Amic Forging Ltd H1FY26 – Forged Profits, Hot Steel, and Some Seriously Heavy Numbers
1. At a Glance
Forged in fire, listed in style, and now heating up investors’ dashboards — Amic Forging Ltd has been hammering out profits like a blacksmith on Red Bull. As of December 2025, the company’s stock trades at a jaw-dropping ₹1,573, giving it a market cap of ₹1,650 crore — not bad for a company that started in 2007 forging steel parts in Hooghly, West Bengal.
In the latest H1FY26 results, the company reported Revenue of ₹6,712 lakh (₹67.12 crore) and PAT of ₹1,240 lakh (₹12.4 crore) with an EPS of ₹11.8. However, the headline here isn’t just about profits — it’s about how Amic is balancing scorching growth with molten-hot valuations. The stock trades at a P/E of 65.4, more than twice the industry average of 27.8, making it pricier than a samosa inside an airport.
Despite the high valuation, Amic shows muscle — ROCE of 27.9%, ROE of 21.8%, and a debt-to-equity ratio of just 0.05, meaning they forge steel with cash, not debt. The company’s sales grew 55% over 5 years, but its profit exploded by 117% over the same period.
But before you scream “multi-bagger”, hold your forging hammers. Quarterly profit slipped 45% due to one-time moderation in margins — proof that even the best forgings sometimes need a little quenching before they harden again.
2. Introduction
Picture this: a small but mighty unit in Hooghly, West Bengal, working at 85% capacity, producing heavy-duty forgings for everyone from railways to power plants to mining giants. The machines roar, sparks fly, and Amic Forging’s financials hum like a perfectly tuned lathe machine.
This isn’t your average steel story. Amic has quietly gone from a local forging player to a listed SME stock on BSE, debuting in December 2023 and then catching fire — literally and financially. It now sits comfortably among the “industrial forging elite”, rubbing elbows with AIA Engineering, Happy Forgings, and Balu Forge.
Still, this company’s story reads like an engineering thriller — IPO glory, preferential issues, resignations, and expansions all within two years of listing. Between capex announcements and CFO resignations, Amic’s timeline looks like a corporate version of “Fast & Furious: Industrial Drift.”
The company has its eyes set on a new spring manufacturing unit for wagons, expected to roll out production by April 2025, with an estimated investment of ₹20 crore. This means Amic isn’t just shaping metal — it’s reshaping its future.
But can it keep the heat up? Or will it crack under valuation pressure? Let’s find out.
3. Business Model – WTF Do They Even Do?
Amic Forging Ltd does exactly what the name screams — it forges stuff. And not just any stuff — heavy-duty, high-precision steel components that make industrial machines purr.
The company manufactures forged and machined parts in carbon steel, alloy steel, stainless steel, nickel, and tool alloys. Basically, if it’s strong enough to survive a power plant, a mining site, or a port, Amic probably makes it.
Their product range includes:
Shafts & Bars – the backbone of machinery
Rings & Flanges – because even pipes need style
Punched Discs – not for DJs, but for diesel engines
Blocks & Squares – industrial Legos, but made of steel
They serve multiple industries — steel plants, railways, mining, energy, and power transmission. So while other companies pray for demand, Amic quietly earns its bread (and steel) from essential sectors that don’t take holidays.
Their manufacturing facility in Baidyabati (Hooghly) has an installed capacity of 12,600 MT, operating at 85% utilization. That’s a factory running almost full throttle — the corporate equivalent of running a treadmill on incline 10.
And the best part? They follow international standards — AISI, BS, IS, DIN — making them globally compatible. Think of Amic as that Indian student who aces both CBSE and IB curricula.
4. Financials Overview
We’ve got the H1FY26 results here — and they’re officially Half-Yearly Results, so annualised EPS will be multiplied by 2.
Source table
Metric
Latest Half (H1FY26)
Same Half Last Year (H1FY25)
Previous Half (H2FY25)
YoY %
QoQ %
Revenue
₹6,712 lakh
₹6,458 lakh
₹6,604 lakh
3.9%
1.6%
EBITDA
₹1,823 lakh
₹1,172 lakh
₹1,600 lakh
55.6%
14.0%
PAT
₹1,240 lakh
₹1,239 lakh
₹1,300 lakh
0.1%
-4.6%
EPS (₹)
11.8
11.8
12.2
0.0%
-3.3%
Annualised EPS (H1FY26) = 11.8 × 2 = ₹23.6
At a CMP of ₹1,573, that means an annualised P/E of ~66.6, confirming that the market values this company like a rare forged sword — expensive but shiny.
Commentary: Margins look sexy, EBITDA up 56% YoY, but PAT flat due to higher depreciation and minor cost creep. Translation: profit paused to catch its breath. Investors, however, are still paying a premium because debt is negligible, and operations are pure stainless discipline.
5. Valuation Discussion – Fair Value Range Only
Let’s run three quick lenses:
a) P/E Approach
Annualised EPS: ₹23.6
Industry P/E: 27.8
Fair P/E range (Industry ±20%): 22–33
So, Fair Value Range = ₹519 – ₹779
b) EV/EBITDA Method
EV = ₹1,648 Cr
EBITDA (TTM) = ₹38 Cr
EV/EBITDA = 43.4x (ouch) If valued at 18–22x like peers:
Fair Value Range = ₹683 – ₹836 per share
c) DCF (simplified) Assuming 20% profit growth, discount rate 12%, terminal growth 4% — fair intrinsic value lies between ₹750–₹850.
