Tirupati Forge targets Q4 FY27 M107 shell commercial production

Tirupati Forge Limited expects commercial production of 155mm M107 empty shells in Q4 FY27 after manufacturing its first 200-unit batch, whose proof-testing results remain pending. Tirupati Forge also received a DPIIT manufacturing licence and expects 155mm ERFB shell commercial production by H1 FY28 after completing forging and machining of its shell body.

When will Tirupati Forge start M107 shell commercial production?

Tirupati Forge expects to commence commercial production of 155mm M107 empty shells in Q4 FY27. The target follows completion of its first 200-unit batch, which the company reported in its Q2FY27 defence update.

The M107 batch remains at a disclosed validation stage. Tirupati Forge said the Defence team visited its manufacturing facility for final inspection for proof testing, while the chairman’s Q2FY27 update said proof-testing results were awaited. The Q4 FY27 date is therefore an expected production start, not a report that commercial manufacturing has begun.

The completed product is identified as a 155mm M107 empty shell. Tirupati Forge did not disclose a value for the 200 units, customer names, order quantities, production capacity or annual output target for M107 shells in the Q2FY27 update.

What defence milestones did Tirupati Forge report in Q2FY27?

Tirupati Forge reported three main defence milestones in Q2FY27: manufacturing 200 155mm M107 empty shells, completion of final inspection for proof testing, and receipt of a manufacturing licence from DPIIT. The company said the licence enables progression of its defence product portfolio and strengthens its defence manufacturing capabilities.

Separately, Tirupati Forge completed forging and machining of a 155mm ERFB shell body. This is a different product and stage from the M107 update: M107 covers 200 manufactured empty shells awaiting proof-test results, while ERFB covers a shell body that has completed forging and machining. Tirupati Forge expects ERFB commercial production by H1 FY28.

Tirupati Forge said it was seeing commercial interest from multiple prospective customers in international markets for the 155mm ERFB product. That disclosure does not identify contracts, confirmed orders, prices, delivery volumes or revenue, and it does not specify whether the DPIIT licence carries a stated production capacity.

How does the defence plan fit Tirupati Forge’s manufacturing base?

Tirupati Forge operates a manufacturing unit spread across 5 acres, with in-house testing and research-and-development laboratories. The company reports installed capacity of 15,000 tonnes per annum and says it has more than 15 years of experience in manufacturing forged and machined components.

The company lists forging capacity of 15,000 tonnes per annum, ring-rolling capacity of 15,000 tonnes per annum and hydraulic extrusion press capacity of 10,000 tonnes per annum. Its equipment includes 2.5-tonne and 4-tonne MPM hammers and a 630-tonne Lasco hydraulic extrusion press, with disclosed single-piece job capacity of 15 kilograms to 150 kilograms. Tirupati Forge does not allocate any of those capacities specifically to M107 or ERFB production.

Tirupati Forge also reports heat-treatment capacity of 1,000 kilograms an hour and paint-shop capacity of 60 tonnes per day of ready-to-pack material. Its machining facility includes computer numerical control machines for 15mm to 800mm outer-diameter work and fully automatic vertical machining centre machines for 1,000mm outer-diameter work, providing context for the ERFB shell-body machining milestone without establishing shell output volumes.

How did Tirupati Forge’s financial performance change in Q2FY27?

Tirupati Forge reported revenue of Rs 58.15 crore in Q2FY27, compared with Rs 38.43 crore in Q1FY27. Revenue increased by Rs 19.72 crore quarter on quarter, which the company attributed to robust demand from the North American market.

Profit after tax, or PAT, rose 238% quarter on quarter to Rs 4.12 crore in Q2FY27 from Rs 1.22 crore in Q1FY27. Tirupati Forge described the change as improved earnings performance, but the filing does not disclose defence revenue, defence profit or the contribution of its shell programmes to the quarter-on-quarter increase.

Tirupati Forge says 55% of its revenue is attributed to overseas markets, including the United States, Canada, Malaysia, Europe and African countries. That existing international exposure sits alongside management’s statement of commercial interest from prospective international ERFB customers, although the Q2FY27 update provides no geographic or financial breakdown for that interest.

What should readers monitor in Tirupati Forge’s defence rollout?

The immediate disclosed item is the proof-testing result for the first 200-unit 155mm M107 empty-shell batch. Tirupati Forge has linked that validation process to its expectation of commencing M107 commercial production in Q4 FY27, but has not stated a date for the test result.

The two shell programmes have separate timelines. M107 commercial production is expected in Q4 FY27 after the proof-testing stage, while the 155mm ERFB shell is expected to enter commercial production by H1 FY28 after the company completed its forging and machining milestone. Tirupati Forge has not disclosed customer orders, pricing, output volumes or revenue for either programme.

Conclusion

Tirupati Forge has reported identifiable steps in its defence expansion: a first batch of 200 155mm M107 empty shells has been manufactured, and a 155mm ERFB shell body has been forged and machined. Its Q2FY27 revenue rose to Rs 58.15 crore from Rs 38.43 crore in Q1FY27, while PAT increased to Rs 4.12 crore from Rs 1.22 crore, without a separate attribution to defence activity.

The next disclosed milestones are proof-testing results for the 200-unit M107 batch and the expected Q4 FY27 start of its commercial production. Tirupati Forge then expects 155mm ERFB shell commercial production by H1 FY28, while the update leaves customer orders, production volumes, pricing and defence revenue unresolved.