Tirupati Forge Limited (TIRUPATIFL)
📢 Recent Corporate Announcements
Tirupati Forge Limited has approved the allotment of 37,00,000 fully convertible equity warrants on a preferential basis to its promoters and promoter group at an issue price of Rs 58 per warrant. The total issue aggregates to Rs 21.46 crore, against which the company has received 25% upfront consideration of Rs 5.365 crore. The warrants can be converted into equity shares within an 18-month tenure upon payment of the remaining 75% balance. The total capital infusion represents approximately 16.1% of the company's net worth of Rs 133 crore.
- Allotment of 37,00,000 convertible equity warrants at Rs 58 each (including Rs 56 premium)
- Total issue value aggregates to Rs 21.46 crore, representing ~16.1% of Net Worth (Rs 133 Cr)
- Upfront receipt of Rs 5.365 crore (25% consideration) in cash from promoters
- Conversion window valid up to 18 months from the date of allotment
Tirupati Forge Limited's Board has approved the allotment of 37,00,000 fully convertible equity warrants at an issue price of Rs 58 each (including Rs 56 premium) on a preferential basis to promoters, totaling Rs 21.46 crore. The company received Rs 5.365 crore (25% upfront consideration), with the balance payable upon conversion within 18 months. The total issue size represents ~16.1% of the company's reported net worth of Rs 133 crore.
- Allotment of 37,00,000 convertible warrants at Rs 58 per warrant aggregating to Rs 21.46 crore
- Upfront consideration of 25% received amounting to Rs 5,36,50,000
- Allotted to promoters: Chetna Thumar (13.88 lakh), Bhargvi Thummar (13.88 lakh), and MD Hiteshkumar Thummar (9.25 lakh)
- Conversion window open for 18 months from the date of allotment
Tirupati Forge Limited has issued a notice convening its 14th Annual General Meeting (AGM) on Friday, September 25, 2026, at 11:00 AM IST. The meeting will be conducted virtually through Video Conferencing (VC) and Other Audio Visual Means (OAVM). The notice has been dispatched electronically to registered shareholders and made available on the company website pursuant to SEBI regulations.
- 14th Annual General Meeting scheduled for September 25, 2026, at 11:00 AM IST
- Meeting to be held via Video Conferencing (VC) / Other Audio Visual Means (OAVM)
- Notices dispatched electronically and made available on the corporate website
The Board of Directors of Tirupati Forge has approved the re-appointment of Shri Hiteshkumar Gordhanbhai Thummar as Chairman & Managing Director for a five-year term commencing July 31, 2027, through July 30, 2032. His current tenure is due to expire on July 30, 2027. The proposed extension and remuneration terms are subject to shareholder approval at the 14th Annual General Meeting scheduled for September 25, 2026. The Board also approved the FY26 Annual Report and the remuneration of the cost auditor for FY27.
- Re-appointment of CMD Hiteshkumar Thummar approved for a 5-year term from July 31, 2027, to July 30, 2032
- Current CMD tenure is due to expire on July 30, 2027
- 14th Annual General Meeting scheduled to be convened on September 25, 2026, at 11:00 A.M. via VC/OAVM
- Board meeting conducted on August 24, 2026, from 4:45 P.M. to 5:15 P.M.
Tirupati Forge Limited's Board of Directors approved the re-appointment of Shri Hiteshkumar Gordhanbhai Thummar as Chairman & Managing Director for a further period of five consecutive years, effective from July 31, 2027, to July 30, 2032, subject to shareholder approval. The Board also approved the Board's Report for the financial year ended March 31, 2026, and scheduled the 14th Annual General Meeting (AGM) for Friday, September 25, 2026. Additional administrative approvals included the appointment of NSDL for remote e-voting and cost auditor remuneration for FY 2026-27.
- Re-appointment of CMD Hiteshkumar Thummar approved for 5 consecutive years (July 31, 2027, to July 30, 2032)
- 14th Annual General Meeting scheduled for September 25, 2026, at 11:00 AM via VC/OAVM
- Approval of the Board's Report and financial statements for FY ended March 31, 2026
- Appointment of NSDL for e-voting and CS Piyush Jethva as scrutinizer for the AGM
Tirupati Forge reported a 17.9% YoY increase in revenue to Rs 38.10 Cr for the quarter ended June 30, 2026. However, net profit declined by 13.6% to Rs 1.22 Cr compared to Rs 1.41 Cr in the previous year's corresponding quarter. The company is currently in a transition phase, pivoting toward defense manufacturing (shell bodies), with production having commenced in Q1 FY27. A significant legacy issue remains as the company made a provision of Rs 1.20 Cr for funds stuck in a defaulted co-operative society since 2020.
