Happy Forging Limited · NSE:HAPPYFORGE
Happy Forging — Happy Forgings — Q2 FY27 Earnings Presentation
46 slides from Happy Forging's earnings presentation, Nov 5, 2026
Slide 1: Exchange filing cover letter
November 05, 2026 To BSE Ltd, National Stock Exchange of India Ltd. Corporate Relationship Department, Listing Department, Phiroze Jeejebhoy Towers, Exchange Plaza, Bandra-Kurla Complex, Dalal Street, Mumbai - 400 001 Bandra (East), Mumbai- 400 051 Scrip Code: 544057 Symbol: HAPPYFORGE Sub : Present
Slide 2: Investor Presentation Q2 & H1FY27
INVESTOR PRESENTATION Q2 & H1FY27
Slide 3: Safe Harbour
SAFE HARBOUR 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 4: Investor Presentation Roadmap
INVESTOR PRESENTATION ROADMAP Q2 & H1FY27 PERFORMANCE HIGHLIGHTS 01 Delivering Growth With Strengthening Operational Performance COMPANY OVERVIEW 02 Engineering Excellence Across Products, Customers & Markets FORGING SUCCESS: VALUE-CREATING TRANSFORMATION 03 Building Scale, Efficiency & Sustainable
Slide 5: Q2 & H1FY27 Performance Highlights
Q2 & H1FY27 PERFORMANCE HIGHLIGHTS 01 Delivering Growth With Strengthening Operational Performance COMPANY OVERVIEW 02 Engineering Excellence Across Products, Customers & Markets FORGING SUCCESS: VALUE-CREATING TRANSFORMATION 03 Building Scale, Efficiency & Sustainable Competitive Strength HISTORICA
Slide 6: Message from the Managing Director
MESSAGE FROM THE MANAGING DIRECTOR Commenting on the results, Mr. Ashish Garg, Managing Director, Happy Forgings Limited, said: “We continue to build on the strong momentum of the previous quarter, with Q2 FY27 revenue crossing Rs. 500 Crs. for the first time, registering a growth of ~33% YoY. Growt
Slide 7: Volume Growth with Improved Realisation & Margin Expansion
VOLUME GROWTH WITH IMPROVED REALISATION & MARGIN EXPANSION FG Volume Realisation/Kg Revenue Gross Profit EBITDA PAT Q2FY27 18,754 MT Rs. 267 501 Crs 305 Crs 153 Crs 98 Crs +24.8% yoy +6.3% yoy +32.7% yoy +33.8% yoy +32.2% yoy +32.8% yoy Gross Margin: 60.8% EBITDA Margin: 30.6% PAT Margin: 19.5% +52
Slide 8: Volume Growth with Improved Realisation & Margin Expansion
VOLUME GROWTH WITH IMPROVED REALISATION & MARGIN EXPANSION Strong Volume Growth Complemented by Higher Realisations and Improved per-unit Profitability, Reflecting Progress in Product Mix and Value Addition Particulars Q2FY26 Q1FY27 Q2FY27 YoY H1FY26 H1FY27 YoY Volume FG Volume 24.8% 24.0% 15,028 17
Slide 9: Higher Value Addition, Broader Revenue Mix
HIGHER VALUE ADDITION, BROADER REVENUE MIX PRODUCT MIX SECTOR MIX GEOGRAPHY MIX 14% 13% 16% 15% 16% 16% 11% 10% 12% 11% 11% 12% 32% 34% 31% 6% 5% 9% 89% 88% 90% 37% 37% 33% 74% 73% 72% FY26 H1FY26 H1FY27 Non-Automotive - Industrials FY26 H1FY26 H1FY27 11% 12% 10% Non-Automotive - Off-Highway Non-Aut
Slide 10: Expanding Capabilities Across the Weight Spectrum
EXPANDING CAPABILITIES ACROSS THE WEIGHT SPECTRUM Progressively Extending Capabilities Into Heavier and Complex Components to Unlock New Growth Opportunities 10kg 20kg 30kg 50kg 70kg 100kg 150kg 250kg 500kg 1,000kg 3,000kg Installed Utilisation Weight range >> Capacity H1FY27 PLANNED ADDITIONS (59,0
Slide 11: Capacity Addition Plan at New Plant in Dugri
