Shares of Balu Forge Industries Ltd. rose 1% to touch the day’s high of Rs 769 on 18th November after the firm announced an MoU to expand operations in the defence and railway sectors.

A board meeting on 14th November approved the creation of a special purpose vehicle (SPV) between Balu Forge and Swan Energy Limited to expand operations in defence, aerospace, railways, and nuclear industries.

Swan Energy, a leading oil and gas services and petrochemical trading company is collaborating with precision engineering firm Balu Forge to explore global opportunities to supply products and solutions for these sectors.

Balu Forge announced forming an SPV with Swan Energy, involving equity share subscription, to pursue a proposed business venture.

The company reported a consolidated PAT of Rs 48.1 crore for Q2 FY25, more than doubling from Rs 23.27 crore in Q2 FY24.

Revenue in Q2 FY25 grew 60.1% to Rs 222.8 crore, up from Rs 139.22 crore in Q2 FY24, driven by client additions and strong demand for specialised engineering products.

So far in 2024, the shares of Balu Forge have given astounding returns of 173%. Currently, the firm’s market capitalisation stands at around Rs 8,187 crore.

At 11:03 AM, the shares of Balu Forge were trading 0.020% higher at Rs 750.15 on NSE.

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