Vardhman Special Steels: Q2FY27 revenue up 38.81%, PAT up 51.88%, and a ₹1,116 crore forging unit on the drawing board (NSE: VSSL)
Vardhman Special Steels (NSE: VSSL; BSE: 534392) filed Q2FY27 results on 27 October 2026 showing revenue of ₹600.05 crore, up 38.81% year-on-year, and profit after tax of ₹52.49 crore, up 51.88%. A second filing the same day states the same results in lakh — revenue ₹60,005.06 lakh, PAT ₹5,249.38 lakh — and adds detail the crore-level note does not carry.
What the 27 October filings disclose
Alongside the revenue and PAT lines, the second 27 October 2026 filing records that EBITDA margin expanded 105 bps, and that a ₹1,048.08 lakh government grant added to other income. The same filing attributes part of the EBITDA movement to GST refunds and lower-cost inventory, alongside volume growth and higher realisations. Those three items — the grant, the refunds, the inventory cost — are disclosed as contributors, not as one-offs to be stripped out; the filings do not quantify them individually beyond the grant figure.
The margin movement was already visible in Q1FY27
The 22 July 2026 Q1FY27 filings show revenue of ₹486 Cr, up 12% year-on-year, with EBITDA of ₹68 Cr (+74% YoY) and PAT of ₹41.18 Cr (+107% YoY). The drivers named in those filings: volume growth, higher realisations, operational efficiencies and solar power cost savings. A second Q1FY27 filing from the same date points to operating leverage and a government grant as factors behind profit growth running well ahead of revenue growth — the same two items that reappear in the Q2 disclosure.
₹10,700 EBITDA per tonne, and the range management discussed for next year
The company's concall filing dated 29 July 2026 records Q1FY27 EBITDA/tonne at ₹10,700 (excluding surplus fund income), and records management confidence to raise the EBITDA/tonne guidance range to ₹8,000–12,000 next year, in the context of capacity constraints and new growth engines. The filing gives the range as a stated intention for next year; it is not a reported outcome.
A ₹1,116 crore forging unit with Aichi Steel technology
On 27 July 2026 the company filed on the foundation-stone laying for a new forging facility at Village Mangarh, Kohara, Ludhiana, in partnership with Aichi Steel Corporation, Japan. Per that filing, VSSL will invest ₹1,116 crore across two phases to manufacture precision-forged automotive components including Ring Gears for domestic and export markets — Europe, ASEAN, Africa and Mexico. The first phase comprises one forging line and a Non-Destructive Testing line, with commissioning targeted by March 2028; the filing states a second line will be added later based on demand.
Board changes tied to the Aichi Steel agreement
A 30 September 2026 filing records that Koichiro Hayashida, Aichi Steel's nominee director, resigned from the board effective 15 October 2026 to take a full-time executive role as President (Forging Division), effective 1 October 2026. On 27 October 2026 the board appointed Iwao Shimamoto — Management Executive and President of the Forging Company at Aichi Steel — as a Non-Executive Non-Independent Director, effective 27 October 2026, in accordance with the Share Subscription and Investment Agreement with Aichi Steel.
What the filings themselves put a date on
Three disclosed markers sit ahead: first-phase commissioning at the Ludhiana forging facility targeted by March 2028 (27 July 2026 filing); a second forging line, timing dependent on demand (same filing); and an EBITDA/tonne guidance range of ₹8,000–12,000 discussed for next year (29 July 2026 concall filing). Q2FY27's earnings also carry disclosed contributors that a reader may want to track across coming quarters — the ₹1,048.08 lakh government grant in other income, GST refunds and lower-cost inventory — all recorded in the 27 October 2026 filings.
Alpha Inflection is research infrastructure, not investment advice. We are not SEBI-registered investment advisers. Everything above is compiled from public corporate filings, with sources cited. Do your own research.
