Titagarh Wagons surges after bagging order from Indian Railways

Titagarh Wagons gained 2.54% to Rs 105 after the company received an order from Indian Railways for manufacture and supply of 24,177 wagons worth of Rs 7,838 crore.

The order constitutes of 19,854 BCNA wagons and 4,323 BOXNHL wagons, which is required to be executed over a period of 39 months. With this contract, the company's total order book stands at Rs 10,645 crore. Titagarh said this is the highest ever order book value on stand-alone basis in the history of the company.

Speaking on the occasion, Umesh Chowdhary, vice chairman & managing director of Titagarh said, The Government had earlier announced that they would be looking at doubling their freight loading in the next few years, which was expected to lead to procurement of much larger number of wagons. Titagarh is also trying to develop an export market for both the freight wagons and transit train business. International certification and application for accreditation of services have already been completed for wider acceptance of its products globally. We have recently opened an office in America while we already have a significant presence in Europe through our Italian subsidiary involved in transit train manufacturing.

He further added, Titagarh was pursuing all the three business verticals actively i.e. freight, which now has an order book of about Rs. 8,970 crore, but also the transit and propulsion with an order book of about Rs. 1,225 crore and shipbuilding bridges defence (SBD) with an order book of about Rs. 450 crore. Our aim and target will be to make each of the business vertical grow to around 20-25% of the total size of the company and we will continue to work towards that.

Titagarh Wagons is the largest private sector manufacturer of railway coaches (EMUs, MEMUs) and the largest wagon maker (other than railways).

The company reported a consolidated net profit of Rs 1.47 crore as against a net loss of Rs 20 lakh in Q4 FY22 over Q4 FY21. Net sales rose 7.4% year on year to Rs 482.63 crore in the quarter ended 31 March 2022.

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