Engineering major Texmaco Rail and Engineering on Tuesday reported a nearly four-fold jump in its standalone net profit to Rs 22.95 crore in the quarter ended March 31, 2018 as compared to Rs 5.93 crore in the year-ago period.
Its gross revenue for the period stood at Rs 306 crore, up by 4.79 per cent from Rs 292 crore in the corresponding quarter of the previous year.
The company said the gross revenue for the year 2017-18 was Rs 982 crore compared to Rs 1,235 crore in the previous year. Its standalone net profit for FY18 stood at Rs 10.07 crore, down by 70 per cent from 33.57 crore in the 2016-17.
Notwithstanding a poor performance, the Directors have recommended dividend at the rate of 25 per cent on the equity shares of the company looking to the future growth opportunities.
"Besides the recent order of 1,764 wagons on the company from Indian Railways, there is already an announcement of forthcoming new tender for procurement of 22,258 wagons by Railways for next two years. The private segment is also looking up with the opening up of General Purpose Wagon Investment Scheme and opening up of Rehabilitation of Coaches for private sector," it said in a statement.
The company said its Rail EPC division achieved a turnover of Rs537 crore during the year. With the commissioning of a large number of old projects, the division is virtually closing out the old less remunerative projects and in the current year onwards, it would focus on execution of new contracts of WDFCC and other large projects.
With a view to penetrating the international rail segment market, mainly Africa and middle east and West Asia, the company has established a new Company named TexRail SA (Pty) in Johannesburg, South Africa.
Wabtec Texmaco Rail Private Limited, the JV company is expected to start its manufacturing operation of railway components from the second quarter of the current year from its new facility at Belgharia, which is scheduled to be inaugurated on and from July 1.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)