Driven by strong performance in exports and favourable product mix, Bharat Forge beat expectations in the June quarter. Ebitda (earnings before interest, taxes, depreciation, and amortisation) margins at 29.4 per cent stood at a 20-quarter high.
Investors are look for multi-baggers, stocks that give super-normal returns in a short span of time. With benchamarks running up 23% over the last six months, it would be tough to look for multi-baggers.
Bharat Forge is trading higher by 3% at Rs 428 after the company said that its German subsidiary, Bharat Forge Aluminumtechnik GmbH & Co KG (BFAT) has won a multiyear contract worth EUR 250 million from a German OEM to supply suspension components.
Bharat Forge has surged 5% to Rs 349, also its 52-week high on the BSE, after the company said its indirect subsidiary in Hong Kong has shed its 51.85% stake in its Chinese joint venture FAW Bharat Forge (Changchun) Company Ltd in favour of its joint
Forging giant Bharat Forge Ltd's has recorded a drop of 6.3% in its net profit at Rs 964 crore as compare to Rs 1028 crore last year. The company has also witnessed a decline of 2.6% in revenue at Rs 8451 crore as compare to Rs 8,676 crore last year.
The stalemate continues in US as for the second time in recent hours, the Senate has rejected a House Republican effort to derail Obama’s healthcare plan; this in turn is linked to a spending bill that would avert a government shutdown.
Bharat Forge Ltd (BFL)’s revenues were ahead of our estimate. While the demand in the domestic market remained subdued, the export markets showed some recovery after the end of inventory correction by customers.
Despite the global slowdown, forging major Bharat Forge Ltd (BFL) is investing significantly in creating new capacities for non-automotive sector across globe for new business development. The results are gradually becoming evident for BFL.