Hilton Metal Forging Ltd launches Wagon Axle for Railway Wagons

Hilton Metal Forging Ltd, a leading manufacturer in the Forging industry products catering to Railways with railway forged wagon wheel; Oil and Gas sector with flanges, forged fittings ; Turbine blades for wind energy Sector etc has announced the the launch of new product - Wagon Axle for Railway Wagons. Currently India depends on imports of Wagon Axles to meet shortfall. Under "Make In India" and "AtmaNirbhar Bharat" initiative, Hilton metal forgings will save precious forex and timely delivery to local Railway wagon manufacturers.

Looking forward, the company is eyeing substantial business opportunities in the Railway Forged Wagon Wheel sector. With an installed capacity to manufacture 48,000 wheels annually, the company is well-positioned to meet increasing demands of Wheels shortfall and Wagon wheelset supply in future once company starts manufacturing wagon wheelsets post approval from RITES.

Recently, the board of directors considered and approved the proposal increasing paid up capital from Rs 25 crore to Rs 35 crore to increase companies business, subject to regulatory/statutory approvals as may be required and the approval of the shareholders of the company. Company plans to raise Funds upto Rs 100 crore through fresh issuance of additional equity.

Hilton Metal has reported exceptional operational and financial performance for Q4 and 12 months of FY24. For FY2023-24 ended March 2024, the company has reported a rise 14.1% in net profit to Rs. 6.68 crore as compared to net profit of Rs. 5.86 crore reported in the corresponding period last year. Total income of the company also registered growth of 32.7% to Rs. 139.88 crore in FY24 as compared to total income of Rs. 105.39 crore reported in same period last year. For Q4FY24, company has reported a net profit of Rs. 54.9 lakh with a Y-o-Y growth of 120% and Total income of Rs. 34.53 crores with Y-o-Y growth of 11.7%.

The company had initiated development of technically specialized product - Railway Forged Wagon wheel business in early 2022 and has supplied over 2,500 units and Rail Gear Blanks within the last 18 months. Hilton Metal supplies Railway Forged Wagon Wheel for the replacement market across various Indian Railway Workshops in India.

Established in 2005, Hilton Metal Forging Ltd has built a robust reputation as a manufacturer and distributor in the steel forging industry, offering a diverse range of products including flanges, fittings, and oilfield and marine components. The company has successfully expanded its portfolio by manufacturing turbine blades for wind energy sector and making inroads into the railway business with the production of forged wheels and now wagon axle. Hilton Metal has a complete in-house facility of Forging, Machining, Heat Treatment and Lab Testing under one roof at it's huge manufacturing facility spread across 5 acres at Wada, Maharashtra. Company has reported strong growth over the years with 3 year CAGR of 43% in Sales and 33% in Net profit.

Shares of Hilton Metal Forging Limited was last trading in BSE at Rs. 108.80 as compared to the previous close of Rs. 108.80. The total number of shares traded during the day was 112031 in over 266 trades.

The stock hit an intraday high of Rs. 110.75 and intraday low of 107.10. The net turnover during the day was Rs. 12175095.00.

Source : Equity Bulls

Keywords

HiltonMetalForging INE788H01017 NewProductLaunch WagonAxle RailwayWagons