Ramkrishna Forgings gained 3.62% to Rs 1145.30 after the company signed a Memorandum of Understanding (MoU) with a US-based technology partner for the development of Electric Vehicle Powertrain components for the Indian EV market.
The signed MoU marks the foray in a big way for both the entities into the EV market in India. Ramkrishna Forgings said the technology partner is a leading expert in magnetic engineering innovations. The US-based company’s expertise lies in efficiency enhancement which bestows a superior hallmark over its peers in the various industries they operate in.
Commenting on the MoU, Naresh Jalan, MD of Ramkrishna Forgings said, intending to be the most preferred supplier to its customers, we continue to invest significantly in the R&D and technologies over the years and exhibited international quality standards. Having a wide range of processing technologies allows Ramkrishna Forgings to vastly expand its product offering in terms of complexities and designs, thereby acting as a one-stop destination for its customers. Both the organizations have congruent goals, and each strives to be at the forefront of the EV revolution happening in India. The synergies between the organizations fit in exceedingly well. Superior technology has the potential to pave its way into the Indian EV Market riding on the back of a trusted manufacturing partner like Ramkrishna Forgings. We expect the EV adoption pace to be faster in 2W / 3W as compared to Passenger Vehicles and have aligned our EV strategy with this hypothesis. This association sees a significant potential to accelerate the Electrification of the Indian automotive market.
Shares of Ramkrishna Forgings hit a record high of Rs 1,187 intraday today. The stock has climbed 263% from its 52-week low of Rs 315.15 posted on 14 October 2020.
Ramkrishna Forgings is a manufacturer of supplier of open and closed die forgings of carbon and alloy steel, micro-alloy steel, and stainless-steel forgings. The company reported a consolidated net profit of Rs 24.69 crore in Q1 FY22 as against a net loss of Rs 29.48 crore in Q1 FY21. Net sales during the quarter increased by 267.1% Y-o-Y (year-on-year) to Rs 417.11 crore.