• QIP fundraise plans: MM Forgings is looking to raise around ₹600 crore via a QIP primarily to fund capex and growth opportunities, with ₹150 to ₹250 crore potentially allocated for debt repayment.
• Debt and interest: Net debt currently stands at approximately ₹950 crore against gross debt of ₹1,150 crore and cash of ₹200 crore, with cost-reduction initiatives aiming to lower annual interest expenses of ₹90 crore by ₹30 to ₹40 crore.
• FY27 growth outlook: Following a flat FY26, the company is targeting at least 20% growth in FY27 to achieve ₹1,800 to ₹2,000 crore in revenue, with sales volumes projected to rise from 75,000–76,000 tonnes to at least 90,000 tonnes.
• Supply chain disruptions: While demand remains unaffected by Middle East geopolitical tensions, fuel availability issues with LPG and PNG are prompting the company to temporarily revert to furnace oil to manage operational costs.