 "CMI Ltd bags Rs 30 cr orders for signalling and power cables")
Specialty cable maker CMI Limited has been awarded orders worth more than Rs 30 crore from East Central Railways and BHEL (Bharat Heavy Electricals Ltd) to provide railway signalling cables and HT XPLE cables, respectively.
The order worth Rs 9.97 crores from BHEL to supply HT XPLE cables will be delivered within the next 4 months, while the order for the railway signalling cables for Rs 20.68 crores will be staggered over a period of 8 months. These orders are also revenue accretive and together with several other orders (received in May 2017), will add over Rs 151 crore to the topline for FY 17-18.
Supply of signalling cables and quad cables to railways contributed 45 percent to the total revenues of CMI in 2016-17 while supply of power cables contributed over 12 percent to the total revenue. The contribution of the power segment to the revenues of CMI is expected to reach around 15 percent by 2019. Supply of wires and cables to railways has seen a CAGR of 88 percent over FY 13-16 and it is expected to continue growing at 28-30 percent over the next few years (FY 16-19).
“With continued focus of the government on redefining both the infrastructure segment and Indian Railways, we believe that the industry will grow at a fast pace. We at CMI have the wherewithal to be the preferred choice to provide high quality wires and cables for their every need. Our continuous focus on unwavering quality and our zeal to improvise tilt the balance in our favour,” commented Amit Jain, MD, CMI Ltd.
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