Bharat Forge climbs 4 per cent on striking Q3 numbers

Bharat Forge reported its results for the quarter ended December 31, 2017 on Thursday. The company's standalone revenue for the quarter came in at Rs. 1,390.55 crore, registering 40.5 per cent yoy increase. This was driven by 33 per cent growth in domestic revenues and 61 per cent growth in export revenues.

EBITDA for the quarter rose by 59.8 per cent yoy to Rs. 416.33 crore with a corresponding margin expansion of 362 bps. EBITDA margin for the quarter stood at 29.9 per cent. This margin expansion was aided by better product mix and enhanced productivity. The PAT for the quarter came in at Rs. 228.17 crore, yoy increase of 77.4 per cent.

Company’s domestic automotive business witnessed good traction supported by buoyant demand from both the PV and CV industry. The M&HCV volumes grew by 21 per cent yoy in Q3FY18.

Also, it has announced strategic investment of upto Rs. 30 crores for eventual stake of 45 per cent in an EV startup, Tork Motorcycles. This strategic investment will enable Bharat Forge to develop components and sub systems to address the huge potential in the Indian personal mobility space driven by rising economic variability of EVs.

On Thursday, the stock opened at Rs. 701 and touched an intra-day high of Rs. 740 on the BSE.