Happy Forging Limited · NSE:HAPPYFORGE
Happy Forging — Happy Forgings — Q2 FY26 Earnings Presentation
34 slides from Happy Forging's earnings presentation, December 2025
Slide 1: Investor Presentation Q2 & H1FY26
INVESTOR PRESENTATION Q2 & H1FY26
Slide 2: Safe Harbor
SAFE HARBOR This presentation and the accompanying slides (the “Presentation”), prepared by Happy Forgings Limited (the “Company”), are intended solely for information purposes and does not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not
Slide 3: Q2 & H1FY26 Performance Highlights
Q2 & H1FY26 Performance Highlights
Slide 4: Message from the Managing Director
MESSAGE FROM THE MANAGING DIRECTOR We are delighted to report a robust performance for Q2 and H1 FY26, highlighted by the highest-ever quarterly gross margin (~60%) and EBITDA margin (~31%). This strong performance underscores our ability to successfully navigate softening steel prices and uneven gr
Slide 5: Q2 & H1FY26 Performance Highlights
Q2 & H1FY26 PERFORMANCE HIGHLIGHTS FG Volume Realisation/Kg Revenue Gross Profit EBITDA PAT Q2FY26 15,028 MT Rs. 251 377 Crs 228 Crs 116 Crs 73 Crs +5.2% yoy -0.6% yoy +4.5% yoy +7.1% yoy +9.9% yoy +2.9% yoy (10.2% on adj. basis*) Gross Margin: 60.3% EBITDA Margin: 30.7% PAT Margin: 19.5% FG Volume
Slide 6: Volume & Realisation Trend
VOLUME & REALISATION TREND Finished Goods Volume (MT) H1FY26 vs H1FY25 (Volume and Realisation) Realisation/Kg (Rs.) Finished Goods Volume (MT) Particulars H1FY25 H1FY26 YoY 55,379 56,906 50,656 42,777 35,534 FG Volume 28,223 29,485 +4.5% (MT) 248 243 232 201 Realisation/Kg 249 248 (0.4%) 165 (Rs.)
Slide 7: Profit & Loss Statement
PROFIT & LOSS STATEMENT QUARTERLY HALF YEARLY ANNUAL Consolidated P&L (Rs. Crs) Q2FY26 Q2FY25 YoY Q1FY26 QoQ H1FY26 H1FY25 YoY FY25 Revenue from Operations 377 361 4.5% 354 6.7% 731 703 4.1% 1,409 Raw Material Cost & Change in 150 149 149 299 297 592 Inventories Gross Profit 228 213 7.1% 205 11.1% 4
Slide 8: Overview of Revenue Segments
OVERVIEW OF REVENUE SEGMENTS PRODUCT MIX SECTOR MIX GEOGRAPHY MIX 13% 13% 19% 16% 11% 39% 10% 37% 88% 88% 33% 34% 81% 84% 4% 5% H1FY25 H1FY26 H1FY25 H1FY26 Automotive - Commercial Vehicles 12% 12% Automotive - Passenger Vehicles Non-Automotive - Farm Equipments H1FY25 H1FY26 Exports Domestic Non-Aut
Slide 9: Building Capabilities for Resilient and Sustainable Growth
BUILDING CAPABILITIES FOR RESILIENT AND SUSTAINABLE GROWTH Installed Capacity and Utilisation Capacity Updates ▪ New Forging capacities to be added during the 57% 60% 83% 81% year: 10,000 Ton press and 4,000 Ton press 127,000 127,000 ▪ Rs. ~80 Crs capex planned in FY26 to scale Passenger Vehicle seg
Slide 10: Strong Fundamentals with Healthy Returns and Lower Leverage
STRONG FUNDAMENTALS WITH HEALTHY RETURNS AND LOWER LEVERAGE Healthy internal cash accruals support organic growth with minimal reliance on external funding, reflected in declining Net Debt/EBITDA ROE % ROCE % 23.5% 26.2% 19.9% 21.8% 22.7% 18.7% 17.5% 18.8% 18.1% 14.4% 15.2% 14.6% FY21 FY22 FY23 FY24
Slide 11: Company Overview
Company Overview
Slide 12: A Legacy of Excellence
A LEGACY OF EXCELLENCE About Us Incorporated in July 1979, Happy Forgings Limited is an Indian manufacturer specializing in designing and manufacturing heavy forgings and high-precision machined components Manufactures high precision products such as crankshafts, front axle carriers, steering knuckl
