CG Power edges higher after subsidiary bags KAVACH order from Chittaranjan Locomotive

CG Power and Industrial Solutions added 1.95% to Rs 749 after the company's subsidiary G.G.Tronics India (GGT) secured a KAVACH order from Chittaranjan Locomotive Works, West Bengal, Government of India.

The scope of the order comprises supply, installation, testing, and commissioning of on-board KAVACH equipment as per RDSO specifications including annual maintenance for 11 years. The supply scope also includes complete wiring, harnessing, cabling, and connection with Loco KAVACH system.

G.G.Tronics specializes in designing, manufacturing, supplying, and installing electronic safety embedded signalling systems for the railway transportation segment. GGT provides comprehensive services for system and software verification and validation for railway signalling products and projects.

According to the company order value is ranging between Rs 500 crores to Rs 600 crore. The execution time frame for this order will be one year.

CG Power, part of the Murugappa group, has two segments - power systems and industrial systems. The power systems segment manufactures electrical products such as transformers, switchgears and circuit breakers, which find application in power transmission. The industrial systems segment manufactures high and low tension rotating machines (motors and alternators), stampings, as well as railway transportation and signalling products.

The company reported 37.18% fall in standalone net profit to Rs 223 crore in Q2 FY25 from Rs 355 crore in Q2 FY24. Revenue from sales rose by 19% year-over-year (YoY) to Rs 2,270 crore during the period under review.

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