Porwal Auto Components is a family-run Indian foundry that has spent three decades turning molten iron into precision parts for the country’s toughest customers - carmakers, the railways, and the defence establishment. Founded in 1992 by three brothers in Pithampur, Madhya Pradesh, the company bet its future on an imported technology called Lost Foam Casting, which lets it make intricate, high-strength components that conventional foundries cannot easily replicate. That single technological choice explains the entire business: it is a one-plant, one-entity operation that competes not on scale but on the complexity of the parts it can cast, and it is now laying the groundwork to turn its captive solar expertise into a second line of business. # Business segments Two engines at different stages - a precision-casting core built on a proprietary foundry process, and an energy business under construction that grew out of the factory’s rooftop. ## 1. Precision cast components: the foundry that makes what others cannot **Lost Foam Casting lets the company produce complex, single-piece metal parts with no joins and near-final shape - a capability that opens doors to railway locomotives, defence equipment, and export markets where dimensional accuracy is non-negotiable.** - **One technology, many end-markets** - the Lost Foam process produces S.G. (Ductile) Iron, Grey Cast Iron, and Steel Castings that go into traditional car and truck engines, Vande Bharat train components, rail coach units, military equipment, heavy engineering, pumps, and oil & gas machinery. The same foundry serves all these sectors, which spreads customer risk across industries with different demand cycles. - **Complexity is the moat** - Lost Foam Casting eliminates parting lines and draft angles, consolidates multiple foam pieces into a single cast part, and delivers excellent surface finish straight from the mould, so the company can bid for jobs that require intricate internal geometries and thin walls that traditional sand casting cannot achieve. The technology was adopted and launched in FY22 and came into full-fledged use in FY23, and it now anchors the company’s pitch to demanding OEMs. - **Exports are the new frontier** - after recording no export revenue in FY24, the company earned Rs. 7.48 Crore in foreign exchange in FY25 by developing test castings specifically designed to meet international OEM and Tier-1 supplier standards. It is actively pursuing long-term international contracts, leveraging India’s growing position as a global auto-component hub. - **A single plant with captive raw-material access** - all manufacturing happens at one facility in Pithampur, Madhya Pradesh, which houses both conventional casting lines and the Lost Foam operation. Iron and steel - the primary raw materials - are sourced almost entirely from domestic suppliers, insulating the company from import logistics and currency swings on its input bill. - **R&D that pays for itself in process gains** - the company spent roughly Rs. 30.5 Lacs on research and development in FY25, focused on optimising manufacturing processes, adding testing equipment, and collaborating with technology partners to improve product performance and reduce waste. It has also identified developing smart auto components with integrated sensors and IoT capabilities as a strategic action to address the growing demand for connected and autonomous vehicles. ## 2. Captive solar power: the energy business being built from the factory roof down **What began as two solar plants cutting the factory’s electricity bill has been formally structured into a power-generation business authorised to sell to third parties - a second engine still in the design phase.** - **Captive roots, commercial ambitions** - the company installed its first solar plant in FY14 (Rs. 11.97 crores) and a second three-megawatt plant in FY18 (Rs. 13.49 crores), bringing cumulative solar investment to Rs. 25.46 crores, all for captive consumption at the Pithampur plant. In FY25, shareholders approved an amendment to the company’s constitutional documents authorising it to generate, accumulate, distribute, and supply power from solar, wind, hydel, biomass, and conventional sources - primarily for captive consumption for the Company's operations or as may be incidental or conducive to the efficient conduct of the Company's main business activities. - **Infrastructure already in place** - the two operational solar plants give the company a working knowledge of power generation, daily demand monitoring, and energy-efficiency practices such as replacing inefficient motors and educating staff on conservation. The articles of association now explicitly define Power Purchase Agreements and Wheeling Agreements, creating the legal framework to sell power before any third-party contract exists. - **Still a cost-saving tool first** - the filings describe power generation as primarily for captive consumption or incidental to the main manufacturing business, meaning the energy segment today functions as an operational hedge against grid-power price volatility rather than a standalone profit centre. # Group structure and partners **A single legal entity controlled by the founding family, with no subsidiaries or joint ventures, and a recent capital raise that brings outside shareholders onto the register for the first time.** - **Standalone and family-managed** - the company has no subsidiaries, joint ventures, or associate companies. The promoter group comprises brothers Devendra Jain (Managing Director) and Mukesh Jain (Whole-Time Director), along with their family members who hold key operational roles including the CFO, COO, and Commercial Manager. The late Surendra Jain, the third founding brother and former Chairman, passed away in October 2024. - **A related-party manufacturing link** - the company outsources job work and buys goods from Porwal Diesels Pvt. Ltd., an enterprise of a relative of key management personnel, with job-work payments of Rs. 8.38 crores and goods purchases of Rs. 1.82 crores in FY24, all conducted on an arm’s-length basis in the ordinary course of business. - **Fresh equity from non-promoters** - in July 2026, the company completed a preferential issue of 17.54 lakh equity shares at Rs. 57 per share to four non-promoter individual investors, raising approximately Rs. 10 crores, alongside the issuance of 3.95 lakh convertible warrants to promoter-group entities at the same price, with each warrant convertible into one equity share within 18 months. - **Listed but tightly held** - the equity shares trade on the Bombay Stock Exchange in electronic form with connectivity to both NSDL and CDSL, and the Registrar and Transfer Agent is MUFG Intime India Pvt. Ltd.