Slide 13: Business Evolution Spanning 4 Decades
BUSINESS EVOLUTION SPANNING 4 DECADES 8,000 T Rs. 100 cr 1st 1979 2005 2006 2007 2008 Established with a single Heavy-duty hammers Commenced operations at Crossed ₹100 Cr. in Initiated installation of 8,000 unit for manufacturing installed for oil engine and Kanganwal Facility II revenue. tonne forg
Slide 14: Fully Integrated Capabilities
FULLY INTEGRATED CAPABILITIES Forging Machining Die Design & Manufacturing Fully automated forging Advanced software and equipment to Latest technology and tools to offer a press lines and hammers to produce ensure that our machining processes wide range of services, including design, high-quality f
Slide 15: Complete Process Flow
COMPLETE PROCESS FLOW Covered Raw Material Yard Billet Cutting Section Metallurgical Testing Lab Forging Machining Heat Treatment Control Cooling Standard Room Final Inspection Packaging & Dispatch 15
Slide 16: Multi-Product and Multi-Industry Offerings (1/2)
MULTI-PRODUCT AND MULTI-INDUSTRY OFFERINGS (1/2) Commercial Vehicles Farm Equipment Rear Axle Component Crown Wheel Suspension Products Front Axle Components Pinion Differential Case Crankshaft Crankshaft Axle Shaft Passenger Vehicles Off-highway Vehicles Crankshafts Bucket Link Crankshaft Brake Fla
Slide 17: Multi-Product and Multi-Industry Offerings (2/2)
MULTI-PRODUCT AND MULTI-INDUSTRY OFFERINGS (1/2) Power Generation Railways Crankshaft Piston Pin Connecting Rod Windmill Applications Oil & Gas Valve Bodies Planetary Housing Output Shaft Carrier 17
Slide 18: Paving Our Path Towards Accelerated Value Creation
PAVING OUR PATH TOWARDS ACCELERATED VALUE CREATION Transition from a forging led player to a leading manufacturer of machined components in India In-house design capabilities & fungible production lines have led to a diverse product offering, continuous value addition Increasing global presence thro
Slide 19: High Entry Barriers
HIGH ENTRY BARRIERS CAPITAL INTENSIVE BUSINESS STRATEGIC RESILIENCE SELECTIVE SUPPLIER DYNAMICS Capital-intensive business that involves Lengthy customer and product Difficulty in acquiring new customers complex technology, machinery and approval processes without existing relationships systems acti
Slide 20: Demonstrated Ability to Install and Operate High Tonnage Presses
HAVE DEMONSTRATED THE ABILITY TO INSTALL AND OPERATE HIGH TONNAGE PRESSES AND PRECISION MACHINING Kanganwal I, Ludhiana (Started in 1995) Kanganwal II, Ludhiana (Started in 2006) Dugri, Ludhiana (Started in 2021) 1,27,000 MT Total Forging Capacity* 58,200 MT Total Machining Capacity* Continuous Inve
Slide 21: Architects of Progress
ARCHITECTS OF PROGRESS Executive Directors Senior Management Paritosh Kumar Narinder Singh Juneja Pankaj Kumar Goyal Chairman & Managing Director Chief Operating Officer Chief Financial Officer ▪ 45+ Years of experience ▪ 50+ Years of experience ▪ 23+ Years of experience ▪ Founded Happy Forgings in
Slide 22: Navigating the Path to Sustainable Growth
NAVIGATING THE PATH TO SUSTAINABLE GROWTH Growth at Happy Forgings has never been about chasing momentum. It is about making deliberate choices that create value over the long term. Use in-house capabilities for Enter lightweight forging Expand wallet share and Capitalise on increasing demand produc
Slide 23: Historical Financial Statements
Historical Financial Statements
Slide 24: Profit & Loss Statement
