Ramkrishna Forgings shares trade higher on capacity addition

Shares of Ramkrishna Forgings gained in early trade on April 4 after new production lines went on stream.

At 9:21am, Ramkrishna Forgings was quoting Rs 717.55, up Rs 9.20, or 1.30 percent, on the BSE.

"The company has commenced commercial production of 4,500 MT of ENOMOTO 630 Tonnes Press Line and 13,750 MT of Maxi Press 6,000 Tonnes Press Line at company's Plot No. 1988, Mouza Dugni, PO Kolabira, Dist. Saraikella, Kharswan w.e.f. 3 April, 2024," it said in a release.

This will enhance the production capacity of the company by 18,250 tonnes per annum (TPA), it added. The total production capacity of the company will now be 2,29,150 TPA.

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The company has invested around Rs 54.59 crore for making the capacity addition as per the capex plan of the company, which has been financed by a mix of equity and debt.

The 630-tonne press line will help strengthen the company's foray into warm forgings, while the 6,000-tonne press line will help cater to additional demands from customers.