Ramkrishna Forgings shares gain on Rs 74 crore worth order from European OEM
On August 30, Ramkrishna Forgings saw its shares rise by 1 percent, reaching Rs 662.25 in early trading. This boost in stock value came after the company successfully secured an order valued at Rs 74 crore from a significant European original equipment manufacturer (OEM).
The company’s achievement involves being granted a substantial business contract valued at 8.25 million euros, approximately equal to Rs 73.65 crore. The contract has been awarded by a notable European OEM and Tier 1 supplier. Under the terms of this agreement, Ramkrishna Forgings will be responsible for supplying front and rear axle components over the course of the next five years.
This order win is indicative of Ramkrishna Forgings’ prowess in the manufacturing and supply of components for the automotive sector. The company’s ability to secure a sizable contract from a reputable European OEM underscores its reputation as a reliable supplier and its capacity to deliver high-quality products in a competitive market.
The successful acquisition of this order not only bodes well for Ramkrishna Forgings’ financial performance but also strengthens its position in the global automotive supply chain. As the company continues to expand its customer base and secure strategic contracts, it further solidifies its presence as a key player in the automotive component manufacturing sector.
Ramkrishna Forgings highlighted that the newly secured contract translates to an annual commitment of 1.65 million euros. This commitment is a testament to the strong and lasting partnership between the company and the prominent European OEM and Tier 1 supplier.
Ramkrishna Forgings is primarily engaged in the manufacturing of forged products, showcasing its expertise in producing components that require precision and durability. Its advanced manufacturing facilities located in Jamshedpur play a pivotal role in delivering high-quality products to a diverse range of sectors.
The company serves as a supplier to various industries, including but not limited to:
1. Automotive: Providing critical components for vehicles, contributing to the safety and performance of automobiles.
2. Railways: Offering components that contribute to the efficient functioning and safety of rail systems.
3. Farm Equipment: Supplying components that enhance the performance of agricultural machinery.
4. Bearings: Delivering components crucial for rotational machinery, ensuring smooth operation.
5. Oil & Gas: Providing specialized components used in the oil and gas sector.
6. Power and Construction: Offering components essential for power generation and construction equipment.
7. Earth Moving and Mining: Delivering components that contribute to the functionality of heavy machinery in mining and earthmoving operations.
Ramkrishna Forgings’ diverse range of offerings and its presence across various sectors both within India and overseas highlight the company’s versatility and adaptability in catering to a wide array of industry needs. Its successful acquisition of contracts like the recent one from the European OEM reinforces its reputation as a reliable and capable player in the manufacturing and supply of forged products.
On August 24, Ramkrishna Forgings achieved another milestone by securing a substantial business contract valued at 17.2 million euros, which equates to approximately Rs 156 crore in Indian currency. The contract was awarded by a customer operating in the farm equipment industry within the Eurasian region.
This significant contract spans over a period of four years, indicating a long-term commitment between Ramkrishna Forgings and its Eurasian customer. With this contract in place, the company is set to receive an annual contract value of about 4.31 million euros.
The successful acquisition of this contract further demonstrates Ramkrishna Forgings’ capabilities and reputation as a preferred supplier of forged products. The company’s ability to secure substantial and long-term contracts highlights its consistent performance, quality, and the trust it has established among its customers.
This achievement adds to the company’s growth trajectory and strengthens its position in the farm equipment industry. As Ramkrishna Forgings continues to secure contracts from diverse sectors and regions, it reinforces its role as a significant player in the global forging and component manufacturing landscape.
