Jupiter Wagons Unveils ₹2,500-Crore Capex Plan, Aims for Export Revenue Growth.

Kolkata-based Jupiter Wagons, owned by the Lohia family, is set to boost its export potential with a ₹2,000–2,500 crore investment in a new forging plant for wheels and axles in Odisha. The expansion, funded through a mix of internal accruals and borrowings, aims to increase the company’s production capacity from 20,000 to 100,000 forged wheelsets annually.

Vikash Lohia, Director of Jupiter Wagons, confirmed that the company is exploring various funding options, including project-specific tie-ups, to support the expansion. In H1FY25, Jupiter Wagons raised ₹800 crore through a Qualified Institutional Placement (QIP) and additional funds via preferential allotment of share warrants. This capital will primarily fund the establishment of a full wheel and axle manufacturing plant and enhance integration along the supply pipeline.

The new plant in Odisha, slated to begin operations by FY27, is expected to serve major customers, including Slovakian train manufacturer Tatravagonka, which holds a 19.72% stake in the company. Tatravagonka has an annual requirement of approximately 60,000 wheelsets, and Jupiter Wagons plans to meet a portion of this demand with its expanded capacity. The plant is being developed under its subsidiary, Jupiter Tatravagonka Railwheel Factory Pvt. Ltd.

“We will ramp up production at the Odisha plant, with an investment of around ₹2,000 crore. Additionally, we are investing ₹200–300 crore annually towards our existing manufacturing facilities,” said Lohia.

The company’s overall capex for FY25 is projected at ₹500 crore. With operations across multiple states, including West Bengal, Madhya Pradesh, Jamshedpur, Maharashtra, and Odisha, Jupiter Wagons anticipates the impact of the new capacity to be visible by FY26. By FY27, the company expects its wheel-forging line, particularly the axle production, to begin generating significant revenue, with exports to Europe further contributing to growth. The company aims for non-wagon revenues to account for about 50% of its total revenue by the end of FY27.

For H1FY25, Jupiter Wagons reported a 15.7% year-on-year increase in consolidated revenue, reaching ₹1,888.90 crore. Its profit after tax (PAT) rose by 25%, totaling ₹181.25 crore, with a profit margin of 9.5%.

HBL