Happy Forgings Limited — PPTs, 07-02-2025: Investor Presentation

**Financial Highlights:**

Happy Forgings reported a revenue increase of 3.6% year-on-year (YoY) to ₹354 crore for Q3 and 4.1% to ₹1,057 crore for 9MFY25. Gross Profit rose 8.3% YoY to ₹205 crore, with an EBITDA growth of 6.6% to ₹101 crore. Profit After Tax (PAT) surged 11.5% YoY to ₹65 crore for Q3 and 14.3% to ₹200 crore for 9MFY25, reflecting improved average realizations.

**Strategic Initiatives and Growth Drivers:**

The company's strategic shift towards the Industrials and Passenger Vehicles segments offset declines in key industries. A significant ₹650 crore investment is set to establish advanced forging capabilities in heavyweight components, likely aimed to generate additional annual revenues of ₹600-800 crore.

**Business Developments:**

Recent business developments include diversifying product offerings, with capacities expected to commission by FY27, enhancing overall competitiveness and margins while positioning them as a leader in the global supply chain.

**Market Position and Competitive Advantage:**

Happy Forgings stands as the second-largest producer of commercial vehicle crankshafts in India. Their robust capabilities and strategic investment in new technologies enhance their market position amid industry challenges.

**Investor Implications:**

Investors should note the strong growth trajectory and commitment to diversifying the product mix. The recent investments signal a positive outlook for future revenue streams and profitability, marking it as a potential growth opportunity in the evolving industrial landscape.