The filing evidence
| Date | What the filing said | Detail | Source |
|---|---|---|---|
| 22 Jul 2026 | VSSL Q1FY27: Revenue ₹486 Cr, +12% YoY; EBITDA ₹68 Cr, +74% YoY; PAT ₹41 Cr, +107% YoY; margin expansion driven by volume growth, higher realizations, operational efficiencies and solar power cost savings. | filing | |
| 22 Jul 2026 | Q1FY27: Revenue ₹486 Cr (+12% YoY), PAT ₹41.18 Cr (+107% YoY) — margin surge driven by operating leverage and government grant, profit growth far exceeding revenue growth. | filing | |
| 27 Oct 2026 | Q2FY27 revenue rose 38.81% to ₹600.05 crore and PAT 51.88% to ₹52.49 crore, with volume growth and higher realisations accelerating momentum, though GST refunds and lower-cost inventory also lifted EBITDA. | filing | |
| 27 Oct 2026 | Q2FY27 revenue rose 38.8% YoY to ₹60,005.06 lakh and PAT rose 51.9% to ₹5,249.38 lakh, but the operating trajectory is mixed as EBITDA margin expanded 105bps while a ₹1,048.08 lakh government grant boosted other income. | filing | |
| 27 Jul 2026 | Vardhman Special Steels lays foundation stone for ₹1,116 crore forging unit with Aichi Steel technology, targeting March 2028 commissioning. | Vardhman Special Steels (VSSL) announced the foundation stone laying ceremony of its new forging facility at Village Mangarh, Kohara, Ludhiana, in partnership with Aichi Steel Corporation, Japan. The company will invest ₹1,116 crore across two phases to manufacture precision-forged automotive components like Ring Gears for domestic and export markets (Europe, ASEAN, Africa, Mexico). The first phase includes one forging line and a Non-Destructive Testing line, with commissioning targeted by March 2028; a second line will be added later based on demand. | filing |
| 29 Jul 2026 | Vardhman Special Steels reports strong Q1 FY27 with EBITDA/ton at ₹10,700 (ex-surplus fund income), sees confidence to raise its EBITDA/ton guidance range to ₹8,000–12,000 next year amid capacity constraints and new growth engines. | filing | |
| 30 Sept 2026 | Mr. Koichiro Hayashida steps down from the VSSL board to take up the role of President for the company's new forging division. | Koichiro Hayashida, nominee director from VSSL's technology partner Aichi Steel, resigned from the Board effective 15 October 2026 to take up a full-time executive role as President (Forging Division), effective 1 October 2026. | filing |
| 27 Oct 2026 | Vardhman Special Steels appoints Aichi Steel Corporation's Forging Company President as Non-Executive Director. | The Board of Vardhman Special Steels appointed Mr. Iwao Shimamoto, Management Executive and President of the Forging Company at Aichi Steel Corporation, as a Non-Executive Non-Independent Director, effective 27 October 2026, in accordance with the Share Subscription and Investment Agreement with Aichi Steel. | filing |
Quick answers
- What did Vardhman Special disclose?
- Vardhman Special Steels (NSE: VSSL; BSE: 534392) filed Q2FY27 results on 27 October 2026 showing revenue of ₹600.05 crore, up 38.81% year-on-year, and profit after tax of ₹52.49 crore, up 51.88%. A second filing the same day states the same results in lakh — revenue ₹60,005.06 lakh, PAT ₹5,249.38 lakh — and adds detail the crore-level note does not carry.
- What are the key numbers?
- Alongside the revenue and PAT lines, the second 27 October 2026 filing records that EBITDA margin expanded 105 bps, and that a ₹1,048.08 lakh government grant added to other income. The same filing attributes part of the EBITDA movement to GST refunds and lower-cost inventory, alongside volume growth and higher realisations.
- What does Vardhman Special say comes next?
- Three disclosed markers sit ahead: first-phase commissioning at the Ludhiana forging facility targeted by March 2028 (27 July 2026 filing); a second forging line, timing dependent on demand (same filing); and an EBITDA/tonne guidance range of ₹8,000–12,000 discussed for next year (29 July 2026 concall filing).
Research and educational content only. Not investment advice. Drafted from regulatory filings and published automatically — see our editorial policy.