- Revenue from operations increased 17.9% YoY to Rs 38.10 Cr from Rs 32.30 Cr.
- Net profit fell to Rs 1.22 Cr from Rs 1.41 Cr YoY, reflecting a thin net margin of 3.2%.
- Converted 25,60,000 warrants into equity shares during the quarter, with 8,50,000 warrants still outstanding.
- Provision of Rs 1.20 Cr recognized for expected credit loss on fixed deposits stuck in a defaulted co-operative society since November 2020.
- Finance costs increased to Rs 0.95 Cr from Rs 0.73 Cr YoY, indicating higher debt servicing or working capital needs.
Shareholders of Tirupati Forge Limited (TIRUPATIFL) have approved resolutions to increase the company's authorized capital and issue convertible warrants on a preferential basis during the EGM held on July 31, 2026. The resolution to increase authorized capital passed with 100% of the 6.36 crore valid votes cast in favor. This approval provides the necessary regulatory framework for the company to raise funds, likely to support its strategic pivot into defense manufacturing. The company is currently establishing a fully automated shell body manufacturing plant with production expected to commence in Q1 FY27.
- Resolution to increase authorized capital passed with 63,610,551 votes in favor (100% of valid votes).
- Special Resolution for the issue of convertible warrants on a preferential basis was approved by shareholders.
- A total of 69 shareholders attended the meeting via video conferencing, including 5 from the promoter group.
- The voting was based on a cut-off date of July 24, 2026, involving a total of 58,680 shareholders.
- The company issued two corrigendums to the EGM notice on July 20 and July 28, 2026, following stock exchange instructions.
Tirupati Forge Limited has entered into a Technical Collaboration MOU with a Brazilian defense technology professional to develop and manufacture 155mm M107 and 155mm ERFB BB/BT empty shell bodies. This collaboration aims to leverage international expertise to meet NATO standards and supports the company's strategic pivot into defense manufacturing. The company previously indicated that commercial operations for defense shell bodies are expected to start in Q4 FY26, with a target of 100% capacity utilization by H2 FY27. This MOU involves no equity dilution and focuses purely on technical guidance and product development.
- Technical collaboration for 155mm M107 and 155mm ERFB BB/BT empty shell bodies.
- Partnership with a Brazilian defense professional to ensure compliance with NATO requirements.
- Supports the company's goal to reach 100% capacity utilization at its new defense unit by H2 FY27.
- Zero equity participation or change in shareholding pattern as part of this agreement.
- MOU remains valid until the successful development of the specified defense products.
Tirupati Forge Limited (TIRUPATIFL) held an Extraordinary General Meeting on July 31, 2026, where shareholders approved the issuance of 37,00,000 convertible warrants to the promoter group. The fundraise, totaling ₹21.46 crore, is priced at ₹58 per warrant, representing a discount to the current market price of ₹73.3. The proceeds are specifically earmarked for manufacturing capacity expansion, particularly for the company's pivot into defence shell body production. This capital infusion represents approximately 16.1% of the company's current net worth of ₹133 crore.
- Issuance of 37,00,000 convertible warrants to the Promoter and Promoter Group at ₹58 each
- Total fundraise of ₹21,46,00,000 (₹21.46 Cr) to support defence sector expansion
- Authorized Share Capital increased from ₹26.50 Cr to ₹27.50 Cr to accommodate the issue
- Proceeds allocated for plant and machinery purchase and enhanced working capital
- Strategic focus on reaching 100% capacity utilization in the defence unit by H2 FY27
Tirupati Forge has issued a second corrigendum to its Extraordinary General Meeting (EGM) notice scheduled for July 31, 2026. The correction clarifies the shareholding pattern following a proposed preferential issue of 37,00,000 convertible warrants and the conversion of 8,50,000 existing warrants. Post-conversion, the promoter holding is projected to increase from 49.75% to 50.82% on a fully diluted basis. The total share capital will expand from 12.92 crore to 13.37 crore shares, representing a ~3.5% equity dilution.
- Proposed issuance of 37,00,000 new convertible warrants to be voted on at the July 31, 2026 EGM
- Total equity shares to increase to 13,37,40,000 from 12,91,90,000 post-conversion of all warrants
- Promoter holding corrected to 50.82% post-issue, up from the current 49.75%
- Public shareholding expected to marginally decrease from 38.75% to 38.07%
- Remote e-voting period scheduled from July 28, 2026, to July 30, 2026
Tirupati Forge has issued a corrigendum for its July 31, 2026, EGM regarding a preferential issue of 37 lakh convertible warrants to its promoters. The warrants are priced at Rs 58 each, aiming to raise approximately Rs 21.46 crore, which represents about 16.1% of the company's net worth (Rs 133 Cr). The corrigendum clarifies that the issue consists solely of warrants and provides a corrected fully diluted post-issue promoter holding of 50.82%. This capital infusion is critical as the company pivots toward defense manufacturing starting in FY27.
