Tirupati Forge reports Rs 8.9761 crore promoter land buys

Tirupati Forge Limited disclosed Rs 8.9761 crore of land-purchase transactions with two promoter-group parties in the half year ended September 30, 2026. The related-party statement records purchases valued at Rs 3.2261 crore from Chetna Mukesh Thummer and Rs 5.75 crore from Bhargavi Manoj Thummar under Indian Accounting Standard 24.

What land purchases did Tirupati Forge report from promoter-group parties?

Tirupati Forge reported two land-purchase transactions totalling Rs 8.9761 crore for the half year ended September 30, 2026. Its related-party schedule lists Rs 3.2261 crore for Chetna Mukesh Thummer and Rs 5.75 crore for Bhargavi Manoj Thummar, with both entries described as purchase of land.

Bhargavi Manoj Thummar's Rs 5.75 crore transaction was larger than the Rs 3.2261 crore transaction listed for Chetna Mukesh Thummer. The filing provides transaction values but does not state the properties' location, area, valuation basis, payment terms, registration status or intended operating use.

The source presents the individual values as Rs 322.61 lakh and Rs 575 lakh, which convert to Rs 3.2261 crore and Rs 5.75 crore. The total is calculated from those two reported transaction values and relates to the six months ended September 30, 2026, not to a full financial year.

Who were the counterparties in Tirupati Forge's land transactions?

Tirupati Forge identifies Chetna Mukesh Thummer and Bhargavi Manoj Thummar as promoter or promoter-group counterparties in the detailed related-party format. In the accompanying relationship table, the company uses the name Chetna Thummar for a promoter or promoter-group party and separately lists Chetna Mukeshbhai Thummar as a relative of key managerial personnel.

The filing identifies Hiteshkumar Gordhanbhai Thummar as chairman and managing director and Bhavesh Tulshibhai Barsiya as whole-time director. It does not explain whether the Rs 3.2261 crore or Rs 5.75 crore land transaction was reviewed using a valuation, how pricing was determined, or how the sellers' relationships affected the terms.

Tirupati Forge also disclosed short-term employee benefits of Rs 10.50 lakh for Hiteshkumar Gordhanbhai Thummar, Rs 6 lakh for Bhavesh Tulshibhai Barsiya, Rs 6.52 lakh for chief financial officer Atulbhai Laxmanbhai Natu and Rs 2.72 lakh for company secretary Milan Sakhiya. These employee-benefit entries are separate from the two land-purchase transactions.

What other promoter-group dealings did Tirupati Forge disclose?

Tirupati Forge reported lease rentals of Rs 34.56 lakh for Chetna Thummar and Rs 41.79 lakh for Bhargavi Manoj Thummar during the half year ended September 30, 2026. Together, those two lease-rental entries were Rs 76.35 lakh, separately classified from the Rs 8.9761 crore of land purchases.

The outstanding-balance column shows Rs 14.66 lakh for the Chetna lease-rental entry and Rs 18.08 lakh for the Bhargavi lease-rental entry. No outstanding balance is shown alongside the Rs 3.2261 crore and Rs 5.75 crore land-purchase lines in the related-party schedule.

The disclosure therefore distinguishes transactions by their stated mechanism. It records land purchases totalling Rs 8.9761 crore and lease rentals totalling Rs 76.35 lakh, but does not say whether the acquired land replaced leased premises, related to the rental arrangements or involved separate properties.

How do the land purchases relate to Tirupati Forge's fund-use disclosure?

Tirupati Forge reported no deviation or variation in the use of Rs 37.632 crore raised through a preferential issue of convertible warrants on January 3, 2025, for the quarter ended September 30, 2026. It reported Rs 37.5423533 crore utilised and Rs 8.96 lakh unutilised, with the latter amount held at Indian Overseas Bank.

The stated use of the January 2025 proceeds included expansion of existing capacity, asset acquisition, purchase of plant and machinery and other fixed assets, enhanced working-capital requirements and general corporate purposes. However, Tirupati Forge did not allocate either land purchase to these proceeds, identify the funding source for the transactions or link the purchases to a stated fundraising object.

A separate disclosure covers Rs 5.346 crore raised through preferential convertible warrants on April 8, 2019. The auditors said fixed deposits containing temporarily parked unutilised funds had been overdue since November 2020 at Ashish Credit Co-operative Society Ltd, while Tirupati Forge had recognised a Rs 1.20 crore expected-credit-loss provision as of September 30, 2026; the filing does not connect this matter to the land purchases.

What financial context did Tirupati Forge report for September 2026?

Tirupati Forge reported forging revenue of Rs 95.4206 crore for the half year ended September 30, 2026, compared with Rs 71.9714 crore in the corresponding half year ended September 30, 2025. The reported increase was Rs 23.4492 crore, while forging segment results rose to Rs 10.1512 crore from Rs 6.1301 crore.

Total segment assets were Rs 234.5869 crore at September 30, 2026, compared with Rs 166.6649 crore a year earlier. Net capital employed was Rs 152.21 crore, up from Rs 119.412 crore, while the segment statement separately reported defence assets of Rs 87.1783 crore at September 30, 2026.

These figures place the Rs 8.9761 crore of related-party land purchases alongside a larger reported asset base and higher half-year forging revenue. They do not establish the commercial rationale for the purchases because Tirupati Forge did not allocate the acquired land to the forgings segment, defence assets or unallocable assets.

Conclusion

Tirupati Forge disclosed two promoter-group land purchases valued at Rs 8.9761 crore in the half year ended September 30, 2026, with the Rs 5.75 crore Bhargavi Manoj Thummar transaction exceeding the Rs 3.2261 crore Chetna Mukesh Thummer transaction. The company separately reported Rs 76.35 lakh of promoter-group lease rentals, making a distinction between the acquisition and rental entries.

The next disclosures to watch are any details on the land's location, valuation, intended use, funding source or segment classification. Tirupati Forge reported no deviation in the use of Rs 37.632 crore of January 2025 warrant proceeds as of September 30, 2026, but did not state whether those proceeds funded either purchase.