CAPACITY ADDITION PLAN AT NEW PLANT IN DUGRI Manufacturing Facility Layout at Dugri, Ludhiana Installed & Operational Capacity – H1FY27 Location Forging Machining Kanganwal 67,000 29,500 D Unutilised land Operational A Dugri 91,000 52,500 TOTAL 158,000 82,000 Utilisation Rate (H1FY27) 60% 77% B C Pa
Slide 12: Profit & Loss Statement
PROFIT & LOSS STATEMENT Consolidated P&L (Rs. Crs) Q2FY27 Q2FY26 YoY Q1FY27 QoQ H1FY27 H1FY26 YoY FY 2026 Revenue from Operations 501 377 32.7% 449 11.4% 950 731 29.9% 1,546 Raw Material Cost & Change in Inventories 196 150 177 373 299 632 Gross Profit 305 228 33.8% 273 11.7% 577 433 33.5% 915 Gross
Slide 13: Capital Employed and Cash Flow Movement – H1FY27
CAPITAL EMPLOYED AND CASH FLOW MOVEMENT – H1FY27 Capital Employed and Funding Structure Cash Flow Generation & Movement Figures in Rs. Crs. Mar 31, 2026 Sep 30, 2026 Figures in Rs. Crs. Sep 30, 2026 Net Worth 2,128 2,285 Profit before tax 253 Capital Borrowings & Lease Liabilities 330 543 Employed A
Slide 14: Strong Fundamentals with Healthy Returns & Lower Leverage
STRONG FUNDAMENTALS WITH HEALTHY RETURNS & LOWER LEVERAGE Healthy Internal Cash Accruals Support Organic Growth With Minimal Reliance on External Funding ROE % ROCE % 23.5% 26.2% 19.9% 21.8% 22.7% 18.7% 17.1% 17.5% 18.8% 18.2% 19.6% 14.4% 15.2% 15.2% FY21 FY22 FY23 FY24 FY25^ FY26 H1FY27 FY21 FY22 F
Slide 15: Company Overview
Q2 & H1FY27 PERFORMANCE HIGHLIGHTS 01 Delivering Growth With Strengthening Operational Performance COMPANY OVERVIEW 02 Engineering Excellence Across Products, Customers & Markets FORGING SUCCESS: VALUE-CREATING TRANSFORMATION 03 Building Scale, Efficiency & Sustainable Competitive Strength HISTORICA
Slide 16: 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 17: 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 Crs in Initiated installation of 8,000 unit for manufacturing installed for oil engine and Kanganwal Facility II revenue. tonne forg
Slide 18: 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 19: 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 18
Slide 20: Multi-Product and Multi-Industry Offerings (1/2)
MULTI-PRODUCT AND MULTI-INDUSTRY OFFERINGS (1/2) Commercial Vehicles Farm Equipment Farm Equipment Rear Axle Component Crown Wheel Suspension Products Front Axle Components Pinion Differential Case Crankshaft Crankshaft Axle Shaft Passenger PassengerVehicles Vehicles Off-highway Off-highwayVehicles
Slide 21: Multi-Product and Multi-Industry Offerings (2/2)
MULTI-PRODUCT AND MULTI-INDUSTRY OFFERINGS (2/2) Power Generation Railways Crankshaft Piston Pin Connecting Rod Windmill Applications Oil & Gas Valve Bodies Planetary Housing Output Shaft Carrier 20
Slide 22: 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 23: 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 24: Expertise in High-Tonnage Presses and Precision Machining
EXPERTISE IN HIGH-TONNAGE PRESSES AND PRECISION MACHINING Kanganwal I, Ludhiana (Started in 1995) Kanganwal II, Ludhiana (Started in 2006) Dugri, Ludhiana (Started in 2021) 1,58,000 MT Total Forging Capacity* 82,000 MT Total Machining Capacity* Continuous Investment in in- 47+ Years house infrastruc
Slide 25: Architects of Progress
ARCHITECTS OF PROGRESS Executive Directors Paritosh Kumar Ashish Garg Megha Garg Chairman & Managing Director Managing Director Whole-time Director ▪ 47+ Years of experience ▪ 19+ Years of experience ▪ 10+ Years of experience ▪ Founded Happy Forgings in 1979 ▪ Joined Happy Forgings in 2006 ▪ Joined
