Balu Forge Industries Ltd is one of the prominent companies in India for
producing precision machined components.
• It is engaged in the manufacturing of finished and semi-finished
crankshafts and various other forged components and has a strong
clientele comprising of 25+ OEM’s.

 The Company boasts of a precision machining unit with a comprehensive
product range which caters to customers across various industries such as
automobiles, ships, locomotives, aerospace, defence, oil and gas, railway,
marine, prototypes and others.
 BFIL facility is located in Belgaum, Karnataka and has an existing capacity to
produce 18,000 tonnes forged components per annum which will be
expanded to ~32,000 tonnes in the coming quarters.
• Further, the company has R&D team comprising of ~45 people
 BFIL through its subsidiaries has distribution network in over 80+ countries
and operates in export and domestic markets.

Key Performing Metrics (₹ in Mn)

EBITDA and Margins

350.00
300.00
250.00
200.00
150.00
100.00
50.00
0.00Q3 FY23 Q2 FY24 Q3 FY24
EBITDA Margin

23.00%
22.00%
21.00%
20.00%
19.00%
18.00%
17.00%

Revenue from Ops.

1600.0
1400.0

1,392.25 1,470.75

1200.0
1000.0 893.92
800.0
600.0
400.0
200.0
0.0
Q3 FY23 Q2 FY24 Q3 FY24

22.24%

21.64%

19.58%

Margin PAT
Q3 FY23 Q2 FY24 Q3 FY24
0.00%

50.00
0.00

5.00%

100.00

10.00%

200.00
150.00

15.00%

250.00
20.00% 300.00

PAT & Margins

12.81%

17.31% 16.71%

Another Set of Robust Financial Performance
Revenue for 9M FY24 increased by 96.5% over 9MFY23

PAT for 9M FY24 increased by 176.2% over 9MFY23 and exceeded full year FY23 PAT
Consolidated P&L Statement
Particulars (Rs. Mn) Q3 FY24 Q3 FY23 YoY% Q2 FY24 9M FY24 9M FY23 YoY%
Revenue from Operations 1,470.75 893.92 55.7% 1,392.25 3,986.85 2,028.58 96.5%
Other Income 18.64 26.23 40.61 60.32 120.97
Total Income 1,489.39 920.15 55.7% 1,432.86 4,047.17 2,149.55 88.3%
Total Expenses excl. D&A & Finance Cost 1,143.61 718.86 1,090.99 3,139.49 1,737.50
EBITDA (Excluding Other Income) 327.14 175.05 72.1% 301.25 847.36 291.08 191.1%
EBITDA Margin (%) 22.24% 19.58% 21.64% 21.25% 14.35%
Depreciation & Amortization 5.13 3.16 4.59 14.32 8.91
Finance Cost 38.63 27.56 37.65 101.07 70.16
PBT before Exceptional Item 302.01 170.56 299.62 792.29 332.98
Exceptional Items - - - - -
PBT 302.01 170.56 299.62 792.29 332.98
Tax 47.47 56.04 66.92 138.35 96.24
PAT 254.55 114.52 103.2% 232.70 653.95 236.74 176.2%
PAT Margin % 17.31% 12.81% 16.71% 16.40% 11.67%
Other comprehensive (profit)/ loss -0.34 -0.16 0.57 0.28 0.524
Net PAT 254.21 114.36 233.27 654.22 237.27
Diluted EPS (In Rs.) 2.57 1.37 2.47 6.61 2.84
Management Commentary:
Commenting on the performance of Q3 FY24, Mr. Trimaan Chandock,
Executive Director of BFIL stated:
“We are happy to share our financial and business performance for Q3 FY24, we
witnessed healthy revenue growth of 55.7% and revenue from operations stood at
₹1,470.75 Mn in Q3 FY24 compared to ₹893.92 Mn in Q3 FY23. This growth was led by
our constant focus on client addition and continued demand for our products in the
existing and new industries like railways, defense and heavy commercial vehicles.
EBITDA grew by 72.1% and margins improved from 19.58% in Q3 FY23 to 22.24% in Q3
FY24 owing to increase in scale of operations and increased demand for heavier
products which tend to yield better margins. PAT margins improved from 12.81% in Q3
FY23 to 17.31% in Q3 FY24.
In terms of 9M performance, revenue from operations increased by 96.5% and stood at
₹3,986.85 Mn in 9M FY24 compared to ₹2,028.58 Mn in 9M FY23. EBITDA increased by
191.1% from ₹291.08 Mn in 9M FY23 to ₹847.36 Mn in 9M FY24, and margins improved
to 21.25% from 14.35%. PAT increased by 176.2% and stood at ₹653.95 Mn in 9M FY24
compared to ₹236.74 Mn in 9M FY23, margins improved from 11.67% to 16.40% during
the same period.

The Mercedes-
Benz unit is
partially
operational
currently and is
anticipated to
achieve full
commercialization
by Q1 FY25

Diversifying our
product portfolio
with focus on :
defense,
railway, and
hydrogen
compressor
related offerings
which yields better
margins owing to
complexity

Aiming to expand
market presence in
the commercial
vehicle (CV) and
defense sector.
Continually
evaluating
inorganic
opportunity in
allied business

Focused on adding
2-3 new OEM
partnership
annually across
the globe

Expanding our
reach with a
concentrated
effort on key
engineering hubs
like
Far East Asia,
the USA, and
Germany.
BFIL's dedication to prioritizing customers and fostering growth has not only bolstered
our market position but has also led to the cultivation of strong relationships with
clients, positioning us as partner of choice for supplying critical components. A
testimony of our client centricity is evident in our recent additions of 3 new OEM
clients.
Further, the development of our newly acquired Mercedes Benz unit is also
progressing well on expected timelines and the full fledged operations are expected to
commence from Q4 FY24. This unit will enable us to produce heavier and more
complex components having better realizations and margins. Currently the same is
partly operational and is aiding us in achieving good revenue growth along with
superior margins.
On the industry front, we are seeing immense opportunity in various sectors like
defense, railway, sustainable green energy components, and commercial vehicles. To
seize these opportunities, we are leveraging our strong inhouse R&D capabilities to
expand our product offerings and the testimony to same is depicted by our broad
product range. Furthermore, we are spearheading investments to transform into a
more integrated company. These investments will enable to us to acquire new clients,
expand our presence in untapped regions and enhance our product portfolio.
In summary, our readiness for the future is characterized by a comprehensive strategy
that harmoniously blends different facets. This encompasses ongoing expansion of
our capacities to meet anticipated demand, alongside the implementation of new
technologies to improve operational efficiency and cost-effectiveness. Furthermore,
our dedication to pioneering innovation and careful cost management assures us to
increase our prominence in the competitive landscape, paving the way for sustained
revenue growth and enhanced profitability.
Strategic vision of BFIL can be summarized through the below commitment to

innovation, customer-centricity, and sustainable growth

Management Guidance:
 Revenue is expected to conservatively grow in the range of 40.0%-45.0% in
FY24 over FY23, led by new customer addition in sectors like railway and
defence.
 EBITDA margins are expected to be in the corridor of 23.0%-24.0% in the
upcoming quarter on the back of increasing scale of operations and
efficiencies thereon
Disclaimer:
Certain statements in this document may be forward looking statements. Such
forward-looking statements are subject to certain risks and uncertainties like
government actions, local political or economic developments, technological risks,
and many other factors that could cause our actual results to differ materially from
those contemplated by the relevant forward-looking statements. Balu Forge
Industries Limited will not be in any way responsible for any action taken based on
such statements and undertakes no obligation to publicly update these forward-
looking statements to reflect subsequent events or circumstances.