Bharat Forge slid to a day low of Rs 2,056.10 on Monday after a Rs 358 crore exceptional item pushed the company to a quarterly net loss.

The swing came down to the June quarter numbers. On a consolidated basis, Bharat Forge reported a net loss of Rs 90 crore, a sharp reversal from the Rs 284 crore profit it posted in the same quarter last year.

A one-time exceptional charge of Rs 358 crore was behind the flip into the red. Away from that one-off item, the underlying business held up reasonably well.

Consolidated revenue grew 18.7% year-on-year to Rs 4,640 crore. EBITDA rose to Rs 709.4 crore from Rs 670 crore a year earlier, though the EBITDA margin narrowed to 15.29%, down 170 basis points from last year.

On a standalone basis, the picture was steadier but still softer than a year ago. Net profit came in at Rs 321.3 crore, down 5% year-on-year, while standalone revenue rose 11.5% to Rs 2,347.4 crore.

Standalone EBITDA margin slipped to 24.9% from 27.1% the previous year. There was other news tucked into the announcement too. A plan to fund up to Rs 2,500 crore thru a combination of loan and equity was approved by the board.

Bharat Forge also flagged a fresh Rs 1,800 crore investment over the next 12 to 18 months to build new forging and machining capacity in India, and it kept its full-year growth outlook for the India business at 20 to 25%.

On the order front, the India operations won new business worth Rs 1,352 crore during the quarter, including Rs 681 crore from defence contracts, taking the defence order book to Rs 11,196 crore.

As of 14:58 pm, the stock was trading at Rs 2,062.80 on the NSE, down 8.94% for the day.

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