Slide 26: 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 27: Forging Success: Value-Creating Transformation
Q2 & H1FY27 PERFORMANCE HIGHLIGHTS 01 Delivering Growth With Strengthening Operational Performance COMPANY OVERVIEW 02 Engineering Excellence Across Products, Customers & Markets FORGING SUCCESS: VALUE-CREATING TRANSFORMATION 03 Building Scale, Efficiency & Sustainable Competitive Strength HISTORICA
Slide 28: Forging Success: Value-Creating Transformation
FORGING SUCCESS: VALUE-CREATING TRANSFORMATION A Snapshot of Building Scale, Efficiency & Sustainable Competitive Strength (FY21 to FY26) Scale With value Profitable Growth Financial Strength Capacity Transformation FY21 to FY26 FY21 to FY26 FY21 to FY26 FY21 to FY26 63,105 MT Sales CAGR 21% Cumulat
Slide 29: Scaling Volumes While Enhancing Value Addition & Realisations
SCALING VOLUMES WHILE ENHANCING VALUE ADDITION & REALISATIONS Growth Driven by Increasing Penetration In High-value and Precision-engineered Components Realisation/Kg (Rs.) EBITDA/Kg (Rs.) Finished Goods Volume (MT) FY21 to FY26 63,105 1.8x 55,379 56,906 50,656 42,777 35,534 248 243 245 232 201 1.5x
Slide 30: Delivering Strong & Steady Growth Across Financial Metrics
DELIVERING STRONG & STEADY GROWTH ACROSS FINANCIAL METRICS 21% CAGR (FY21-26) 22% CAGR (FY21-26) 24% CAGR (FY21-26) 28% CAGR (FY21-26) 10 Year CAGR – 15%^ 10 Year CAGR – 17%^ 10 Year CAGR – 20%^ 10 Year CAGR – 33%^ FY21-26 2.6x FY21-26 2.7x FY21-26 3.0x FY21-26 3.5x Rs Crs. 1,546 1,409 1,358 1,197 9
Slide 31: Margin Expansion Driven by Value Addition and Efficiency
MARGIN EXPANSION DRIVEN BY VALUE ADDITION AND EFFICIENCY 215 bps (FY21-26) 330 bps (FY21-26) 473 bps (FY21-26) 57.0% 58.0% 59.1% 54.8% 53.9% 56.1% 30.4% 27.1% 26.8% 28.5% 28.5% 28.9% 19.5% 17.4% 17.9% 19.0% 14.8% 16.5% Gross Margin EBITDA Margin PAT Margin FY21 FY22 FY23 FY24 FY25 FY26 Improvi
Slide 32: Strong Cash Generation Funding Capacity Build-up
STRONG CASH GENERATION FUNDING CAPACITY BUILD-UP Strong Cash Accruals Driven by High Margins and Working Capital Efficiency Supporting Capacity Expansion Particulars (Rs. Crs.) FY21 FY22 FY23 FY24 FY25 FY26 ∑ (FY21-FY26) EBITDA 159 231 341 388 407 471 1,995 Cash Accrual EBITDA Margin (%) 27.1% 26.8%
Slide 33: Fortress Balance Sheet Supporting Long Term Growth
FORTRESS BALANCE SHEET SUPPORTING LONG TERM GROWTH Strong Return Ratios Maintained Through Disciplined Capital Allocation With Further Upside From Utilisation Ramp-up Particulars (Rs Crs.) Mar 31, 21 Mar 31, 22 Mar 31, 23 Mar 31, 24 Mar 31, 25 Mar 31, 26 ROE % Net Worth 645 788 988 1,612 1,850 2,128
Slide 34: Building Capacities for Resilient and Sustainable Growth
BUILDING CAPACIITIES FOR RESILIENT AND SUSTAINABLE GROWTH Installed Capacity and Utilisation Forging Capacity (in MT) Machining Capacity (in MT) FY21-26 2.2x FY21-26 2.3x 148,000 127,000 120,000 107,000 81,000 67,000 68,000 57,000 51,000 46,100 35,500 29,500 60% 67% 63% 58% 57% 59% 71% 78% 79% 87% 8
Slide 35: Historical Financial Performance
Q2 & H1FY27 PERFORMANCE HIGHLIGHTS 01 Delivering Growth With Strengthening Operational Performance COMPANY OVERVIEW 02 Engineering Excellence Across Products, Customers & Markets FORGING SUCCESS: VALUE-CREATING TRANSFORMATION 03 Building Scale, Efficiency & Sustainable Competitive Strength HISTORICA
