Balu Forge Industries Ltd (BSE: 531112 | NSE: BLUFORGE), a manufacturer specializing in precision-engineered components, today announced its audited consolidated financial results for the quarter and year ending March 31, 2025, following approval by the Board of Directors. During FY25, Balu Forge Industries reported a remarkable rise in operating cash flow, reaching ₹148 crore—an increase of 566% compared to the previous year.
This surge was largely driven by stronger EBITDA and better management of receivables. The company ended the fiscal year with a net cash position of ₹60 crore, total debt standing at ₹36 crore, and ₹96 crore in cash and equivalents. This financial strength reflects its prudent cash flow management and operational discipline.
The company made substantial progress in reducing leverage, with its debt-to-equity ratio dropping to 0.03x from 0.09x a year earlier. This significant improvement underscores its ongoing efforts to maintain a healthy capital structure. Working capital efficiency also improved, with working capital days reduced to 104 from 129, highlighting better inventory and receivables control. Return on Capital Employed (ROCE) rose to 30.1%, driven by increased asset utilization and a strategic focus on higher-margin, value-added product lines.
Over the past year, Balu Forge continued its expansion strategy by scaling up its forging capacity to 100,000 TPA, with additional growth in progress. It upgraded its machining infrastructure to accommodate the rising global demand for finished precision components. The company also focused on acquiring capacity for high-weight forgings and critical defence-grade products, laying the groundwork for future sectoral growth.
Technology upgrades were another key area of focus. The integration of advanced systems, including 7-axis machining, automation in forging, and anti-vibration technologies, has improved product accuracy and scalability. These innovations have strengthened the company’s ability to meet client requirements for precision-engineered, fully machined components. Investment in advanced technologies remains a priority to ensure high standards across operations.
Balu Forge also expanded its customer base across sectors such as defence, aerospace, and railways. These moves helped reduce dependency on the automotive sector and provided a more balanced industry exposure. Growth continued in the commercial vehicle segment as well. Internationally, the company deepened its presence in Europe and Asia, aligning with global trends like EU+1 and China+1, and built local capabilities to strengthen its position in these markets.
According to Executive Director Trimaan Chandock, FY25 marked the company’s best-ever financial performance, with revenues reaching ₹924 crore, up 65% from ₹560 crore in FY24. The company posted EBITDA of ₹251 crore and Profit After Tax of ₹204 crore, both reflecting substantial growth. He highlighted the strategic investments made in capacity and technology, which are expected to yield results in FY26.
With a strong order book, focus on innovation, and a skilled team, Balu Forge is well positioned to grow further in high-value industries and strengthen its leadership in precision manufacturing. Founded in 1989, BFIL specializes in manufacturing fully finished and semi-finished forged components. The company serves diverse industries, including automotive, defence, oil & gas, and railways, with a global distribution network and an advanced, integrated production infrastructure. BFIL’s client base includes renowned manufacturers across various
