Shares of Bharat Forge Ltd (BFL) remained in focus after the company secured a ₹425 crore contract from the Ministry of Defence to supply Gas Turbine Generators (GTGs) to the Indian Navy.
The stock was trading at ₹2,047.8, up 0.25% from its previous close of ₹2,042.55. Bharat Forge has a market capitalisation of ₹97,597 crore and trades at a P/E ratio of 88.79.
₹425 crore defence contract
Bharat Forge signed the agreement with the Ministry of Defence on June 19, 2026.
Key details
- Contract value: ₹425 crore
- Customer: Ministry of Defence
- End user: Indian Navy
- Execution period: Five years
- Procurement category: Buy (Indian) under DAP-2020
The company will supply 1.25 MW Gas Turbine Generators for onboard power generation on Kolkata-class warships.
These systems will replace lower-capacity generators currently installed on the vessels.
A first for Bharat Forge
The contract marks Bharat Forge’s entry into the marine gas turbine business.
According to the company, the project will result in the first indigenous gas turbine-based power plant to be deployed on Indian naval ships.
The programme supports India’s push for self-reliance in defence manufacturing and strengthens the role of private-sector companies in supplying critical military systems.
Dedicated testing facility to be set up
To execute the order, Bharat Forge plans to establish a dedicated Integration and Test facility for gas turbine generators.
The company also said it intends to participate in future design and development programmes involving:
- Larger power plants
- Propulsion gas turbines
Bharat Forge noted that indigenous manufacturing would provide complete control over maintenance and overhaul activities, reducing dependence on foreign suppliers.
Defence order book remains strong
The latest contract adds to a sizeable defence pipeline.
FY26 defence business
- New orders secured: ₹2,816 crore
- Total orders across businesses: ₹4,814 crore
- Defence order book: ₹10,961 crore
The company also expanded its aerospace business during the year by adding customers in:
- Engine components
- Structural components
- Landing gear components
FY26 financial performance
Bharat Forge reported higher revenue and profit for the full year.
FY26
- Revenue: ₹16,812 crore
- FY25 revenue: ₹15,123 crore
- Net profit: ₹1,089 crore
- FY25 net profit: ₹913 crore
- EPS: ₹22.58
Q4 FY26
- Revenue: ₹4,528 crore
- Revenue growth: 17.5%
- Operating profit: ₹777 crore
- Operating profit growth: 14.4%
- Net profit: ₹233 crore
- EBITDA margin: Around 17-18%
Net profit in the March quarter stood lower than the ₹283 crore reported in the same period last year.
About Bharat Forge
Headquartered in Pune, Bharat Forge Ltd is a global manufacturer of safety-critical components.
The company serves sectors such as:
- Automotive
- Defence
- Aerospace
- Marine
- Railways
- Oil and gas
- Power
Bharat Forge operates across five countries and provides end-to-end manufacturing capabilities from design to validation.
TL;DR
Bharat Forge has secured a ₹425 crore contract from the Ministry of Defence to supply gas turbine generators to the Indian Navy. The deal marks the company’s entry into the marine gas turbine segment and will lead to the first indigenous gas turbine-based power plant for naval ships.
AI Summary
- Bharat Forge won a ₹425 crore order from the Ministry of Defence.
- The contract involves supplying gas turbine generators to the Indian Navy.
- Execution will take place over five years.
- The company has a defence order book of ₹10,961 crore.
- FY26 net profit rose to ₹1,089 crore.