Hilton Metal Forging Ltd updates on Railway Wheels business

Hilton Metal Forging Ltd has now developed all sizes of railway wheels i.e. NG wheels, MG wheels etc. including broad gauge loco wheels. The company has orders from railways and are now regularly supplying to railways and our consignments are duly inspected and approved by "RITES". The company is the first MSME company to have developed loco wheel for supply to railways.

Industry data reveal substantial increase in the demand for railway freight wagons. Govt of India / Ministry of Railways, raised a demand for 90,000 wagons and awarded 72,358 wagons to seven manufacturers in August of 2022. This growth is an historical one and is going to set the industry on a high growth trajectory. This demand translates to a requirement of more than 3 Lakh wheel set assemblies.

In line with the requirements of the market the company is now in the process of developing wheel set assemblies. These assemblies are required by the private coach manufacturers. The company have received the first order from a private company which is one of the 7 manufacturers that were awarded by the Ministry of Railways. The order is to supply 500 sets of railway wheels which the company intends to manufacture by June 2023 end. This company has also given us a letter of intent for supply of 6000 such wheel set assemblies per year, which would have a value of approximately 135 Crores per year. Regular supplies are targeted from September 2023 onwards.

Shares of Hilton Metal Forging Limited was last trading in BSE at Rs. 123.40 as compared to the previous close of Rs. 117.55. The total number of shares traded during the day was 30302 in over 165 trades.

The stock hit an intraday high of Rs. 123.40 and intraday low of 116.00. The net turnover during the day was Rs. 3673061.00.

Source : Equity Bulls

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