 million across steel and aluminum forging operations from marquee OEMs providing growth visibility in the medium to long term. It diversified into new areas of Command Control Communications Computers C4 Intelligence Surveillance and Reconnaissance C4ISR by participating and winning the iDex challenge through subsidiaries and partners. The aerospace business bagged new products in terms of new alloys which is a major leap ahead for it. It established competencies in various materials like titanium and super alloys for aerospace products becoming one of the very few possessing such capabilities. New customers were added and the Company is now supplying engine and structural components to four tier 1 companies as well as four OEMs. It made strategic investments in Tevva Motors Limited UK Tork Motors Pvt Ltd India and established global 50:50 JV REFU Drive GmbH with Prettl Group Germany.
| Organisation | Bharat Forge Ltd |
| Headquarters | Pune |
| Industry | Castings, Forgings & Fastners |