- Preferential issue of 37,00,000 convertible warrants to the promoter group at Rs 58 per warrant
- Total fundraise of Rs 21.46 crore, equivalent to ~16.1% of the company's net worth
- Promoter holding to increase from 49.42% to 50.82% on a fully diluted basis post-conversion
- Issue price of Rs 58 is set above the 10-day VWAP floor price of Rs 57.75
- Warrants are convertible into equity shares within a period of 18 months from allotment
Tirupati Forge Limited has approved the allotment of 8,50,000 equity shares following the conversion of the final batch of warrants issued in January 2025. The company received Rs 2.04 crore, representing the 75% balance payment from four non-promoter allottees at an issue price of Rs 32 per share. With this allotment, the entire 1,17,60,000 warrant issue is now fully converted, leaving zero warrants outstanding. This concludes the capital-raising cycle initiated 18 months ago, slightly increasing the total paid-up capital to Rs 26.008 crore.
- Conversion of 8,50,000 warrants into equity shares at a price of Rs 32 per share (including Rs 30 premium).
- Receipt of Rs 2.04 crore as the 75% balance consideration from 4 non-promoter allottees.
- Total warrants outstanding reduced to NIL from the original 1,17,60,000 warrants issued on January 16, 2025.
- Paid-up equity capital increased from Rs 25.838 crore to Rs 26.008 crore.
- The conversion was completed within the prescribed 18-month regulatory window.
Tirupati Forge has completed the conversion of its final 8,50,000 warrants into equity shares at an issue price of Rs 32 per share. This concludes the larger preferential issue of 1,17,60,000 warrants initiated in January 2025, with the company receiving the remaining 75% consideration of Rs 2.04 crore for this final tranche. The total paid-up equity capital has increased to Rs 26.01 crore. All warrants from the 2025 issue have now been fully converted within the prescribed 18-month period.
- Allotment of 8,50,000 equity shares at Rs 32 per share (Rs 2 face value + Rs 30 premium)
- Receipt of Rs 2.04 crore representing the final 75% payment from four non-promoter allottees
- Completion of the full 1,17,60,000 warrant issue originally allotted on January 16, 2025
- Paid-up equity capital increased to Rs 26,00,80,000 from Rs 25,83,80,000
- Zero warrants remain outstanding following this conversion
Tirupati Forge Limited has filed its quarterly compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018. The certificate, issued by MUFG Intime India Pvt. Ltd., confirms that share certificates received for dematerialization during the quarter ended June 30, 2026, were processed and confirmed to the depositories. This is a standard administrative filing required for all listed companies to ensure the integrity of shareholding records. It has no impact on the company's financial performance or its strategic pivot toward defense manufacturing.
- Compliance certificate submitted for the quarter ended June 30, 2026.
- Issued by Registrar and Share Transfer Agent (RTA) MUFG Intime India Pvt. Ltd.
- Confirms that security certificates were mutilated and cancelled after due verification.
- Confirms the name of the depositories has been substituted in the register of members within prescribed timelines.
Tirupati Forge has scheduled an Extraordinary General Meeting (EGM) for July 31, 2026, to seek approval for a ₹21.46 crore fundraise. The company plans to issue 37,00,000 convertible warrants to its promoters at a price of ₹58 per warrant, which is a discount to the current market price of ₹70.7. This capital infusion represents approximately 16.1% of the company's net worth (₹133 Cr) and is intended to support its strategic pivot into defense manufacturing. Promoters will contribute 25% of the total amount upfront, with the balance due within 18 months upon conversion into equity shares.
- Preferential issue of 37,00,000 convertible warrants to the Promoter and Promoter Group
- Total fundraise of ₹21.46 crore at an issue price of ₹58 per warrant (Face Value ₹2 + Premium ₹56)
- Authorized share capital to be increased from ₹26.50 crore to ₹27.50 crore to accommodate the issue
- Promoters to pay 25% of the issue price (approx. ₹5.36 Cr) at the time of subscription
- Warrants are convertible into equity shares within a maximum period of 18 months
Financial Performance
Revenue Growth by Segment
The company operates in a single segment (Forging). Total income for Q2 FY26 reached INR 40.73 Cr, representing a 23.7% growth QoQ from INR 32.92 Cr in Q1 FY26. For H1 FY26, revenue was INR 73.64 Cr, up 19.1% YoY from INR 61.82 Cr.
Geographic Revenue Split
The United States is identified as the key export market. While specific regional percentages are not disclosed, the 50% duty imposed by the U.S. significantly influenced the revenue increase to INR 40.73 Cr in Q2 FY26 due to higher tariff-inclusive pricing.
