Happy Forgings Q2 FY27: consolidated PAT +33% YoY to ₹97.5 Cr, margins steady

Happy Forgings' consolidated revenue came in at ₹500.75 Cr, up 32.7% YoY (₹377.39 Cr in Q2 FY26) and 11.4% QoQ (₹449.42 Cr in Q1 FY27), with PAT at ₹97.50 Cr, up 32.8% YoY (₹73.44 Cr) and 6.6% QoQ (₹91.46 Cr). EPS rose to ₹10.33 from ₹7.79 a year ago. Standalone mirrors this almost exactly (PAT ₹97.51 Cr) — the only subsidiary, HFL Technologies, is immaterial this quarter (a ₹0.68 lacs net loss) — so there is no divergence between the two sets of numbers worth flagging. Operating margin held at 30.6%, essentially flat YoY (30.68%) and down modestly from 31.34% in Q1 FY27; net margin was 19.5% versus 19.14% a year ago and 19.86% last quarter. PAT grew almost exactly in line with revenue (32.8% vs 32.7% YoY) rather than outpacing it, so this quarter's growth is volume/price-led rather than margin-led — consistent with management's own FY27 framing that EBITDA margins would stay "broadly in line with FY26 levels with upside potential" rather than expand meaningfully quarter to quarter. No analyst estimate specific to this quarter's revenue or PAT could be confirmed via search — only a full-year FY27 consensus of roughly ₹1,860 Cr revenue and ₹38.20 EPS turned up — so the print is being judged against the company's own guidance rather than a street number, and no press-release commentary from management was available for this filing to cross-check. Against that guidance — FY27 volume growth raised to "high teen" and capex of ₹350-400 Cr/year — this quarter's 32.7% YoY revenue growth runs well ahead of the guided volume pace, pointing to price/mix doing some of the lifting alongside volumes. Separately, alongside the results, the board approved a fresh ₹500 Cr capex — over and above the guided annual run-rate — to add roughly 24,000 MT of forging (+15%) and 14,000 MT of machining (+17%) capacity, phased across FY28-29 and funded via internal accruals and debt; this comes even as H1 FY27 utilization sits at a moderate 60% (forging) and 77% (machining), so the expansion is being built for forward demand visibility rather than an immediate bottleneck. A final FY26 dividend of ₹4/share (₹37.75 Cr) was also paid out during the quarter. Going into H2 FY27, the markers to watch are whether OPM holds near the 30-31% band guided, whether revenue growth keeps outrunning the high-teen volume guide (implying continued price/mix support), and the pace at which the new ₹500 Cr capacity program begins showing up in capex spend.