Rs 270,00,00,000 order victory & FIIs increase stake: This railway wagons company secures prestigious order for Vande Bharat train set from BHEL-TRSL consortium!

The stock gave multibagger returns of 135 per cent in just 1 year and a whopping 600 per cent in 3 years.

Ramkrishna Forgings Limited (RKFL), one of the leading suppliers of rolled, forged, and machined products, is pleased to announce the receipt of a significant order for the prestigious Vande Bharat Train Set. This order, valued at Rs 270,00,00,000, is to be supplied to the Bharat Heavy Electricals Ltd (BHEL) - Titagarh Rail Systems Ltd (TRSL) consortium, marking a pivotal moment in the company's journey towards excellence in rail infrastructure development.

The scope of this project involves the development and validation of the bogie frame for the sleeper version of the Vande Bharat trainset. The company's expertise and commitment to innovation make it the ideal partner for this critical endeavour. This order encompasses 32 train sets, each comprising 16 coaches. Consequently, RKFL will be producing a total of 1,024 bogie frames, showcasing the company's capacity to handle large-scale and intricate manufacturing requirements.

About Ramkrishna Forgings Limited (RKFL)

Ramkrishna Forgings, founded in 1981, has grown from a manufacturer of forged products to a global supplier of custom-designed metal components. With a massive production capacity exceeding 1,87,100 MT annually, they operate state-of-the-art facilities in India and have offices and warehouses strategically located around the world. Their continuous expansion includes advanced equipment for forging, die-making, machining, and heat treatment, allowing them to meet the demands of original equipment manufacturers (OEMs) and Tier 1 companies across various industries.

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Certified for quality and environmental standards, Ramkrishna Forgings manufactures a wide range of forged parts, from carbon steel to stainless steel, and can deliver them according to specific requirements, including forging, heat treatment, machining, and full assembly. Supplying to both domestic and international markets, they are a critical supplier of safety-essential components for railways and a trusted partner for renowned names in automotive, farm equipment, bearings, and more. Their clientele includes industry giants like Tata Motors, Volvo, Dana, and Meritor, solidifying their position as a leading force in the metal forming industry.

The company has a market cap of Rs 12,800 crore and has delivered good profit growth of 21.1 per cent CAGR over the last 5 years. Additionally, the company’s median sales growth has been 20.4 per cent in the last 10 years and working capital requirements have reduced from 142 days to 102 days. The FIIs have increased their stake to 23.59 per cent in December 2023 compared to 18.13 per cent in September 2023.

Today, shares of Ramkrishna Forgings Ltd gained 2.21 per cent to Rs 704.4 per share from its previous closing of Rs 689.20 with an intraday high of Rs 724.50 and an intraday low of Rs 626.05. The stock’s 52-week high is Rs 814.95 and its 52-week low is Rs 292. The shares of the company saw a spurt in volume by more than 7.64 times on BSE. The stock gave multibagger returns of 135 per cent in just 1 year and a whopping 600 per cent in 3 years. Investors should keep an eye on this Small-Cap stock.

 Disclaimer: The article is for informational purposes only and not investment advice.