Profitability Margins
Net Profit Margin for Q2 FY26 stood at 3.3% (INR 1.34 Cr), a decline from the previous quarter's 4.3%. H1 FY26 Net Profit was INR 2.75 Cr, a 47.6% decrease from INR 5.25 Cr in H1 FY25, primarily due to higher depreciation and finance costs.
EBITDA Margin
EBITDA for Q2 FY26 was INR 4.29 Cr, resulting in an EBITDA margin of 10.5%. This was a marginal 0.2% decrease from INR 4.30 Cr in Q1 FY26, reflecting pressure from increased employee expenses and operational costs.
Capital Expenditure
In H1 FY26, the company invested INR 19.43 Cr in Property, Plant, and Equipment (net of subsidy) and Capital Work in Progress, primarily for the new defence manufacturing unit and solar assets.
Credit Rating & Borrowing
Not disclosed in available documents; however, finance costs increased during the period due to the commissioning of solar and defence assets.
Operational Drivers
Raw Materials
Carbon Steel represents the primary raw material for manufacturing forged flanges and components, though its specific percentage of total cost is not disclosed.
Capacity Expansion
The company is establishing a fully automated shell body manufacturing plant for the defence sector. Production is expected to commence in Q1 FY27, with a target of 100% capacity utilization by H2 FY27. Further expansion of the defence facility is planned for FY27.
Raw Material Costs
Raw material costs are a significant component of the manufacturing process for forged flanges, but specific YoY cost changes and procurement strategies were not detailed beyond the impact of US tariffs on final pricing.
Manufacturing Efficiency
The company aims for 100% capacity utilization at its new defence unit by H2 FY27 to optimize manufacturing efficiency and absorb fixed costs.
Strategic Growth
Expected Growth Rate
20%
Growth Strategy
Growth will be driven by a transformational shift into defence manufacturing (shell body production) starting Q1 FY27. The company expects meaningful topline growth and improved profitability from Q2 FY27 as the defence unit scales to 100% capacity and the solar plant reaches full utilization.
Products & Services
Carbon Steel Forged Flanges, Forged Components, Automotive Components, and Defence Shell Bodies.
Brand Portfolio
Tirupati Forge.
New Products/Services
Defence shell bodies are the primary new product line, with commercial operations expected to start in Q4 FY26 and contribute significantly to revenue from FY27 onwards.
Market Expansion
Expansion into the domestic and international defence ecosystem is the primary focus, with facility expansions planned for FY27 to meet inbound inquiries.
External Factors
Industry Trends
The forging industry is seeing a shift toward specialized components for defence. Tirupati Forge is positioning itself for this transition by building a fully automated, state-of-the-art shell body plant to capture domestic and international demand.
Competitive Landscape
The company faces competition in the global forging market, particularly from low-cost producers, necessitating a move into high-value defence segments.
Competitive Moat
The company's moat is built on its strategic pivot to automated defence manufacturing and its commitment to sustainable energy through captive solar assets, which are expected to provide a long-term cost advantage.
Macro Economic Sensitivity
Highly sensitive to international trade policies and tariffs, particularly U.S. import duties which directly impact export competitiveness.
Consumer Behavior
Increasing demand for indigenous defence production in India is a key trend the company is leveraging.
Geopolitical Risks
Trade barriers, such as the 50% U.S. duty, represent a significant geopolitical risk to the company's established forging export business.
Regulatory & Governance
Industry Regulations
Operations are subject to U.S. import tariffs (50% duty) and Indian government solar energy policies, both of which have recently impacted financial performance.
Environmental Compliance
The company is investing in clean energy via a solar plant to ensure long-term ESG compliance and reduce carbon footprint.
Taxation Policy Impact
The effective tax rate for H1 FY26 was approximately 26.5% (INR 0.99 Cr tax on INR 3.74 Cr PBT).
Legal Contingencies
The company has made a provision for expected credit loss of INR 1.20 Cr as of September 30, 2025, related to pending legal cases CC/1349/2021 to CC/1352/2021.
Risk Analysis
Key Uncertainties
The primary uncertainty is the timeline for the defence unit to reach 100% capacity utilization and the potential for further changes in U.S. trade policy or domestic solar regulations.
Geographic Concentration Risk
High geographic concentration in the U.S. market for exports, which is currently subject to a 50% duty.
Technology Obsolescence Risk
The company is mitigating technology risk by investing in a 'state-of-the-art' fully automated plant for its defence foray.
Credit & Counterparty Risk
The INR 1.20 Cr provision for credit loss indicates some historical challenges with receivable recovery or counterparty defaults.