PROFIT & LOSS STATEMENT Profit and Loss (Rs. Crs) H1FY26 FY25^ FY24 FY23 FY22 Revenue from Operations 731 1,409 1,358 1,197 860 Raw Material Cost & Change in Inventories 299 592 597 551 388 Gross Profit 433 817 762 645 472 Gross Profit Margin (%) 59.2% 58.0% 56.1% 53.9% 54.8% Employee Cost 66 125 11
Slide 25: Balance Sheet
BALANCE SHEET Sep 30, Mar 31, Mar 31, Mar 31, Mar 31, Sep 30, Mar 31, Mar 31, Mar 31, Mar 31, Assets (Rs. Crs) Equity & Liabilities (Rs. Crs) 2025 2025 2024 2023 2022 2025 2025 2024 2023 2022 Non-Current Assets 1,352 1,297 1,144 836 704 EQUITY 1,959 1,850 1,612 988 788 Property, Plant and Equipment
Slide 26: Cash Flow Statement
CASH FLOW STATEMENT Sep 30, Mar 31, Mar 31, Mar 31, Mar 31, Cash Flow Statement (Rs. Crs) 2025 2025 2024 2023 2022 Profit before tax 187 360 324 280 192 Adjustments for depreciation and other items 36 65 72 71 40 Operating profit before working capital changes 223 424 396 351 232 Changes in working
Slide 27: Impact Beyond Performance
Impact Beyond Performance
Slide 28: Governance - A Diverse Board with Strong Independent Directors
GOVERNANCE - A DIVERSE BOARD WITH STRONG INDEPENDENT DIRECTORS 63 54 69 Key Board Highlights (Name, Age, Experience) 30+ 30+ ~40 Diverse Board in terms of professional and industry experience, age and gender Director 50% Independent Directors (3 out of 6) 2 Female Directors out of 6 Rajeswari Karthi
Slide 29: ESG - Key Initiatives
ESG - KEY INITIATIVES Director’s Statement “We are at a crucial juncture in our organization's growth, dedicated to implementing robust frameworks and procedures that transform our core values into tangible actions with measurable goals, demonstrating our commitment to delivering sustainable value t
Slide 30: ESG Targets and Commitments
ESG TARGETS AND COMMITMENTS Environment Social Governance Reduce Scope 1 and Scope 2 emissions by Cover 100% of our workforce with skill Link ESG performance to Board 50% by 2030# development programs evaluation KPIs Achieve 100% Zero Liquid Discharge Lower LTIFR by 50% by 2030# Introduc
Slide 31: Social – CSR Activities
SOCIAL – CSR ACTIVITIES CSR Spend – FY2025 CSR Spend Details Category Project / Organization funded Pictures Gallery ▪ Donated 7 vehicles for administration of ▪ Eco & Ultrasound machines donated to Shri emergency/support health services Nav Durga Mandir Charitable Hospital & Children & Healthcare ▪
Slide 32: Awards, Accreditations and Recognitions
AWARDS, ACCREDITATIONS AND RECOGNITIONS Dun & Bradstreet ‘Business Excellence Awards 2025’: Automobiles - OEM & Components (Mid-Corporate) Special Appreciation Award at Mahindra Supplier Excellence Awards - March 2025 Quality Performance Award FY24 for excellent performance in incoming parts quality
Slide 33: Certifications
CERTIFICATIONS IATF 16949:2016 ISO 9001:2015 Quality Management System Quality Management System Certification for Automotive Suppliers ISO 45001:2018 ISO 14001:2015 ISO 9100:2018 Occupational Health & Safety Environment Management System Aerospace Quality Management System Management System 33
Slide 34: Investor Relations Contact
For further information, Please contact CIN: L28910PB1979PLC004008 COMPANY Mr. Vikas Thakur E: investor.relations@happyforgingsltd.co.in T: +91 99159 51913 www.happyforgingsltd.com CIN: U74140MH2010PTC204285 INVESTOR RELATIONS Mr. Jigar Kavaiya / Mr. Pratik Shah ADVISOR E: Jigar.kavaiya@sgapl.net /