BSE: 530615
GARG FURNACE LTD.
Produces value-added steel grades used in automotive, agri-machinery, and industrial applications from a base in Ludhiana, Punjab, operating at 100% capacity utilization as of Q2 FY26. Consolidated FY26 revenue stood at Rs 29,460.97 lakh, with profit after tax of Rs 1,059.01 lakh and an EBITDA margin of 4.67%, making it a small-scale steelmaker by industry standards. In August 2025 the company acquired a 51.22% stake in Vaneera Industries Limited, now a subsidiary that is setting up a new alloy steel facility to broaden the product mix; FY26 was the first year of consolidation. The product strategy emphasises chemistry-led innovation in value-added grades rather than commodity steel. Quarterly performance swung sharply — Q3 FY26 standalone revenue rose ~47% YoY to Rs 9,239 lakh with PAT up ~79% YoY to Rs 367.82 lakh — while operating cash flow was negative for the year at Rs -3,503.47 lakh on a consolidated basis. AR · MarketPing reader · 2026-08-02
Revenue streams, as the annual report describes them. Steel products for automotive, agri-machinery and industrial applications. Small-cap, asset-heavy steel manufacturer focused on value-added grades
Exhibit 1: Financial summary, FY26–FY26 (all audited; no estimate years)
| ₹ crore · consolidated | FY26 |
|---|---|
| Revenue | 295 |
| EBITDA (ex other income) | 13 |
| margin % | 4.5 |
| Owners' profit | 10 |
| EPS, as reported (₹) | 16.60 |
| ROE % · ROCE % | 8.1 · 8.3 |
| Debt / equity (x) | 0.13 |
| Cash from operations | (14) |
| Capex | (35) |
Exhibit 2: Quarterly performance, last 3 quarters
| ₹ crore | Q2 FY26 | Q3 FY26 | Q4 FY26 |
|---|---|---|---|
| Revenue | 62 | 94 | 78 |
| Profit before tax | 3 | 4 | 3 |
| Net profit | 3 | 4 | 3 |
| EPS (₹) | 4.83 | 6.15 | 4.20 |
Exhibit 3: Peers — basic industry group, by market cap
| Company | M.cap ₹ cr | P/E | P/B | EV/EBITDA | ROE % | ROCE % | Rev CAGR 5y % | EBITDA m. % |
|---|---|---|---|---|---|---|---|---|
| WELSPUN CORP LIMITED | 67,533 | 29.2 | 7.18 | 28.8 | 17.2 | 14.9 | 21.1 | 18.5 |
| APL APOLLO TUBES LTD | 60,250 | 49.0 | 11.38 | 31.4 | 22.7 | 26.1 | 22.1 | 8.0 |
| SHYAM METALICS AND ENGY L | 31,861 | 28.4 | 2.58 | 12.9 | 8.6 | 11.4 | 24.1 | 14.9 |
| RATNAMANI MET & TUB LTD. | 16,161 | 37.3 | 3.84 | 18.9 | 12.7 | 15.6 | 14.4 | 18.5 |
| JINDAL SAW LIMITED | 15,396 | 23.5 | 1.25 | 8.5 | 7.5 | 6.8 | 10.9 | 9.4 |
| USHA MARTIN LTD. | 14,152 | 27.9 | 4.29 | 18.6 | 14.1 | 17.7 | 12.0 | 21.0 |
| GALLANTT ISPAT LIMITED | 13,005 | 29.9 | 3.92 | 17.3 | 14.6 | 16.8 | 34.4 | 17.8 |
| GODAWARI POW & ISP LTD | 12,751 | 14.9 | 2.18 | 9.7 | 13.7 | 17.0 | 5.7 | 21.0 |
Exhibit 4: Where the company sits in its group
| Metric | Company | Group median | Rank | Better than |
|---|---|---|---|---|
| P/E (TTM) | 11.8 | 15.4 | 37 of 105 | 65% |
| P/B | 0.9 | 1.5 | 30 of 101 | 71% |
| ROCE | 8.0 | 9.1 | 61 of 115 | 47% |
| ROE | 8.1 | 8.6 | 55 of 103 | 47% |
| Debt / Equity | 0.1 | 0.2 | 43 of 101 | 58% |
| EBITDA margin | 5.5 | 11.0 | 70 of 100 | 30% |
| Market cap | 122 | 216 | 70 of 122 | 43% |
Exhibit 5: Filings of the last 90 days, with the measured price reaction
| Date · filing | Category | Importance | Next day % | 5-day % |
|---|---|---|---|---|
| 12 Oct 2026 · Board allots 13.98 lakh convertible warrants at Rs 126.50 each to promoters and others | fund raising | high | — | — |
| 10 Oct 2026 · Routine SEBI compliance certificate for Q2 FY26 dematerialization | compliance | minimal | — | — |
| 26 Sept 2026 · Trading window closed from Oct 1 for Q2 results | compliance | minimal | — | — |
| 10 Sept 2026 · GFL investor presentation outlines Vaneera expansion and multi-year growth plan | investor communications | medium | — | — |
| 1 Sept 2026 · 53rd AGM: All 5 resolutions passed including preferential warrant issue | board shareholder meetings | low | — | — |
| 31 Aug 2026 · Garg Furnace clarifies on share price movement query from BSE | compliance | minimal | — | — |
| 29 Aug 2026 · 53rd AGM held; preferential issue of convertible warrants approved | board shareholder meetings | low | — | — |
| 28 Aug 2026 · BSE seeks clarification from Garg Furnace on price movement | regulatory legal | high | — | — |
| 25 Aug 2026 · Subsidiary Vaneera commissions Phase-1 alloy steel billets facility | compliance | low | — | — |
| 19 Aug 2026 · Corrigendum to AGM Notice - Preferential Issue of 13,98,000 Warrants | board shareholder meetings | low | — | — |
How to read this document
| Where a broker report shows | This document shows | Why |
|---|---|---|
| A rating (BUY / ADD / REDUCE / SELL) | A state: the latest filed quarter and the measured reactions | an event is a fact; a rating is an opinion that requires SEBI RA registration |
| A target price and upside | The current price and the multiples against the group | a target is a forecast; a multiple is a measurement |
| Estimate years marked E | More audited years; no estimates | MarketPing publishes no forecasts — your own model lives on the Models page |
Sources, method and disclosures
This document is a statistical summary of publicly filed information and market data, prepared by software from primary sources: SEBI results XBRL filed with BSE and NSE, LODR disclosures, shareholding patterns, exchange price data. It contains no research recommendation, no price target and no opinion on the merits of any security, and is not a research report within the meaning of the SEBI (Research Analysts) Regulations, 2014, Regulation 2(1)(w)(vii). Financial statements are as filed (consolidated where the company files consolidated results). Ratios are computed over filed lines. Where a figure is unavailable the table shows a dash rather than an estimate. The business brief is written by MarketPing's reader from the annual report and checked against it; no figure in a table was generated by a model. Nothing here constitutes investment advice, an offer or a solicitation; readers should consult a SEBI-registered adviser before acting. MarketPing is not a SEBI-registered intermediary.