Slide 36: Profit & Loss Statement
PROFIT & LOSS STATEMENT Profit and Loss (Rs. Crs) H1FY27 FY26 FY25^ FY24 FY23 FY22 FY21 Revenue from Operations 950 1.546 1,409 1,358 1,197 860 585 Raw Material Cost & Change in Inventories 373 632 592 597 551 388 252 Gross Profit 577 915 817 762 645 472 333 Gross Profit Margin (%) 60.8% 59.1% 58.0%
Slide 37: Balance Sheet
BALANCE SHEET Sep 30, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Sep 30, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Assets (Rs. Crs) Equity & Liabilities (Rs. Crs) 2026 2026 2025 2024 2023 2022 2026 2026 2025 2024 2023 2022 Non-Current Assets 1,905 1,562 1,297 1,144 836 704 EQUITY 2,286 2,128 1,850 1,612
Slide 38: Cash Flow
CASH FLOW Sep 30, Mar 31, Mar 31, Mar 31, Mar 31, Mar 31, Cash Flow Statement (Rs. Crs) 2026 2026 2025 2024 2023 2022 Profit before tax 253 402 360 324 280 192 Adjustments for depreciation and other items 39 77 65 72 71 40 Operating profit before working capital changes 292 479 424 396 351 232 Chang
Slide 39: Beyond Financials: Creating Lasting Impact
Q2 & H1FY27 PERFORMANCE HIGHLIGHTS 01 Delivering Growth With Strengthening Operational Performance COMPANY OVERVIEW 02 Engineering Excellence Across Products, Customers & Markets FORGING SUCCESS: VALUE-CREATING TRANSFORMATION 03 Building Scale, Efficiency & Sustainable Competitive Strength HISTORICA
Slide 40: Governance: Diverse Board with Strong Independent Directors
GOVERNANCE: DIVERSE BOARD WITH STRONG INDEPENDENT DIRECTORS 64 55 70 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 Karthigey
Slide 41: ESG: Key Initiatives
ESG: KEY INITIATIVES Director’s Statement “As we continue our journey as a listed organisation, we are strengthening the integration of Environmental, Social and Governance (ESG) principles into our strategy and operations. During the year, we formalised our ESG roadmap with clear priorities and gov
Slide 42: ESG Targets and Commitments
ESG TARGETS AND COMMITMENTS Environment Social Governance Screen suppliers for sustainability Reduce Scope 1 and Scope 2 emissions by Cover 100% of our workforce with skill alignment 50% by 2030# development programs Strengthen policies on ethical conduct Achieve 100% Zero Liquid Discharge
Slide 43: Social – CSR Activities
SOCIAL – CSR ACTIVITIES Total CSR Spend – FY2021-2026 CSR Spend Details Category Key Projects / Organizations funded Pictures Gallery ▪ Developed vocational college for underprivileged girls with Bal Vikas Trust ▪ Constructed Primary Government School at Kanganwal, Ludhiana Others ▪ Built Government
Slide 44: Awards, Accreditations and Recognitions
AWARDS, ACCREDITATIONS AND RECOGNITIONS 2026 Best Supplier Award for delivery performance – TAFE Supplier Meet 2026 Best Quality Performance Award 2025 – By Dana Incorporated 2025 Dun & Bradstreet ‘Business Excellence Awards 2025’: Automobiles - OEM & Components (Mid-Corporate) Special Appreciation
Slide 45: 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 44
Slide 46: For Further Information, Please Contact
FOR FURTHER INFORMATION, PLEASE CONTACT CIN: L28910PB1979PLC004008 COMPANY Mr. Vikas Thakur E: [email protected] T: +91 99159 51913 www.happyforgingsltd.com CIN: U74140MH2010PTC204285 INVESTOR RELATIONS Ms. Ami Parekh/ Mr. Jigar Kavaiya ADVISOR E: [email protected] / jigar