Ramkrishna Forgings to Venture into Forged Wheels Manufacturing with Chennai Plant Investment of Rs 2,000 Crore

Ramkrishna Forgings Prepares to Launch Commercial Operations of Chennai Facility

Ramkrishna Forgings, a Kolkata-based manufacturer and supplier of closed-die forgings, is gearing up to start commercial operations of its Chennai facility in June this year. This development marks the company's foray into the forged wheel manufacturing business. The facility, which has been set up at an estimated cost of Rs 2,000 crore, was established after the company received a Letter of Award (LOA) from the Indian Railways in 2023.

The company has reported a consolidated net profit of Rs 72 crore and income of Rs 4,251.19 crore in the fiscal year 2026. The Chennai project is a joint venture with a private entity, in which Ramkrishna Forgings holds a majority stake. Upon completion, the facility will be Asia's second-largest wheel manufacturing unit, with an annual production capacity of 2,28,000 forged wheels.

The project was executed in two phases, with Phase I costing Rs 1,810 crore and Phase II costing Rs 370 crore. The funding for the project was a combination of debt and equity. Ramkrishna Forgings is a well-established manufacturer and supplier of closed-die forgings of carbon and alloy steel, micro-alloy steel, and stainless steel forgings.

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In the fourth quarter of FY26, the company secured new orders worth Rs 594 crore, with 56% of the orders coming from the automotive segment and 44% from the non-automotive segment. As of March 31, the company's total orderbook stood at Rs 9,635 crore, which is expected to be executed over a period of 4 years.

The company's Managing Director, Naresh Jalan, has expressed optimism about the outlook for the company, stating that FY27 is poised to be a strong year for Ramkrishna Forgings. The company's healthy order book provides strong revenue visibility, while improving demand conditions, better operating leverage, continued diversification, and disciplined capital allocation position it well for continued long-term value creation for all stakeholders.